Morning Alert..
*Retail inflation eases to a 12 month low in May, IIP slows in April*
Consumer Price Index (CPI)-based headline retail inflation eased to a 12-month low of 4.75 per cent in May on the back of a softening core and fuel inflation, even though food inflation remained elevated. Separately, the Index of Industrial Production (IIP) also moderated to 5 per cent in April from an upwardly revised figure of 5.4 per cent in the preceding month. Data released by the National Statistical Office (NSO) on Wednesday showed that food inflation remained sticky at 8.69 per cent in May from 8.7 per cent in April, driven by acceleration in the prices of cereals (8.69 per cent), eggs (7.62 per cent), fruits (6.68 per cent) and pulses (17.14 per cent). Though the prices of vegetables (27.3 per cent) decelerated as compared to the preceding month, they still saw a double-digit rise in May. The prices for protein-rich items like meat and fish (7.28 per cent), sugar (5.7 per cent) and milk (2.62 per cent) decelerated during the month. Rajani Sinha, chief economist, CARE Ratings, says though the fuel and light category (-3.83 per cent) remained in deflation and core inflation (3.1 per cent), which excludes food and fuel components, stayed benign, food inflation had remained sticky and is a matter of concern, especially in specific food categories like vegetables and pulses.
*India looks at Russia to secure rare mineral mining tech, partnership*
In a bid to secure critical mineral processing technology, the Ministry of Mines has initiated bilateral meetings with Russia, Business Standard has learned. The initiative aims to secure advanced technologies essential for the extraction and processing of key minerals, which are vital for various high-tech, automotive, and defence applications, officials said. This collaboration forms part of a broader strategy to attract investment in the mining and metal sectors and foster cooperation in mineral exploration. “The first round of consultations was held earlier this month. We are seeking Russian technology and their collaboration in exploring and mining minerals in India,” an official said. Official queries sent to the mines ministry seeking details of the deal remained unanswered until the time of going to press. The collaboration comes at a time when India is intensifying its efforts to achieve self-reliance in the mining sector, particularly in the context of critical minerals. While major chunks of foreign capital will be needed to exploit the reserves, India will also require advanced exploration techniques used by Russian firms to discover new mineral reserves, the official said.
*Global market action*
Dow Jones – Down by 0.11% or 42.55 points
FTSE – Up by 0.83% or 67.67 points
CAC – Up by 0.97% or 75.49 points
DAX – Up by 1.42% or 260.92 points
Gift Nifty – Up by 0.36% or 83.50 points
*FII/DII activities*
FII – Bought 426.63 Cr worth of shares
DII – Bought 233.75 Cr worth of shares.
*Stocks with high delivery Percentage*
Anand Rathi Wealth Ltd – 88.7%
Whirlpool of India Ltd – 87.6%
Prism Johnson Ltd – 87.4%
Pfizer Ltd – 84.1%
CCL Products India Ltd – 83.5%
*Primary market activities*
IPO opening today
United Cotfab Ltd (BSE SME) – Issue size 36.29Cr
*Commodities updates*
Gold – Rs 74350/10gm, Silver – Rs 90400/kg, Brcrude – Rs 6471/barrel, Copper – Rs 867.45/kg.
*Corporate News*
Muthoot Capital: The Debenture Issue and Allotment Committee has approved the allotment of 10,000 NCDs each having a face value of Rs 1 lakh each aggregating to Rs100 crores for a tenor of 24 months on private placement basis.
FIU fines Axis Bank Rs 1.66 cr for failing to detect fraud NSG account.
Gensol Engineering Ltd emerged as a successful bidder for Gujarat Urja Vikas Nigam Ltd's 250 MW (500 MWh) Battery Energy Storage Project worth Rs 1,340 crore.
