Mar 1, 2008

News Across Web - 1st March 2008

***Indian IT industry dissatisfied with budget

***Budget evokes mixed reactions from realty sector

***Budget growth-oriented but ignores NRIs: Experts

***Market may see wild swings despite what FM offers

***Maruti Suzuki reduces car prices after tax cut

***Rupee loses, Gold drops

***Gold demand low as prices hit new records

***World oil prices likely to rise more: Venezuela

***Google unveils personal medical record service

 

Indian IT industry dissatisfied with budget

NEW DELHI: The Indian IT and ITeS industry across all sectors on Friday felt let down by the national budget for 2008-09, finding little in it to boost growth prospects.

The National Association of Software and Services Companies (Nasscom), the leading IT industry lobby, indicated extreme disappoint as Finance Minister P. Chidambaram did not comment on extending the Software Technology Parks of India (STPI) scheme.

The scheme, offering tax sops for the industry, expires March 31, 2009.  Full Story

 

 

Budget evokes mixed reactions from realty sector

NEW DELHI: The Indian real estate sector has welcomed the overall impact of budget while saying that it could have done more for the industry.

"The budget will boost the socio-economic infrastructure of the country by giving due emphasis to education, health and hospitality sector. The budget has, however, not fully addressed the demands of real estate industry", said Pradeep Jain, chairman of Parsvnath Developers Ltd.

"While we welcome the emphasis on education and health given by the finance minister, the long-awaited demand for industry status for real estate would have gone a long way in providing the desired impetus to the growth of the sector, which is highly capital intensive.

"The sops given to infrastructure and housing sector in rural areas are welcome. However, a reduction in duties and service tax benefits directly to consumers would have propelled the demand for realty across the country. Full Story

 

Budget growth-oriented but ignores NRIs: Experts

WASHINGTON: US-based Indian scholars today termed the Union Budget as growth-oriented and "populist" while lamenting the non-inclusion of any benefits for NRIs. "The budget is in line with expectations. With the election year fast approaching, the Finance Minister has proposed a populist budget aimed at using fiscal measures to boost growth and control inflation," said Anirudh Sarathy, analyst for StreetEdge Investments in San Ramon, California.

While describing the budget as a "good" one, Dr Kamala Edwards, President of the Indian-American Leadership Council, said Finance Minister P Chidambaram seems to have missed an opportunity to provide incentives to NRIs like China did. "One thing that is missing is that the Finance Minister should have given some more incentives for NRI investments like China has done for its citizens and this has been a very good feature because that made growth almost permanent for China," Edwards said. Full Story

 

Market may see wild swings despite what FM offers

MUMBAI: If previous trends are any indication, it is going to be another volatile day on Dalal Street on Friday, as the finance minister unveils the Union Budget.

Day traders would not mind it, given that they thrive whenever there are wild swings in the market. However, experts are advising retail investors not to base their investment decisions purely on the announcements made in the Budget.

n the past 19 Budgets since 1991, the stock market has shown a mixed trend on the Budget day. However, the market has not reacted strongly — negative or positive — for the past six budgets on a closing basis, with the exception of the previous year. Brokers' watchers say this is an indication that the Budget is increasingly losing relevance as far as the stock market is concerned. Full Story

 

Maruti Suzuki reduces car prices after tax cut

CHENNAI: Leading car maker Maruti Suzuki Ltd Friday announced a reduction in prices of some of its models following Finance Minister P. Chidambaram's proposal to trim excise duty by four percent.

The prices of all six models that qualify for the lower excise benefit - Maruti 800, Omni, Zen, WagonR, Swift Diesel and Alto - will be reduced.

The price reduction ranges from Rs.6,500 for Maruti 800 to Rs.18,030 for Swift Diesel (ex-showroom Delhi), the company said in a statement Friday evening. Full Story

 

 

Rupee loses, Gold drops

Gold demand low as prices hit new records

MUMBAI: The demand for gold was slack on Friday as the metal powered to new highs on the back of a weak dollar and firm crude oil overseas, giving profit takers a chance to offload holdings, dealers said.

"There are more sellers than buyers," said Kapilkumar of Chokshi Arvind Jewellers, a prominent trader in Zaveri Bazaar who buys scrap jewellery and bars from consumers. Full Story

 

 

World oil prices likely to rise more: Venezuela

CARACAS: Venezuelan President Hugo Chavez predicted on Friday record world oil prices would continue to rise in what would be a concern for consumer nations worried about crude's impact on inflation in their economies.

"Everything indicates that the oil price will continue to get stronger," Chavez, a price hawk in OPEC, said during a political speech, without elaborating.

 

On Friday, oil prices fell from peaks above $103 a barrel as Turkey's withdrawal of troops from northern Iraq eased geopolitical tensions, clipping the fund-driven rally to new inflation-adjusted highs. Full Story

 

 

Google unveils personal medical record service

ORLANDO: Google Inc has unveiled a plan to help U.S. patients gain control of their medical records and is working with doctors' groups, pharmacies and labs to help them securely share sensitive health data.

The company's long-rumored entry into the highly sensitive field came when Chief Executive Eric Schmidt introduced Google Health at a health-care conference in Florida on Thursday. Full Story

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