Key benchmark indices advanced as European stocks edged higher and US index futures rose on easing tensions between Ukraine and Russia after Russian troops reportedly were ordered back to their bases. The barometer index, the S&P BSE Sensex, settled above the psychological 21,000 mark. The BSE Sensex and the 50-unit CNX Nifty, both, settled at their highest level in 5-1/2 weeks. The Sensex was up 263.08 points or 1.26%, up 269.34 points from the day's low and off 14.91 points from the day's high. The market breadth, indicating the overall health of the market, was positive. Except BSE IT index and the BSE Healthcare index all the other sectoral indices on BSE were in the green.
The Sensex has risen 89.61 points or 0.42% in so far in March 2014 (till 4 March 2014). The Sensex had gained 606.27 points or 2.95% in February 2014. The Sensex has risen 39.05 points or 0.18% so far in calendar 2014 (till 4 March 2014). From a record high of 21,483.74 on 9 December 2013, the Sensex has declined 274.01 points or 1.27%. From a 52-week low of 17,448.71 on 28 August 2013, the Sensex has risen 3,761.02 points or 21.55%.
Coming back to today's trade, metal stocks rose across the board. GMR Infrastructure rose after a consortium led by the company has won construction package of rail line doubling between Jhansi and Bhimsen stations in Uttar Pradesh. IVRCL jumped after the company said that its irrigation division and water division have bagged orders worth an aggregate Rs 2632.85 crore. Shares of Tata group companies were in demand on renewed buying.
The market edged higher in early trade. It hovered in positive terrain in morning trade. It extended gains and hit fresh intraday high in mid-morning trade. It further strengthened and hit fresh intraday high in early afternoon trade. Key benchmark indices extended gains and hit fresh intraday high in afternoon trade in afternoon trade. It held firm in mid-afternoon trade. It hit fresh intraday high in late trade.
The market sentiment was boosted by data showing that foreign funds were net buyers of Indian stocks on Monday, 3 March 2014. Foreign institutional investors (FIIs) bought shares worth a net Rs 204.30 crore on Monday, 3 March 2014, as per the data from the Securities & Exchange Board of India (Sebi).
Crude oil futures fell for the first time in three days on Tuesday amid speculation that supply concerns because of tension between Russia and Ukraine may be exaggerated. Brent crude oil futures for delivery in April 2014 were down $1.38 a barrel or 1.24% at $109.82 a barrel.
The S&P BSE Sensex was up 263.08 points or 1.26% to 21,209.73, its highest closing level since 23 January 2014. The index rose 277.99 points at the day's high of 21,224.64 in late trade, its highest level since 24 January 2014. The index dropped 6.26 points at the day's low of 20,940.39 in early trade.
The CNX Nifty was up 76.50 points or 1.23% to 6,297.95, its highest closing level since 23 January 2014. The index hit a high of 6,302.15 in intraday trade, its highest level since 24 January 2014. The index hit a low of 6,215.70 in intraday trade.
The BSE Mid-Cap index rose 84.85 points or 1.31% to 6,565.59, outperforming the Sensex. The BSE Small-Cap index rose 66.63 points or 1.03% to 6,515.79, underperforming the Sensex.
The S&P BSE Metal index (up 3.31%), the S&P BSE Bankex (up 2.47%), the S&P BSE Capital Goods index (up 2%), the S&P BSE Consumer Durables index (up 1.95%), the S&P BSE Power index (up 1.84%), the S&P BSE Oil & Gas index (up 1.57%) outperformed the Sensex.
The S&P BSE Realty index (up 1.03%), the S&P BSE FMCG index (up 0.89%), the S&P BSE Auto index (up 0.47%), the S&P BSE Teck index (up 0.17%), the S&P BSE IT index (down 0.01%) and the S&P BSE Healthcare index (down 0.4%) underperformed the Sensex.
The total turnover on BSE amounted to Rs 2148 crore, lower than Rs 3862.96 crore on Monday, 3 March 2014.
The market breadth, indicating the overall health of the market, was positive. On BSE, 1,599 shares gained and 1,108 shares fell. A total of 139 shares were unchanged.
Index heavyweight and cigarette major ITC gained 0.76% to Rs 331.15. The stock hit high of Rs 334 and low of Rs 328.25.
Index heavyweight Reliance Industries (RIL) rose 1.49% to Rs 815.50. The scrip hit high of Rs 816.55 and low of Rs 803.
