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ISSUE - 132

15th NOVEMBER [TUESDAY]

SYNOPSIS

- KRITIKA SETHI

The IBS Times comes again this week with yet another issue to keep you updated with happenings around you. Get the comprehensive yet knowledgeable insight about the globe. Will there be any light at the end of the tunnel?! This is seemingly possible with the Italian Prime Minister Silvio Berlusconi resigning after the series of scandals and scheming with shook the entire nation. We bring the story in a new light through our Cover Story this week. Kuch meetha ho jaye...Cadbury—a delight for everyone be it kids or adults is in the spotlight this week. How this brand that commenced its journey in Birmingham and turned itself into a global brand; making all the chocolate lovers bonkers for its products is the focus of Brand Track this week. Karnataka BS Yeddyurappa is released on bail this week; what is the real story behind his conviction? What has forced Indians to jolt their head with respect to accountability of judicial bodies to ensure transparency. Get our columnist‘s opinion in this context This time in focus of the week we are highlighting on the issue of trade deficit. Amidst all the limelight shared by ‗double digit inflation‘ we forgot to address the other devastating concerns hovering our economy, that is our rosy exports depleting. Get brief insight in this context through our Focus Of The Week column. Moreover we have our regular sections of Fast Track, Quick Bites, Market Watch and a special dose of News @ IBS to give all of you a glimpse of the happenings last week on campus! Hope you enjoy it!

Cheers Kritika Sethi

SYNOPSIS COVER

1 OPINION 2 BRAND

5 FOCUS 6 NEWS @ IBS

8 9

FAST-TRACK

3 QUICK BITES

7 MARKET

10


THE IBS TIMES

COVER STORY– ITALIAN PM SILVIO BERLUSCONI- UP AND AWAY!!

Thereby, after the resignation hundreds shouting „Jail, Jail, Jail‟ moved from the presidential palace to Berlusconi‟s residence to continue the noisy celebrations below his windows

International leaders including U.S President Barack Obama, French President Nicolas Sarkozy and the head of the International Monetary Fund Christine Lagarde have expressed hopes that a new government be in place quickly.

- AVLEEN KAUR SARNA

May be our descendents would be lucky and endowed enough to see light at the end of dark! Although it came after the scandal, scheming and a truly dismal record as Prime Minister, Silvio Berlusconi‘s resignation pledge ended one of the most scandal plagued eras in Italy‘s post war history. More than a thousand demonstrators waving banners mocking Berlusconi flocked to the President‘s residence at the Quirinale palace as the motorcade carried the billionaire media entrepreneur who has been Italy‘s longest serving Prime Minister. Thereby, after the resignation hundreds shouting ‗Jail, Jail, Jail‘ moved from the presidential palace to Berlusconi‘s residence to continue the noisy celebrations below his windows. In the past few years, Berlusconi had become synonymous with scandals because of his relentless womanizing ways, wild parties at the presidential palace and a string of criminal trials and corruption cases. But it was considered too late, because by the time he promised to resign, Italy‘s bonds were consumed by panic and with a public debt of more than 120 % of gross domestic product, more than a decade of anemic economic growth behind it, Italy was at the heart of the euro zone debt crisis. At stake is not just the Italian economy but Spain, Portugal, Ireland, the Euro, the global banking system, the world economy and pretty much anything else you can think of. His resignation has triggered a series of events that would conclude on Sunday night or Monday morning with the formation of a new Monti government made up largely of non- political technocrats that is expected to manage the widening financial crisis which has put the future of Europe‘s single currency at risk. Italy must succeed for the survival of the euro and for Italy to succeed the new caretaker government will have a part to play over the coming months. The new government will try to pass painful economic reforms to restore shattered market confidence after a period of turmoil by weeks of political uncertainty in the euro zone‘s third largest economy. Earlier in the week Italy‘s borrowing costs reached record highs, prompting concerns that it could default on its debt but stock markets received a boost as Italian policymakers approved the financial reforms and Greece also moved to stabilize its battered economy with new Prime Minister Lucas Papademos being sworn in to head up an interim government. While the resignation was a bad news for the Italian and Greek bond holders, it was good for the long term investors looking to buy Swiss gold annuities. ‗Immobilismo‘ describes what characterized the Berlusconi government politically and economically and of course what it has meant for Italy. The economy has grown at an average of only 0.75% a year over the past 15 years and nothing has happened for the good of the country and not one of the reforms promised in 1994, which would have helped to resolve the crisis that Italy was and is experiencing, has been put into effect. The years of Berlusconi government have been like a curlicue – the longest possible line between the old and the old dressed up as new. Also in Italy the public sector is in ruins. The health service has standards unworthy of Europe and the schools, universities, research are all crippled. Even though Berlusconi -the man seems to be finished, Berlusconi-ism is not yet dead i.e. getting rid of him does not change structural problems that are central to the debt crisis now dragging down the European and the global economies. Its standard bearers are waiting to exploit the difficult moments through which Italy will be living. International leaders including U.S President Barack Obama, French President Nicolas Sarkozy and the head of the International Monetary Fund Christine Lagarde have expressed hopes that a new government be in place quickly. The impression is that once again there is space for anything but talent and a will to reconstruct the country, a country down not so much economically as in terms of its morale, its confidence, its people‘s belief in the possibility of future happiness of being able to fulfill themselves without having to go abroad because for more than a decade now, Berlusconi has been Italy and Italy has been Berlusconi!

