Food inflation falls to 12.92%

NEW DELHI: Food inflation fell sharply to 12.92% for the week ended June 19 from 16.90% in the previous week as cost of cereals and vegetables declined.

On a yearly basis, potatoes became cheaper by about 40% and onion prices eased by over 7%.

Prices for pulses fell by 0.47% on a weekly basis. However, on an annual count, prices soared by 31.57%.

Overall inflation for May was 10.16%, led by high food prices. Food inflation has remained above the 16% level for most part of the year.

Analysts expect prices to slide in the coming months following a good monsoon shower.

TOI

Sensex tumbles over 191 pts on weakening global trend

MUMBAI: Bombay Stock Exchange benchmark Sensex on Thursday nosedived by over 191 points on selling at metal, realty, auto and banking counters amid weak global trends.

The Sensex, which had gained nearly 167 points in the previous session, plunged 191.57 points to 17,509.33.

Reliance Industries lost Rs 10.75 to close at Rs 1,076.15 while Infosys Technologies was down Rs 21.05 at Rs 2,767.50. The two blue-chips carry nearly 23 per cent weight on the Sensex.

The broad-based National Stock Exchange index Nifty fell by 61.10 points to 5,251.40.

Marketmen said that selling pressure gathered momentum following reports of a weak trend in the Asian region, after China's manufacturing outlook weakened slightly in June for the third month. A lower opening in Europe, following rating agency Moody's remarks that it may downgrade Spain's debt, also added to the selling pressure.

Domestic factors, such as a fall in food prices and a jump in exports in May, cushioned the decline to some extent, they added.

TOI

Maoists kill Congress leader in Jharkhand

Maoists kill Congress leader in Jharkhand

RANCHI, June 30: In two separate incidents, Maoists have killed a Congress leader and a building contractor as their two-day strike began in Jharkhand on Wednesday, police said.

Maoists killed contractor Kedar Munda in Khuti district, around 65 Km from Ranchi, after abducting him from his Salehatu village Wednesday morning. His body was recovered from nearby jungle, police said.

In the other incident, rebels killed a local Congress leader, Bardhan Kachhu, in Garwah district. He was abducted from his Barkol village Tuesday night. His body was recovered Wednesday.

Maoists in many districts have asked Congress leaders to quit the party. They blame the Congress for the current security offensive against them.

Rail and road services were hit in Jharkhand today on the first day of a two-day strike in five states, officials said. The national highways wore a deserted look as trucks were stranded at many places and long-route buses did not ply.

This is the second two-day strike called by the Communist Party of India-Maoist in June. It covers Jharkhand, Bihar, Orissa, Chhattisgarh and West Bengal.

RIL, financial shares push Sensex up by 167 pts

RIL, financial shares push Sensex up by 167 pts

MUMBAI, June 30: The BSE benchmark Sensex today recouped early losses to end the day higher by 167 points after a firm opening in European bourses buoyed the sentiment.

The 30-share index closed at 17,700.90, up 166.81 points, or 0.95 per cent, after RIL and financial stocks rallied at the fag-end of trading.

The National Stock Exchange’s wide-based 50-share Nifty Index added 1.07 per cent to finish at 5,312.50 points. Reliance Industries (RIL) ended up close to 2 per cent amid reports that the petrochemicals giant is close to signing a JV deal with US-based private equity and hedge fund giant DE Shaw. The deal, when signed, will see the Mukesh Ambani-led company entering into the financial services sector. Energy major RIL has been on gaining spree since petrol prices were deregulated last Friday, barring its 2 per cent loss yesterday when the markets were hammered.

Banking stocks bounced back, a day after being battered on fears of an imminent rate hike. ICICI Bank rose 1.55 per cent, HDFC Bank 0.57 per cent and HDFC 1.36 per cent. SBI, which fixed its base rate at 7.5 per cent, rose 0.31 per cent. Marketmen said that contrary to expectations that markets would linger in the red on account of global hiccups, the bourses showed strong resilience.