Bharti Infratel gained 2.54%. Reliance Jio Infocomm (Reliance Jio), a subsidiary of Reliance Industries (RIL) and Bharti Infratel, after market hours today announced the signing of a Master Services Agreement. Under the agreement, Reliance Jio would utilize the telecom tower infrastructure of Bharti Infratel to launch its services across the country. As per the agreement, the pricing would be at 'arm's length,' based on prevailing market rates.
Sanjay Mashruwala, Managing Director, Reliance Jio said, This agreement is in line with our earlier comprehensive telecom infrastructure sharing arrangement with Bharti Airtel aimed at avoiding duplication of infrastructure, wherever possible, and to preserve capital and the environment. The agreement will help us with the faster roll out of our services across the country.
D S Rawat, CEO - Bharti Infratel said, We are delighted with this agreement to offer our world-class telecom infrastructure to Reliance Jio. Our vast footprint and high network uptime levels will offer significant synergies of faster access to market and lower operational costs. The agreement would also benefit our existing customers with lower rentals and energy charges as a result of additional sharing. We look forward to a long and mutually beneficial relationship with Reliance Jio.
GAIL (India) rose 3.4% to Rs 381.20. The stock hit 52-week high of Rs 381.90 in intraday trade.
Oil & Natural Gas Corporation (ONGC) gained 2.47%. ONGC after market hours said that a meeting of the Board of Directors of the company will be held on 24 March 2014, inter alia, to consider payment of Second Interim Dividend for the financial year ending 31 March 2014. ONGC fixed 29 March 2014 as Record Date" for determining entitlement of shareholders for payment of Second Interim Dividend. Payment of Interim Dividend, if declared, shall start from 31 March 2014 onwards to the shareholders, ONGC said.
Metal stocks rose across the board. Hindalco Industries (up 7.82%), Hindustan Zinc (up 4.15%), Sesa Sterlite (up 4.7%), JSW Steel (up 2.52%), Jindal Steel & Power (up 2.97%), Tata Steel (up 2%), Sail (up 2.9%), NMDC (up 3.15%), National Aluminum Company (up 3.34%) and Hindustan Copper (up 3.69%) gained.
Bharti Airtel rose 0.35% after the company said during market hours that "Airtel Networks Kenya ("Airtel Kenya") has sought an approval from the Communications Authority of Kenya (CAK), to acquire the telecommunications licenses and subscribers of Essar Telecom Kenya, which operates under the brand name 'yuMobile'.
The proposed arrangement envisages over 2.7 million customers of Essar Telecom Kenya becoming part of Airtel Kenya's mobile network. The proposed association will undergo seamless integration once definitive agreements are signed, and requisite regulatory and statutory approvals are received."
IT stocks were mostly higher on positive economic data in US, the biggest outsourcing market for the Indian IT firms. Infosys (up 0.25%), TCS (up 0.3%), and Wipro (up 0.27%) gained. HCL Technologies (down 1.6%) and Tech Mahindra (down 0.27%) declined.
Bank shares rose across the board. Among private bank stocks, Axis Bank (up 3.57%), ICICI Bank (up 3.61%), Yes Bank (up 5.92%), Kotak Mahindra Bank (up 0.75%) and HDFC Bank (up 0.73%) rose.
Dhanlaxmi Bank spurted 16.08% to Rs 34.65 after the bank said its board by circulation on 1 March 2014 has approved to issue and allot 5.96 crore shares at Rs 39 per share aggregating to Rs 232 crore through preferential allotment. The announcement was made during trading hours today, 4 March 2014. Dhanlaxmi Bank has scheduled an Extraordinary General Meeting (EGM) on 29 March 2014 to take necessary approval from the shareholders for the preferential share allotment.
Among PSU bank stocks, Bank of Baroda (up 5.67%), Punjab National Bank (up 4.86%), Bank of India (up 3.77%), Canara Bank (up 3%), Union Bank of India (up 4.18%) edged higher.
State Bank of India rose 2.09% after the bank said after market hours on Monday, 3 March 2014 that the Central Board of the bank, at its Meeting held on 3 March 2014, has declared an interim dividend at the rate of Rs 15 per equity share for the year ending 31 March 2014. The date of payment of the interim dividend is fixed as 2 April 2014 and the dividend warrants will be payable, in India, at par at all branches of State Bank of India, irrespective of the amount. SBI said that the Register of Members & Share Transfer Books of the bank will remain closed from 13 March 2014 to 17 March 2014 (both days inclusive) for the purpose of payment of interim dividend.