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FAST-TRACK NEWS

THE IBS TIMES - KRITIKA SETHI

Former AP government official arrested in illegal mining case CBI arrested V.D. Rajagopal in connection with the illegal mining case involving former Karnataka minister G. Janardhan Reddy mining firm. V.D. Rajgopal was then the director of mines, allegedly favoured Obulapura Mining Co. By granting licence for the iron ore mining in Anatpura district near Karnataka.

BJP leaders involved in sex scandals as quoted by Digvijaya Singh Congress General Secretary – Digvijaya Singh claimed to know about the involvement of Rajasthan BJP leaders in sex scandal. He said this in reference to the recently surfaced sex clip showing congress leader Mahipal Maderna with the missing midwife nurse Bhanwari Devi Singh. He added that like Maderna - who has been suspended from the Congress - and Bhanwari, the BJP leaders involved in the sex scandals were also from the Jodhpur region

Crumbling heritage sites ignored by Mayawati Uttar Pradesh Chief Minister Mayawati may be obsessed with the idea of constructing dalit memorials and selfglorifying facades, but the condition of the existing memorials across the state presents a sad picture of the once-rich heritage. The state archaeological department and the Lucknow and Agra circles of the ASI reveal the state government's apathy towards the heritage sites.

Rajasthan Minister Ramlal Jat quits amid murder allegations Congress government in Rajasthan is in turmoil. They have not yet revived over the sacking of Mahipal Maderna from the cabinet, now Chief Minister Ashok Gehlot‘s team quit over allegations related to a woman‘s death. Jat was involved in a controversy over alleged hastening the post mortem of a woman who died under mysterious circumstances in Bilwara district.

Oil prices to rise further as quoted by PM Prime Minister Manmohan Singh indicated that the fuel prices may have to be hiked again if international oil prices hike further. He further quoted double digit inflation rate is worrisome and further more subsidies will only aggravate inflation. When asked if there will be a review of a recent fuel hike which has been opposed by the UPA's ally Trinamool Congress Chief Mamata Banerjee, he said the government currently provides Rs.1.32 lakh crores as subsidy to mitigate the high international fuel prices and this burden is unsustainable.

Kingfisher’s crisis problem to be explored by PM Troubled Kingfisher airlines' efforts to resolve its crisis got a boost with Prime Minister Manmohan Singh saying that Government will explore ways and means to help the private carrier. Singh's remarks came on a day when the airline owner Vijay Mallya questioned whether it was the private carrier's duty to fly on loss-making routes. The cash-strapped airline cancelled 60 flights today taking the total number of cancellations to 210 since Monday causing inconvenience to hundreds of passengers.

