18 June 2010 Morning Markets Updates:

18 June 2010 Morning Markets Updates:
Stocks that are in news today:

Reliance Industries (RIL) Annual General Meeting (AGM) today
IOC : sources say
IOC may consider issuing 10% fresh equity
IOC may consider raising up to Rs 8,000 crore
IOC may consider move if price at Rs 400/share ((CMP; 337))
Ex-Dates
CMC : Ex-Dividend @ Rs 20/share
TTK Prestige : Ex-Dividend @ Rs 10/share
Other stocks and sectors that are in news today:
Uflex: Board meet on June 21 for raising Rs 750 crore via QIB
Brigade Enterprises: Board approves raising of Rs 750 crore via QIP
Board meet today: ITC to mull bonus issue
Suzlon: Offer to tender in for Rights issue open today ((Closes on 2 July))
Qualcomm may sell 26% stake to Tulip Tele – PTI
Pay hike for Satyam Employees next month – BS
Reliagre to buy boutique AMCs in US – FE
F&O cues:

Futures Open Int up Rs 1662 crore
Options Open Int up Rs 2357 crore
Nifty June Futures shed 10 lakh shares in Open Int
Nifty June Futures at 10-point premium
Nifty July Futures add 10 lakh shares in Open Int
Nifty July Futures at 9-point premium
Nifty Open Int PCR at 1.64 versus 1.56
Nifty Puts add 44 lakh shares in Open Int
Nifty Calls shed 6.5 lakh shares in Open Int
Nifty 5200 Put adds 13 lakh shares in Open Int
Nifty 5300 Put adds 12 lakh shares in Open Int
Nifty 5200 Call sheds 10 lakh shares in Open Int
Stock Futures add 1.5 cr shares in Open Int
FIIs in F&O on June 17
Net buy Rs 359 cr in Nifty Futures
Net buy Rs 90 cr in Nifty Options
Net buy Rs 120 cr in Stock Futures
Market cues:

RIL AGM today
FIIs were net buyers of USD 185.2 million in equities on June 16
NSE F&O Open Int was up by Rs 4020 crore at Rs 1.48 lakh crore

As per provisional data of June 17, FIIs were net buyers of Rs 463 crore; DIIs were net sellers of Rs 364 crore in cash markets. FIIs were net buyers of Rs 588 crore in F&O.
US Market:
The euro rose against the dollar on Thursday as strong European government bond sales eased public finance concerns, but weak US economic data led US stocks to falter and cut European share gains.
Spain and France sold a combined 13 billion euro worth debt, to solid demand.
Most of the attention, however, was on Spain's ability to sell bonds given its heavy debt burden and investor nervousness that some of the region's banks may be facing a liquidity freeze.
Prices for gold rose on a combination of safe-haven demand and a weaker dollar. Crude oil prices dipped from their May 10 highs to below USD 77 a barrel.
An index of factory activity in the US mid-Atlantic region in June plunged, adding to worries that a tepid US economic recovery is now fizzling.
That report on top of higher-than-expected weekly US jobless claims and the largest drop in US consumer prices in nearly one-and-a-half years left US shares lower and led to European share prices giving up their early gains.
"The market was testing new highs and this will put a major headwind into progress. We needed a positive catalyst to keep people buying, and obviously this isn't it. This will be a critical component to the rest of the day's trading," said Alan Lancz, president of Alan B. Lancz & Associates Inc in Toledo, Ohio.
The euro rose 0.68% against the dollar to USD 1.2390 but dropped 0.34% against the yen to 112.14. The greenback fell 1% to 90.51 yen as the weak data increased risk aversion.
In early New York Trade the Dow Jones industrial average fell 68.32 points, or 0.66%, to 10,341.14. The Standard & Poor's 500 Index dropped 6.58 points, or 0.59%, to 1,108.03. The Nasdaq Composite Index lost 13.30 points, or 0.58%, to 2,292.63.
European shares gave up early gains. The FTSEurofirst 300 index traded down 0.04%.
Oil major BP Plc surged roughly 7% after saying it will set up a USD 20 billion fund for damages claims from its huge Gulf of Mexico oil spill, sell assets and suspend dividend payments to shareholders.
UK finance minister George Osborne announced the biggest shake-up of the regulatory landscape in 13 years on Wednesday, saying he was to give the Bank of England ultimate control over financial supervision.
In commodities, spot gold prices rose USD 14.95, or 1.21%, to USD 1245.50. US light sweet crude oil fell 96 cents, or 1.24%, to USD 76.71 per barrel.
Benchmark 10-year US Treasuries rose 18/32 of a point in price, pushing the yield down to 3.2%.
The two-year Schatz yield was up 1.6 basis points at 0.518%, while the 10-year Bund yield fell 1.6 bps at 2.662%.
EUROPEAN DEBT SALES
Spain's auction of 3.5 billion euro (USD 4.3 billion) worth of 10-year and 30-year government bonds drew strong demand, although it paid a hefty premium compared with previous issues of the same paper.
While the debt succeeded in finding buyers, analysts remained cautious about Spain's funding prospects.
"Spain ... wanted to show it could issue paper without problems. But they paid a lot to get the paper away," said Huw Worthington, a bond strategist at Barclays Capital in London.
The well-covered auction helped narrow the spread of Spanish yields over benchmark Bunds from an earlier euro lifetime high of 237 basis points.
"The strong demand for Spanish bonds should help restore confidence, said Ciaran O'Hagan, strategist at Societe Generale.
France sold just short of 9.8 billion euro of conventional BTANs and index-linked OATs, including a new five-year BTAN that dealers said was cheap on the curve and therefore attractive.
The French/German 10-year bond yield spread tightened to 42 basis points from 45 basis points earlier, having tightened from 60 basis points on June 8.