Tuesday, August 20, 2013

Gitanjali Gems Ltd (CMP: Rs.77.05) hit another circuit in the mid-afternoon trade, even though the indices closed in the red. The scrip was recommended to my clients yesterday at around Rs.73.40. The share price of Gitanjali Gems Ltd fell dramatically from Rs.649.50 on 23 April 2013 to Rs 56.50 on 12 August, 2013.  Though earnings have been eroded, Life Insurance Corporation of India (LIC) still continues to own a stake in the company.  In June 2012, LIC owned 0.06 % in Gitanjali Gems Ltd which swelled to 4.89% by 30th June, 2013, according to latest shareholding patten exhibited on the BSE website. This has brought LIC under the scanner of the FMO. The ministry is now awaiting a word on LIC’s investment strategy. Even the foreign institutional investments reached 21.65% as on June 2013 from 15.09% as of, 30 June 2012. This indicates only BULLISHNESS in the scrip. Those who have still not entered today, inspite of reminding them though Yahoo Messenger & Facebook can try tomorrow. Hope, you get the same.
Today, Nifty_5700 Call was asked as a buy at Rs.5-5.50, with a SL of Rs.3. It hit Rs.6.9, giving some profits to the traders. In these kinds of markets, best is to go for caution, instead of going for reckless shots towards the goal. Please keep  your stop losses always ready or else, your entire capital could be wiped out. I have given another call today, to my clients, which hit the upper freeze. I shall disclose the name tomorrow in this blog, during the market hours. The scrip is expected to cross Rs.300, within a short time. Join my brokerage  house and enjoy free calls. 
Meanwhile, rumors mills are saying that the UPA government is pushing very hard to pass the Food Security Bill in the Parliament, which is not good for India at this stage; because it could escalate the High Fiscal Deficit. However, today, ET reported that Delhi BJP has protested against such wanton misuse of power by the UPA government. The news article is placed below:
The protest started from Delhi BJP's
headquarters at 14 Pant Marg but was
stopped at Talkatora Road near Ram
Manohar Lohia Hospital at around
1:15 p.m. Photo: The Economic Times
NEW DELHI: The Delhi unit of the BJP Tuesday protested against the food security programme launched by Congress president Sonia Gandhi at a function here.

Several party workers shouted slogans against the food security programme outside the Talkatora Stadium in central Delhi where the "ambitious" scheme was launched on late prime minister Rajiv Gandhi's 69th birth anniversary.

Delhi BJP chief Vijay Goel was leading the protest, which police tried to disperse it by using water cannons.

"It was a peaceful protest but by using water cannons against us, the Congress government has proved that they are anti-people and don't deserve to be in power," Goel said.

Another BJP leader, Jagdish Mukhi said the launch was only aimed at securing votes.

"This is not the food security bill but vote security bill. "It is a gimmick ahead of the elections to get votes," said Mukhi.

The protest started from Delhi BJP's headquarters at 14 Pant Marg but was stopped at Talkatora Road near Ram Manohar Lohia Hospital at around 1:15 p.m.

The road which leads to Talkatora stadium had been barricaded with around 200 policemen deployed in riot gear. The police used water cannons on the protestors after they tried to break the barricades.

The Food Security Bill, expected to be a game-changer for the ruling Congress ahead of five assembly polls this year-end and the 2014 general elections, aims to provide subsidised foodgrain at prices much below the market rate to around 67 percent of India's 1.2 billion people, or 800 million people.

The bill will cost the government around Rs.124,723 crore and will entail an additional burden of only Rs.23,800 crore, the Congress has said.

Courtesy: The Economic Times