Google planning to drop Gmail support for blackberry Android software maker, Google will stop supporting and will no longer maintain the application for Gmail App (applications) for rival Research in Motion's (RIM) BlackBerry smart phones beginning November 22. Google said that over the past years, they have focused efforts on building a great Gmail experience in the mobile browser and will continue investing in this area. However, users who have already downloaded the app may continue to use it. Despite Google deciding to stop Gmail App, it would not affect BlackBerry users who seek access to Gmail. They can still use RIM's native support which would get synchronized with Gmail.

Baby Boomer- A person who was born between 1946 and 1964. After the end of World War II, birth rates across the world spiked .The large increase in population produced a substantial rise in demand for consumer goods, stimulating the post-war economy .

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THE IBS TIMES Chanda Kochhar is most powerful businesswoman ICICI Bank chief executive Chanda Kochhar has been named as the most powerful woman in Indian business while Sun TV Network's joint managing director Kavery Kalanithi draws the highest salary with an annual take home package of $13.09 million, according to fortune magazine. However, Kochhar, who is also ICICI Bank's MD, does not figure among the 10 highest paid women executives in the country. Axis Bank MD and chief executive officer (CEO) Shikha Sharma, a former ICICI Bank bigwig who quit in protest after Kochhar took over as CEO is ranked second in the Fortune list of 50 most powerful businesswomen. Italy debt interest payment obligations reach a record level The amount Italy must pay on the world's fourth-highest debt rose to a record level raising concern that Rome may have to turn to Brussels for help. Yields continued to climb even after Berlusconi‘s announcement that he would step down - a move widely desired by critics who consider his government ineffective in implementing reforms and boosting economic growth amid a massive financial crisis. The yield on Italy's 10 year bonds, a common measure of investor sentiment, rose to more than 7.2 per cent. . Italy PM Berlusconi resigns and Mario Monty nominated Italian Prime Minister Silvio Berlusconi handed in his resignation to President Giorgio Napolitano, Italy's presidential palace. Berlusconi, Italy's longest-serving premier since the end of World War II, announced his resignation following a vote in which he lost the majority in the House of Deputies. He had promised to formally step back once the parliament approved a package of urgent austerity measures asked by the European Union (EU) to rebuild the country's credibility in the international markets and ward off a dramatic debtdriven crisis. Dalai Lama warned by china on reincarnation process China warned the exiled Tibetan spiritual leader Dalai Lama not to interfere with the "reincarnation" process to select a successor after his death, saying the selection cannot be influenced by any group from outside the country. The top official of Tibet, Chen Quanguo, warned the exiled Dalai Lama group not to interfere with living Buddha‘s' reincarnation affairs, a tradition of Tibetan Buddhism that also concerns who will replace the current 14th Dalai Lama, 76, once he dies. Peter Roebuck found dead in South Africa Renowned Australian cricket journalist Peter Roebuck was found dead at his hotel in South Africa. The 55 year old was found dead at his Newlands hotel where he was covering Australia's test series with the Proteas for the Sydney Morning Herald. Bob Woolmer was found dead in similar circumstances in his Jamaica hotel in 2007. The cause of death is not clear at the moment. Roebuck, a Wisden Cricketer of the Year in 1998, captained English country side Somerset in the 1980s and turned out regularly for Devon after retiring from top-level cricket in 1991. Force India secure top 10 finish Red Bull's Sebastian Vettel took his 14th pole of the season in the Formula One Abu Dhabi Grand Prix qualifying in Abu Dhabi to equal Nigel Mansell's record of most poles in a year. Sahara Force India's Adrian Sutil and Paul di Resta finished ninth and tenth fastest at the spectacular Yas Marina Circuit.

CAT Bonds- Catastrophe bonds, also known as cat bonds, are a form of securitization used to transfer natural catastrophe risk to the capital market. While they do not necessarily provide reinsurance coverage, they have been is-sued for storms, earth quakes, aviation losses as well as terrorism- related losses.

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THE IBS TIMES

OPINION FORUM– YEDDYURAPPA’S BAIL -THE REAL STORY BEHIND IT ...