Bharat Heavy Electricals advanced 2.77% to Rs 167 after Life Insurance Corporation of India bought 4.66% stake in the company from the Government of India through a bulk deal on BSE on Monday, 3 March 2014. Life Insurance Corporation of India (LIC) on Monday, 3 March 2014, bought a 4.66% stake in Bharat Heavy Electricals (Bhel) from the Government of India in a block deal totalling Rs 1889 crore, BSE data showed. LIC bought 11.41 crore shares of Bhel at Rs 165.55 each.
With the block deal, the government's stake in Bhel has come down to 63.05%, from 67.72% earlier.
Shares of other capital goods companies also rose. ABB India (up 1.52%), L&T (up 1.73%), Crompton Greaves (up 4.4%), Thermax (up 3.67%) and Siemens (up 0.41%) gained.
GMR Infrastructure rose 2.21% after a consortium led by the company has won construction package of rail line doubling between Jhansi and Bhimsen stations in Uttar Pradesh. The company made the announcement during trading hours today, 4 March 2014.
GMR Infrastructure (GMR) is the lead member of the consortium with TATA Projects & Kalindee Rail Nirman as the partner for OHE and track works, S&T works respectively. The total contract is valued at approximately Rs 267 crore of which GMR's share of work is about Rs 135 crore, the company said. The project is scheduled to commence from 2 April 2014 and duration for completion of the project is 42 months.
GMR said that Rail Vikas Nigam has issued the letter of award (LoA) to GMR consortium on 20 February 2014.
Mr. Arun Kumar Sharma, CEO, GMR Urban Infrastructure & Highways said, "As a part of our Asset Light strategy, we are very happy to announce our first foray into the very promising railway construction sector. This win reflects our long term vision of building our EPC expertise in a niche segment like Railways, and will pave the way for similar projects in future".
Power Grid Corporation of India rose 1.48%. The stock turned ex-dividend today, 4 March 2014, for interim dividend of Rs 1.27 per share for the year ending 31 March 2014.
Hindustan Construction Company jumped 4.84% after the company said it bagged a Rs 903.83 crore order in joint venture with GVPR Engineers from Karnataka Neeravari Nigam. The announcement was made after market hours on Monday, 3 March 2014.
Hindustan Construction Company (HCC), in a joint venture with GVPR Engineers, has been awarded a contract worth Rs 903.83 crore from Karnataka Neeravari Nigam. The contract is for diversion of flood water from Sakleshpura (West) to Kolar/Chikkaballapur (East) under Yettinahole Diversion Project-Package-4. HCC's share in the joint venture is 50%. The project will be completed in 36 months.
Karnataka Neeravari Nigam, which has awarded the contract, is Karnataka Governments nodal agency to implement major irrigation projects. Yettinahole is a tributary of Netravati River and the Karnataka Government enterprise is diverting flood water from Sakaleshpur (West) to drought prone areas of Chikkaballapur and Kolar districts.
The scope of work includes Survey, Investigation, Design and Construction of Weir-2, Weir-6, Weir-7, Weir-8, Jack Well cum Pump Houses, Water pipelines at four different locations connecting to common Delivery Chamber-1 (DC-1) and also Delivery Chamber-5 (DC-5) from Weir-2,110 KV electrical substations with mechanical works consisting of vertical turbine pumps designed for a maximum pump head up to 90 meters.
The scope of work also includes operation and maintenance for a period of 5 years after successful commissioning of the scheme and obtaining environmental clearance and other statutory clearances from competent authorities on turn key basis.
Commenting on the prestigious order won, Arun Karambelkar, President and Whole Time Director HCC said, "We are delighted to be associated with this prestigious project that will bring water to parched areas of Chikkaballapur and Kolar districts. HCC as the country's leading company engaged in building infrastructure for India will continue to focus on large magnitude projects in critical sectors like water".
IVRCL jumped 8.47% after the company said that its irrigation division and water division have bagged orders worth an aggregate Rs 2632.85 crore. The company made the announcement during trading hours today, 4 March 2014.
IVRCL said its irrigation division bagged five orders worth Rs 2492 crore. The division won three separate orders from Karnataka Neeravari Nigam (KNNL) and two separate orders from Krishna Bhagya Jala Nigam (KBJNL) in Karnataka state.
The water division won a single order worth Rs 140.85 crore from Government of Andhra Pradesh, INCAP, Hyderabad, the company said in a statement.
