Markets set to open higher; Fed meet eyed

Here are a few stocks you need to keep a tab on for today

Markets are likely to open high in the morning deals tracking firm global cues as investors hope that Federal Reserve may adopt a cautious stance this week.

GLOBAL MARKETS

Asian shares got a boost on Tuesday from Wall Street's rise, as investors positioned for the possibility that weaker-than-expected U.S. data will prompt the Federal Reserve to adopt a cautious stance this week.

Crude oil remained under pressure from a global supply glut, after U.S. crude CLc1 lost as much as 4 percent in the previous session to hit a six-year low. It was last down about 0.4 percent at $43.72 a barrel.

The Federal Open Market Committee is scheduled to begin its two-day policy meeting later on Tuesday, and many analysts had expected the central bank to drop the word "patient" from its formal statement on the timing of its first interest rate increase since 2006. Economists polled by Reuters split almost evenly on whether a rate increase will come in June or later in the year.

But downbeat data on U.S. manufacturing, industrial output and housing on Monday offered the Fed a reason to toe a cautious line on policy.

The early indicator SGX Nifty is quoting at 8,710 up 0.5%.

STOCKS TO WATCH

After the passage of the insurance Bill, Indian promoters of life insurance companies are expected to see inflows of around Rs 50,000 crore through stake sale to foreign partners or other financial intermediaries and issue of more shares. Kotak Institutional Equities, in a recent report, says the top five life insurance companies – Bajaj Allianz, HDFC Standard Life, ICICI Prudential, Max Life and SBI Life – stand to make capital gains of Rs 20,000 crore if they pare their stake to 51 per cent, without issuing more shares. The report said that improving 'Annual Premium Equivalent' (APE) flows on strong capital markets will boost Embedded Value (EV) growth, driving valuations of insurance companies (and capital gains for their parent).

Banks have shown healthy growth in their advance tax deposit this quarter, with the highest payer, State Bank of India, depositing Rs 1,750 crore, 20 per cent higher than in the corresponding period of the previous year.

According to sources, ICICI Bank and YES Bank have shown 32 per cent and 30 per cent jump in their tax deposit to Rs 1,295 and Rs 260 crore, respectively, in the quarter. Advance tax numbers are significant, as they are used by analysts to reverse-calculate profit before taxes.

Procter & Gamble Co is exploring a sale or initial public offering of some of its beauty brands in a single deal, people with knowledge of the matter said, in a move that would accelerate its plans to exit up to 100 product lines.

In the latest sign of the crisis facing real estate companies, Gurgaon-based DLF has launched a mega discount sale of its properties, believed to be its largest so far, in cities across the country to drum up interest.

The company is offering discounts in 16 projects across Delhi, Bengaluru, Chennai, Kochi, Lucknow, Panchkula, Bhubaneswar, Kasauli and New Chandigarh as part of its DLF Spring Festival that will end on March 31.

BSE-listed infrastructure company Ashoka Buildcon is all set to raise Rs 500 crore via qualified institutional placement (QIP), as it gears up for aggressive expansion.

Drug maker Granules India said US health regulator FDA has inspected its Gagillapur manufacturing facility near Hyderabad and did not find any deviation from good manufacturing norms. 

Mumbai is all set to get a new Taj hotel (its third in this city) in the next few weeks. Its parent, the Tata Sons-promoted Indian Hotel Company (IHCL), will throw open the doors to a 279-room property just outside the domestic airport.

Amtek Auto , one of India's largest auto component makers, is all set to acquire Scholz Edelstah GmbH of Germany through its 100% Singapore based subsidiary Amtek Precision Engineering Pte. Limited