- AVINASH ROY

With Anna Hazare in corruption clean-up mode and almost the entire nation rooting for him, The IBS Times takes a look at the recent developments in a scam activity that has really forced the citizens of India to think over the accountability of the judicial bodies which have been formed to ensure transparency and more accountability in the administration. Former chief minister of Karnataka B S Yeddyurappa was on Tuesday (8th Nov, 2011) granted bail by the Karnataka high court. He has spent 23 days behind bars after being arrested over a land scam. Justice B V Pinto granted the bail after hearing his bail plea, on the condition that the former CM furnishes a bond of Rs. 10 lakh and a surety of the same amount. Yeddyurappa was arrested on October 15 after Special Lokayukta court cancelled his bail and issued an arrest warrant against him. He was arrested over charges that he had denotified land while misusing his powers as the CM, to help his family make financial gains. Though Yeddyurappa has

Yeddyurappa‟s arrest had its dramatic moments as after surrendering to the court, he was taken to Bangalore jail and then shifted to a hospital, after he complained of chest pain.

been released but his legal battles will continue. He is facing at least eight other cases, including one based on the charges made against him in the Lokayukta report on illegal mining. The report had forced Yeddyurappa to step down as the CM on 31st July, 2011. Yeddyurappa‘s arrest had its dramatic moments as after surrendering to the court, he was taken to Bangalore jail and then shifted to a hospital, after he complained of chest pain. However he had to go back behind bars after the doctors pronounced him fit after a couple of days. Reports in recent weeks suggested that Mr. Yeddyurappa might float his own party as he was unhappy with his party‘s (BJP) central leadership over his treatment in the aftermath of his indictment by the Lokayukta report on illegal mining and subsequent developments that undermined his role. The absence of Mr. Yeddyurappa‘s supporters in BJP senior leader L K Advani‘s rally in Bangalore recently as part of his Jan Chetna Yatra brought to fore intra-party differences fuelling further speculation about the former chief minister‘s next move. However the real excitement was injected when the lawyer who had dragged former Chief Minister Yeddyurappa to court on the land denotification case, which resulted in his term in jail, finds himself on the receiving end. The city police booked a First Information Report (FIR) against Sirajin Basha on Saturday under Sections 193 (fabricating false evidence) and 466 (forging records) of the Indian Penal Code based on a private complaint filed by a businessman from Marathahalli, P Gajendra who filed the complaint before the 6th Additional Chief Metropolitan Magistrate (ACMM) in the first week of September 2011. Gajendra has accused Basha of forging documents and intentionally giving false evidence in the complaints he submitted to the Special Lokayukta court against Yeddyurappa. The Lokayukta court had on October 15 remanded Yeddyurappa to judicial custody. In all, Basha has filed 5 complaints comprising 15 cases before the Lokayukta Court against Yeddyurappa and others including his family members alleging illegal denotification of government lands. Now that Basha has been booked in the case, police said they would ask for the documents the lawyer had submitted in the Lokayukta court and would detect its genuineness. Why didn‘t

Now that Basha has been booked in the case, police said they would ask for the documents the lawyer had submitted in the Lokayukta court and would detect its genuineness.

the Lokayukta court check the genuineness of the documents before issuing an arrest warrant against the Chief Minister of a state? Meanwhile, Gajendra‘s counsel B Nagarajan claimed that the 6th ACMM judge ‗delayed inordinately‘ referring his client‘s private complaint to the concerned police station. The learned magistrate took nearly 2 months to refer the complaint to the police sidestepping a Supreme Court guideline which stipulates that all private complaints should be referred to the concerned police station within 24 hours. Activities like these are bound to stir the faith of common citizens of India for whom judicial bodies and people heading these bodies are their only lifeline. People rely blindly on such institutions and people directly heading such institutions, but when incidents like these happen in which sheer negligence and carelessness is being reflected, it is not the fault of the common citizen if he or she loses his/her belief and faith in such bodies in near future. Let us just hope that judicial bodies would be a bit more responsible and will properly function so that no questions could be raised against their accountability of the decisions being made.

Market Maker Spread- The difference between the price at which a Market Maker is willing to buy a security and the price at which the firm is willing to sell it i.e., the difference between a Market Maker's bid and ask for a given security.

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THE IBS TIMES

BRAND TRACK– KUCH MEETHA HO JAYE..!!!