Maruti Suzuki India rose 1.05% to Rs 1,589.30 with the stock reversing intraday fall in volatile trade. The stock hit high of Rs 1,604.45 and low of Rs 1,551. The Reserve Bank of India (RBI) notified on Monday, 3 March 2014, that the foreign share holding in Maruti Suzuki India by Foreign Institutional Investors (FIIs) under Portfolio Investment Scheme (PIS) has reached the trigger limit of 22%. Hence, further purchases of equity shares of this company by FIIs would be allowed only after obtaining prior approval of the RBI. As on 31 December 2013, FIIs held 21.47% stake in Maruti Suzuki India.
Maruti Suzuki India's (MSIL) total sales declined 0.4% to 1.09 lakh units in February 2014 over February 2013. Domestic sales rose 1.8% to 99,758 units in February 2014 over February 2013. Exports dropped 19.5% to 9,346 units in February 2014 over February 2013. The company announced sales figures on Saturday, 1 March 2014.
Ashok Leyland rose 0.32%. The company's total sales fell 21% to 7,915 units in February 2014 over February 2013. Total sales of medium and heavy commercial vehicles (M&HCV) fell 21% to 5,576 units. Total sales of light commercial vehicles (LCV) fell 22% to 2,339 units in February 2013 over February 2013. The announcement was made after market hours on Monday, 3 March 2014.
The company's total sales rose 0.87% to 7,915 units in February 2014 over January 2014. Total sales of M&HCV rose 0.83% to 5,576 units. Total sales of LCV rose 0.95% to 2,339 units in February 2014 over January 2014.
Hero MotoCorp (HMCL) rose 1.32%. The company reported yet another month of over five-lakh unit sales. HMCL despatched 5.04 lakh units of two-wheelers in the month of February 2014, a tad higher than 5.01 lakh units in February 2013. The announcement was made after market hours on Monday, 3 March 2014.
Mr, Anil Dua, Sr. Vice President (Marketing & Sales), HMCL, said "We have been consistently selling over five lakh units every month, and this is clearly indicative of the inherent market demand that exists for our products. There has been a excise duty cut in the month of February' and we have passed on the benefit to our customers. We are hopeful that this price cut will give a fillip to the industry and further boost demand of our products. The recent Auto Expo - where we showcased over a dozen new products and concepts - also seems to have strengthened the market sentiment.
We plan to create further excitement in the market with as many as four models - the newer versions of Pleasure, Xtreme, Karizma and ZMR - ready to roll out later this month," he added.
In keeping with its stated objective of reaching 50 global markets by 2020, HMCL launched its operations in: Turkey in partnership with Asya Makina (Asya Dis ticaretvemakina san ltd sti), a part of the diversified Soysal Group. The company has started its operations in this strategic market with as many as 50 outlets spread across the country.
At the recent Auto Expo - the Motor Show in Delhi, HMCL showcased over a dozen models including the concepts - the 150cc diesel two-wheeler RNT, electric motorcycle SimplEcity, 'iON' and the 620cc Hastur. It also unveiled a bouquet of exciting new scooters - 150cc 'ZIR' in two variants. 125cc 'DARE' and the 110cc scooter 'DASH'
Shares of Tata group companies were in demand on renewed buying. Titan Company (up 1.79%), Tata Power Company (up 2.24%), Tata Communications (up 3.94%), Tata Motors (up 0.6%), Voltas (up 4.22%), Tata Chemicals (up 8.12%), Tata Metaliks (up 4.12%), Tata Global Beverages (up 2.82%), Rallis India (up 2.03%), Tata Investment Corporation (up 9.08%), Tata Coffee (up 3.1%), Tata Teleservices Maharashtra (up 1.94%) and Tata Sponge Iron (up 5.86%) gained.
DLF rose 0.72% to Rs 140, with the stock reversing intraday fall in volatile trade. The stock hit high of Rs 141 and low of Rs 136.45. The company after market hours on Monday, 3 March 2014 in its clarification has completely and vehemently denied allegations about a story aired by television media that evening raising certain allegations related to a parcel of land owned by a subsidiary of the company, Edward Keventer (Successors) (EKSPL).
The allegations made are completely at variance with the facts, are false and baseless. It is unfortunate that the story was aired without the channel contacting the Company to ascertain the true facts.