- POOJA DALAL

It was when John realised that he should not waste the by-product of his refined cocoa and drinking chocolate, that the chocolate bar we so relish today came into being! (Peanut butter was pressed into a slab to make the bar). But John did not stop at it, he improved the bar, adding sugar and later milk to it (the improved product was rightly named ‗Dairy Milk‘). It was then that a great brand came into the limelight that it long deserved. Manufacturing the sweet little everyday treats for a little less than two centuries now, Cadbury has occupied the place of honour in the hearts of children and grownups alike. And John Cadbury lives on as the maker of sweet treats called chocolates that do not cease to delight us. In 1905 Cadbury brothers of Birmingham introduced one of the longest surviving and highly profitable chocolate – ‗Cadbury Dairy Milk‘. Subsequent to that many variations of the same (like fruit and nut, whole nut etc) were intro-

Other chocolates sold under Cadbury brand were Cream Egg, Roses, Flake, Bournville, Picnic, Milk tray and recently Dairy Milk Silk and Dairy Milk Bliss

duced. Other chocolates sold under Cadbury brand were Cream Egg, Roses, Flake, Bournville, Picnic, Milk tray and recently Dairy Milk Silk and Dairy Milk Bliss. Being an aged brand, Cadbury has seen many ups and downs, but never given up. And the most important part is, even during times of difficulty, (when its sales were at an all time low) it has never failed to lend a helping hand. At occasions when Britain went to war (both World War I & II), Cadbury went out of its way to be of assistance. It urged its employees and many of them joined the war effort. One of its factories was converted to a manufacturing unit for war essentials. It also supplied necessities and chocolates to soldiers. At the end of it, it was rewarded with an increasing demand and Cadbury went global. Cadbury landed in India soon after our independence and ever since has been treating us to delicacies like, Dairy Milk, five star, perk, bournvita etc. It was quick in understanding the people of this diverse land, and accordingly added that extra ‗emotional‘ touch and the festive fervour to its promotional campaigns. It is no wonder why we still (in the age of B-school education) call every chocolate-‗Cadbury‘ and every milk dissolvent‗Bournvita‘. Of late it has even penetrated our tradition and we gift ‗Celebrations‘ packs to relatives on Diwali as a ‗sweet‘.

Mergers had to be dissolved (one with Schweppes), some takeovers were not successful and recently came the takeover by Kraft.

But managing business at a global level has not come without occasional hiccups. Mergers had to be dissolved (one with Schweppes), some takeovers were not successful and recently came the takeover by Kraft. It was a bitter sweet deal but now seems to be successful (Kraft‘s post acquisition share price jumped). It is sad to say, but Cadbury has been accused many times of including undesirable ingredients in its widely sold chocolates. Many of the chocolate recipes are still traditional and include trans-fats which are not mentioned on the labels. It has also had massive call backs of chocolates at various occasions after they were found to be containing melamine, salmonella bacteria and unstated allergens. Customer trust and loyalty plunged as a reaction. And as a result, immediate sales declined too. Leaving the financial glitches to the big heads at the London house, I am just going to focus my senses on Dairy Milk silk. And I suggest you do the same. You do not have to wait for the ‗bahana‘ every time as Mr. Amitabh Bachchan suggests.

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THE IBS TIMES

QUICK BITES- NEWS THAT CAN’T BE MISSED !

- ANKIT SHARMA

Big Shots… Berlusconi resigns after reform vote. Kalam frisked twice, once inside aircraft, in US. Company Talks… Citigroup agrees sale of EMI for $4bn: Vivendi and Sony emerge as buyers in two-part deal. Kingfisher airline sparks fears of collapse and seeks Indian state aid as shares fall. UniCredit set to exit London-based business. CME offers $300m to MF Global customers. Siberian court rejects claims against BP. Westinghouse forays into India, to invest Rs 70 crore. Godrej Locks eyes 24% revenue growth this fiscal. Food giant McCormick identifies India as a top priority market. Kenneth Cole partners with Mukesh Ambani's Reliance Brands to open 25 India stores. TVS Electronics to acquire some business of TVS-E Servicetec. Asian Paints consolidated net profit up by 18.7 per cent. After ITC closure, Manipal Group warns service halt in Nepal.

Economy Speaks… Bad loans of Indian banks rise 33% in Q2 to over Rs 1 lakh cr. Government plans Rs 5000 crore fund to spur R&D in private sector. Moody's to discuss India's sovereign rating with Finance Ministry on Monday. India's foreign exchange reserves at $314.665 billion as on November 4. India announces USD 100 mn credit facility to Maldives. Pakistan allows more imports from India as ties improve. Industrial growth slumps to 2-year low in September at 1.9%. Food inflation eases marginally at 11.81% . RBI deputy governor sees FY12 growth around 7.5-7.6 pc. Textile exports to newer markets gaining momentum in last 2 years The Captains of the Ships… Soon-to-be Prime Minister of Italy-Mario Monti. Chairman and Managing Director Reliance Industries- Mukesh Ambani. Former co-president of Goldman Sachs‘ operations in Asia-Yusuf Alireza.

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THE IBS TIMES

FOCUS OF THE WEEK- DEFICIT DISASTER!

- AKSHAY AGRAWAL

Okay, I agree! Indians do have this uncanny tendency to utilise the double edged-sword of scrutiny and criticism to almost every aspect of daily life they encounter, but sit patiently and breathe for a few seconds and then it hits you with a bang, is not this the very reason ‗We‘ (read Indian Brains) are lauded for?. Continuing with my belief that the acumen is what a person has and acuity is what he displays, as all of our amateur minds focus on ways to curb the double digit inflation, as we criticize Government‘s every action and inaction, even to extent of hurling abuses at the inertia displayed by the officials on matters of critical bearing. Surrogating the above problem Great India‘s rosy export story has started to unhook itself from the already ailing armour of the Indian Economy. Exports have grown just 11% in October Continuing with my belief that the acumen is what a person has and acuity is what he displays, as all of our amateur minds focus on ways to curb the double digit inflation, as we criticize Government‟s every action and inaction, even to extent of hurling abuses at the inertia displayed by the officials on matters of critical bearing

This will be the Government‟s first formal acceptance of the fiscal slippage with Mr.Pranab Mukherjee ,the Finance Minister hinting to it as a “great challenge”.

with the Imports already hustling at 20%, in the process catapulting the trade deficit of the ―twin deficits‖ to a record high of USD 20 Billion. With Commerce Secretary Rahul Khullar honestly admitting that considering the last four months the lowest export figure for any sector across all sectors is in October, thus implying that the export problem is not confined to just one sector. He also adds to the already glum situation by quoting that if anything untoward happens in the US ,Europe or else (you never know which zone may fall prey), not only will the Great Indian export Story be de-railed from its dream run to USD 300 Billion but also the knock-off and contagion effects will hit everybody. While the imports brazenly galloped to USD 40 Billion. So, the real problem is that the balance of trade had ballooned not because imports are suddenly growing but that the Exports have collapsed. The current balance of trade running at about USD 94 Billion, and the figure of USD 150 Billion even more imminent, this would mean an account deficit of over 3%,something definitely to be worried about. This has led the ministry to revise the budgeted target of 4.6% of GDP by several percentage points but still keeping it under the psychological mark of 5% .This will be the Government‘s first formal acceptance of the fiscal slippage with Mr.Pranab Mukherjee ,the Finance Minister hinting to it as a ‗great challenge‘. So with the ‗twin deficits‘ reeling under pressure the Macroeconomic concerns for Indian economy are bound to increase adding to the already tremendous pressure on the Indian Rupee, which has already witnessed a fall of over 10.5% this fiscal. With the finance ministry already initiating stricter measures and directives for all the ministries on their monetary exertions and also demanding that they stay within their allocation for the current financial year in an attempt to ensure that fiscal targets for the year are not breached. Along with the double whammy of a bleak global scenario and a fragile Indian Economy I would continue to advise the readers to tread ahead with caution and take well informed decisions by resorting to use of the great ‗Indian Brain‘ to its potential.

Hawala- is also known as hundi. has its origins from classical Islamic Law. It is an informal method of trans-fering money domestically or internationally through hawaladars. There are hardly ever any written contracts between parties and most transactions happen on good faith.

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THE IBS TIMES

NEWS @ IBS– ALL HAPPENINGS IN IBS HYDERABAD!