EKSPL was acquired by the company in a private transaction over a decade ago. The requisite approvals have been sought pursuant to court directions obtained after protracted litigation and by strictly following due process in this regard. The company wishes to reiterate that it conducts its business in strict compliance with all the applicable laws of the land, DLF added.
Thomas Cook (India) rose 1.28% to Rs 75.45 after the company said it has partnered with Y-Axis, a premier immigration and visa consultant in the country. The announcement was made during trading hours today, 4 March 2014.
Thomas Cook (India) said that the association with Y-Axis will offer the convenience of a holistic and seamless product-service experience to Indians travelling overseas for permanent residency, on work permits or education. Internal research at Thomas Cook (India) has highlighted a significant potential growth in Indians travelling abroad on work permit, permanent residency and studies, especially to Australia, Canada & Denmark, and this strongly viable market is one that Thomas Cook (India) & Y-Axis intend to jointly target, Thomas Cook said in a statement.
Commenting on the association, Mr. Mahesh Iyer, COO & Head - Foreign Exchange, Thomas Cook (India) said, "Thomas Cook India's pioneering expertise in providing world class travel & foreign exchange solutions and the legacy of Y-Axis in the immigration and visa consultancy segment will ensure a truly comprehensive product offering for consumers. The focus of both our organizations on excellence in product and service delivery forms a crucial element of this alliance and we look forward to jointly leveraging the opportunity in this growing market of immigration, long term work and education".
Commenting on the association, Mr. Xavier Augustin, Founder & CEO, Y-Axis Solutions said, "Our endeavor at Y-Axis is not only to ensure good counseling by looking into the needs of our clients but also provide an array of immigration services. Encompassing all possible requirements from assistance in evaluating the right destination, thorough visa documentation to meeting submission timelines through our concierge services. Now with Thomas Cook India, market leaders in travel and travel services, as our partners, we will be able to offer value added services, mainly, Foreign Exchange. This will help us provide a more comprehensive solution to our clients who are aspiring to relocate overseas".
Suven Life Sciences rose 1.57% after the firm announced that it has granted an exclusive license and right to distribute and market its Malathion lotion USP 0.5% w/v in USA, Canada and Mexico to Taro Pharmaceuticals North America, Inc., a subsidiary of Taro Pharmaceutical Industries. Malathion lotion is indicated for patients infected with Pediculus humanus capitis (head lice and their ova) of the scalp hair. In consideration for the exclusive license and right to distribute and market Malathion lotion 0.5%w/v USP in North America, Taro will pay Suven a royalty and the arrangement is effective until April 2028 unless otherwise terminated, Suven said in a statement. The announcement was made during trading hours today, 4 March 2014.
Jubilant Life Sciences rose 2.99% after the company said its wholly-owned subsidiary Jubilant First Trust Healthcare has sold its hospital business to Narayana Health. The announcement was made after market hours on Monday, 3 March 2014.
Jubilant First Trust Healthcare (JFTH), a wholly owned subsidiary of Jubilant Life Sciences (JLL) sold its hospital business to Narayana Health. JFTH operates two hospitals in West Bengal, Kalpataru in Barasat and Rabindranath Thakur in Berhampore. The business has been transferred on a going concern basis as a slump sale which will enable JLL to focus on its core businesses in Pharmaceuticals and Life Sciences, the company said in a statement.
Commenting on the occasion, Ms. Aashti Bhartia, Director Jubilant First Trust Healthcare said, "We entered the hospital business with the vision to build high quality and affordable healthcare. We are happy to hand over the hospitals to Narayana Health, whom we are confident of taking the vision forward".
Speaking on the occasion, Dr. A. Raghuvanshi, Vice Chairman, MD and Group CEO, Narayana Health said, "The acquisition of Jubilant First Trust Healthcare's hospital business in West Bengal is part of our strategic growth plan for East India. We have plans to upgrade the facilities at Jubilant Kalpataru Hospital in Kolkata to offer tertiary level super-speciality care in four to six months. We are glad to include these hospitals into our network and reinforce our commitment to West Bengal in bringing high-class super-speciality healthcare services within the reach of the common man".
Elantas Beck India lost 3.37% to Rs 529.30 as the floor price for the offer for sale of shares by the promoter was set at a discount of 17.84% to the stock's closing price on Monday, 3 March 2014. Elantas Beck India's promoter Elantas GmbH is selling 2.69 lakh equity shares, representing approximately 3.39% of the total paid-up equity share capital of the company, via Offer for Sale (OFS) through stock exchanges today, 4 March 2014, to dilute their stake in order to meet market regulator Sebi's norms on minimum public shareholding. The floor price for the OFS was set at Rs 450 per share after market hours on Monday, 3 March 2014. The floor price was at a discount of 17.84% to the stock's closing price of Rs 547.75 on Monday, 3 March 2014.