- AVINASH ROY

What a happening week this has been for the students of IBS. The week ended amidst sheer enthusiasm and excitement with 3 clubs conducting their events. While some of the events helped the students to broaden their horizon of knowledge, some proved out to be real fun for IBSians. Let us have a look at what all happened at IBS this week. MONEY MATTERS CLUB: FUNDS KA FUNDA By the very name one can make out that the event was something related to finance. Club Money Matters came up with a trading event this week ‗Funds ka Funda‘ based on Mutual Funds. The main concept behind the game was to make students aware of the trading techniques.First round was an elimination round which comprised of general awareness and basic mutual funds questions. Teams were shortlisted on the basis of the scores of the elimination round. Selected teams were given opening balance to start their trade for next rounds. 8 teams moved forward for the 2nd and 3rd round which was basically a trading round in which the teams had to trade depending upon the news being flashed. The team who earned maximum profit was declared the winner of the event. Hence Sanjeet and Aarti were the ultimate winners of the game. ECOBIZZ: Q & A’ SESSION SEMINAR ON INTERNSHIP Club Ecobizz conducted a healthy seminar regarding the summer internship program for the first year students of MBA. The seminar was all about the various queries which students have regarding their SIP program i.e which all companies should they apply for internship, how to make the most out of the internship program and moreover how to prepare for the selection process of SIP. Senior members of club Ecobizz shared their internship experiences and guided the first year students so that they can be well prepared for their upcoming internship program, selection for which has already been started by a few companies. Moreover the senior members of the club also shared some valuable tips given by the top 10 Internship project winners. XPRESSIONS: UGTE SURAJ KA SAPNA After a hectic weekly schedule of classes and case studies, finally students at IBS got some refreshment as Club Xpressions came up with a splendid play covering a serious issue and as always it again was successful to gain everyone‘s appreciation. This time the main theme of the play revolved around the problems being faced by the people of the north eastern states of India. It drew everyone‘s attention towards the illegal exploitation of the AFSPA (Armed Forces Special Powers Act) which had badly affected the social life and peace of these states. It also covered the crucial role of Irom Sharmila Chanu, a civil rights and political activist, also a poet who has been on hunger strike for the past 500 weeks demanding the Indian Government to repeal the AFSPA, which she believes is the main reason behind the never ending violence in Manipur and other north eastern states. The play was a huge success as it delivered refreshment with a pinch of social issue which triggered a sense of emotion amongst the audience. PLACEMENTS The placement process continued in its 3rd week with many companies visiting the campus for hiring upcoming managers from IBS. With increasing competition day by day, students are trying to give in their best shot to impress the recruiters by their technical skills. Some of the companies and banks which visited the campus this week were Ernst & Young, Cognizant, Fino, Tata Capital, ICICI etc. Senior management students were seen busy in their business attires over the campus throughout this week with zeal to excel by delivering the best out of themselves. Mixed moments of joy and sorrow could be seen as reaction from students after the final lists were uploaded by different companies. With many more companies yet to visit, it seems the selection process will keep the other senior management students busy for the next few weeks also.

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THE IBS TIMES MARKET WATCH

- ANSHUL BERIWAL

Indian market fell last week hurting banking and metal stocks. Fall in banking stocks was mainly due to moody‘s downgrade and rise in 10 year benchmark bond yield to 9%. September IIP numbers which was at 2 year low at 1.9%, Despite many rate hikes by RBI during the year, Food inflation dropped marginally to 11.81% on weekly basis and rupee was closed at two and half year low at 50.42 on weak performance of market and poor industrial production data. FII continue to buy during the week whereas domestic institutions were net sellers. Among the sectoral indices, only FMCG closed in green as FMCG leader Hindustan Unilever was trading at 52 week high. Cement stocks also attracted some buying where stocks like Madras cement, Ambuja Cements and India Cement recorded jumper gains. Realty and Bankex were the major losers during the week which lost amlost 5.5 to 6%. Metal sector also shed around 5% on disappointing TataSteel numbers. Among the other losers were Consumer durable and Consumer Goods which lost around 3-4% during the week. The Movers & Shakers of the Week Coming to the corporate news, September quarter results were announced by industry heavyweights like SBI, Tata Steel and Hindalco. Tata steel numbers were very much disappointing as they witnessed rise in raw material prices during the quarter and low demand in Europe region as a result stock was down 8.1% during the week. Kingfisher Airlines dropped 8.53% on Friday‘s trade as company‘s lenders threaten to claim on aircrafts. Call put ratio in Nifty indicates that markets are expected to trade in range of 4800 to 5200 for the week.

SURGES

%Change

DOWNFALLS

%Change

JAI CORP LTD

18.3

STERLING BIO-

20.8

JSW STEEL

16.4

JAIN IRRIGATION

11.3

ALLAHABAD BANK

16.1

REI AGRO LTD

8.3

Global Cues: Asia pacific markets saw some relief on Friday after heavy dip on previous day. Positive news from Europe and US data helped market to hold gains but Euro-zone worries are still a major concern for investors. Italy showed some progress in forming a new government for implementation of needed reforms and different political leaders in Greece agreed on new leader. Further Sentiments were boosted when Former European Central Bank Vice President Lucas Papademos was selected as New Prime Minister of Greece. In US Jobless and Trade data were announced which eased fears of recession. The coming week is expected to remain volatile as political happenings in Europe will drag the markets and investors sentiments especially in Italy and Greece. As Euro-zone happenings are uncertain, India needs to guard against fluctuation in rupee and inflationary pressures. Investors will keep close watch on FII inflows and Companies that are yet to announce results this week.

19000

12500 12170.18

18800 18600

S E N S E X

12300

12068.39

11893.79

12153.68

11780.94

18400

12100

11900

18200

11700

18000

11500

17800

11300

17600

11100

17400

10900

17569.53

17200

17362.1

17192.82

17000 01-07-2011

01-08-2011

01-09-2011

01-10-2011

10700

10500

01-11-2011

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D J I A


THE IBS TIMES MARKET WATCH 7 NOVEMBER 2011

8 NOVEMBER 2011

9 NOVEMBER 2011

10 NOVEMBER 2011

Sensex

-

17569.53

17362.10

-

Nifty

-

5289.35

5221.05

-

17192.82 5168.85

DJIA

12068.39

12170.18

11780.94

11893.79

12153.68

HangSeng

19677.89

19678.47

20014.43

18963.89

19137.17

FTSE100

5510.82

5567.34

5460.38

5444.82

5545.38

Gold ($/oz.)

1791.90

1789

1760.40

1766.80

1788.5

Crude($/bl)

111.08

113.79

113.13

111.67

113.76

INR v/s USD

49.04

49.40

49.59

50.16

50.75

INR EURO

67.59

67.99

68.31

68.81

68.86

v/s

11 NOVEMBER 2011

P-notes- or participatory notes are financial instruments used by hedge funds not registered with SEBI. Hedge funds invest in Indian stocks through custodians in India. P-Notes are issued by registered FIIs to overseas investors who want to invest in India without registering.

BUSINESS JARGONS BY – ANKIT SHARMA

Contact Us & Post Articles at— editor.ibstimes@gmail.com Join Us & Get E-copies at—

http://bit.ly/ibstimesgooglegroup http://bit.ly/ibstimesyahoogroup

DisclaimerThis newsletter is just a compilation of news from various sources. Thus, readers are expected to cross-check the facts before relying upon them. Though much care has been taken to present the facts without error, still if errors creep in, necessary feed back will be always welcomed. Editors will not be responsible for any undertakings. The newsletter is not meant for sale and hence, no part of the newsletter should be used without the prior permission of the editorial team.

SourcesThe Economics Times, The Hindu Business Line, Times of India, Business Standard, Financial Ex-press, Financial Times, Business Week, Business World, The Economist, Wall Street Journal, Bloomberg, Reuters, Moneycontrol.com, Vccircle.com, yahoofinance.com, Business Today, India Today, Investopedia.com, Wikipedia.com, DNA, The Deccan Chronicle, The Hindu, The Tele-graph.

EDITORIAL TEAMAKSHAY AGARAWAL, ANKIT SHARMA, ANSHUL BERIWAL, AVINASH ROY, AVLEEN KAUR SARNA, KRITIKA SETHI, POOJA DALAL.

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