Currently the promoter Elantas GmbH holds 78.39% stake in Elantas Beck India. As per Sebi norms, the promoter shareholding in private companies should not exceed 75%.
In the foreign exchange market, the rupee reversed intraday losses against the dollar. The partially convertible rupee was hovering at 61.9850, compared with its close of 62.04/05 on Monday, 3 March 2014.
Markit Economics will unveil the result of a monthly survey on the performance of India's services sector for February 2014 tomorrow, 5 March 2014. The HSBC Services Business Activity Index increased from December's 46.7 to 48.3 in January 2014.
Reserve Bank of India next undertakes monetary policy review on 1 April 2014. Citing price pressures, the Reserve Bank of India raised its key lending rates by 25 basis points after Third Quarter Review of Monetary Policy for 2013-14 on 28 January 2014.
European stocks rose on Tuesday, rebounding from their biggest loss in more than five weeks on Monday, as investors watched the military standoff in Ukraine. Key benchmark indices in France, Germany and UK rose 1.02% to 1.64%.
A policy meeting of the Governing Council of the European Central Bank (ECB) will be held on Thursday, 6 March 2014, in Frankfurt to decide euro zone interest rates. European Central Bank President Mario Draghi recently signaled the central bank's March policy meeting could be critical in determining whether the ECB will provide additional stimulus to shore up the nascent euro-zone economic recovery.
A two-day meeting of Bank of England's Monetary Policy Committee (MPC) will be held on Wednesday 5 March 2014 and Thursday 6 March 2014 to decide interest rates in UK. Policy rates are expected to remain unchanged at record low. The UK's central bank slashed interest rates to record low of 0.5% at the height of the financial crisis in 2009.
Asian stocks were mostly higher on Tuesday as investors weighed the crisis in Crimea and ahead of the National People's Congress annual meeting in China starting tomorrow. Key benchmark indices in Indonesia, Singapore, Japan and Hong Kong rose by 0.37% to 0.7%. Key benchmark indices in China, Taiwan and South Korea were off 0.18% to 0.55%.
Investors are considering signs of a global economic recovery against tension in the Crimea after Ukraine said Russia has 16,000 troops onto its soil and that Russian forces are threatening to seize its warships. Crimea, where ethnic Russians comprise the majority, has become the focal point of Ukraine's crisis after an uprising triggered last month's ouster of President Viktor Yanukovych. Ukraine has mobilized its army and called for foreign observers after Russian forces took control of the peninsula. Russia, which keeps its Black Sea fleet at Sevastopol, raised its key interest rate yesterday as asset prices plummeted.
A meeting of China's lawmakers to set economic policy and growth targets begins tomorrow, 5 March 2014. The latest meeting of the legislature, the first to be overseen by President Xi Jinping and Premier Li Keqiang, comes as leaders pledge to give markets a "decisive" role in the economy. Investors will be watching the National People's Congress (NPC) meeting for clues to the next steps to fix local-government finances, charge market prices for natural resources, rein in shadow-banking risks, free up deposit rates and open up state businesses to private investment.
Australia's central bank reiterated that it's likely to maintain a period of record-low interest rates and renewed a reference to the currency's strength. Governor Glenn Stevens and his board kept the overnight cash-rate target at 2.5%, saying in a statement that housing prices have increased significantly and the Aussie remains high by historical standards.
Trading in US index futures indicated that the Dow could gain 119 points at the opening bell on Tuesday, 4 March 2014. US stocks sank the most in a month, joining a global selloff in equities on Monday, as investors sought havens on concern that Russia's military presence in Ukraine could lead to a larger conflict.
Data in the US Monday showed manufacturing expanded at a faster pace than projected in February, a sign the industry was beginning to overcome bad weather across much of the country. The Institute for Supply Management's manufacturing index rose to 53.2 in February from 51.3 a month earlier. Readings above 50 signal expansion. A separate report indicated consumer spending rose 0.4% in January after a 0.1% gain the prior month.
The Federal Open Market Committee (FOMC) next undertakes monetary policy review on 18-19 March 2014. After a monetary policy review, the FOMC on 29 January 2014 announced it will reduce monthly bond purchases by another $10 billion to $65 billion.
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