Mumbai, February 8
The Bombay Stock Exchange Sensex fell for a seventh session on Friday to the lowest close this year as India's biggest utility vehicle manufacturer Mahindra & Mahindra and cement makers Ambuja Cements and ACC retreated after their earnings missed estimates.

During the week, the BSE fell 1.5% and the NSE lost 1.6%, posting their biggest weekly losses since September 1, as the government's weaker-than-expected GDP growth forecast of 5% on Thursday disappointed the market.

However, inflation and industrial output data are the next key tests for the market, after the Reserve Bank of India disappointed investors on January 29. Earnings of blue-chip companies such as Tata Motors and SBI will also be key for further direction.

"The pressure of fiscal deficit and inflation is still persisting. Falling GDP growth to sub-5 levels is also causing lots of concerns," said K. K. Mital, head of portfolio management at Globe Capital.

The Sensex fell 0.49%, or 95.55 points, to end at 19,484.77, its lowest close since December 31. The index fell for a seventh day to mark its biggest losing streak since November, 2011.

The NSE Nifty fell 0.59%, or 35.30 points, to end at 5,903.50, after falling below key 5,900 levels intraday.

The MCX-SX stock exchange will launch equities trading on Monday. Volumes will be watched, given its history of competition with the National Stock Exchange.

Mahindra & Mahindra shares ended 1.34% lower after it reported a 26% jump in its quarterly profit, which lagged street estimates, as a slide in its operating margin offset strong SUV sales growth.

Shares in cement companies fell after their October-December earnings failed to impress the markets. ACC ended 3.02% lower, while Ambuja Cement lost 5.2%.

Hindalco Industries, part of the Aditya Birla group, fell 3.22% after reporting a 3.8% fall in its October-December net profit at Rs 4.34 billion that had a higher share of other income.

However, broader losses in Indices were offset by gains in software services exporters such as Tata Consultancy Services, which rose 2.6%, and Wipro which ended 1.6% higher after Cognizant Technology Solution’s quarterly profit modestly beat estimates.

The results confirm that revenues of Indian software services exporters continue to outperform Cognizant's, making the US-listed IT company still not too much of a competitive threat.

Exide Industries shares gained nearly 6%. A company source with direct knowledge of the matter told Reuters on Friday that Exide will raise prices for replacement auto batteries by 5-6% due to rising input costs. — Reuters

Tokyo, February 8
Troubled smartphone maker BlackBerry will not launch its new models in Japan, reports today said, effectively heralding a pullout from a booming smartphone market where it is being beaten by Apple.

The Canada-based company, which is hoping its long-delayed BlackBerry 10 series will turn around flagging global fortunes, will not sell the handsets in the country, the Nikkei business daily said.

The report said BlackBerry's share of the Japanese market had slumped to 0.3% from about 5% in the past. The paper gave no timeframe.

Domestic shipments of smartphones soared 40% on-year to hit an estimated 14 million in April-September but BlackBerry sales were believed to be only several tens of thousands, the paper said, without naming its sources.

Given the falling share, the company judged it too costly to develop a Japanese-language version of the new operating system, it said.

While BlackBerry helped create a culture of mobile users glued to smartphones nearly a decade ago, many of those customers have since moved on to Apple or Android-based phones. The firm was until last week known as Research in Motion (RIM) but rebranded itself with the launch of the BlackBerry 10 platform and Z10 and Q10 handsets.

The Wall Street Journal cited a spokeswoman for BlackBerry, who confirmed the new phone model would not be rolled out in Japan "at this time". "We are in the process of launching BlackBerry 10 globally in key markets and we’re seeing positive demand for the BB Z10 in countries where it has already launched. Japan is not a major market for BlackBerry and we have no plans to launch BB10 devices there at this time. However, we will continue to support BlackBerry customers in Japan," spokeswoman Amy McDowell was quoted as saying. NTT DoCoMo, the carrier that started distributing BlackBerry in Japan in 2006, only said it was discussing new product launches with BlackBerry. — AFP/PTI

Mumbai, February 8
Onion prices have climbed sharply following a drought, a worry for the government as it heads into state elections that have been known to turn on the cost of the vegetable.

Prices have more than doubled in the last three months and no respite is in sight. Supplies remain tight as low rainfall has cut sowing and curtailed growth of individual bulbs.

Indians eat their way through 15 million tonnes of onions a year, using them as the base for traditional dishes such as biryani and bhaji and making them a hot political issue and a kick to inflation when the price rises.

"I don't understand how suddenly prices skyrocket. I’ve to buy at whatever price vendors are asking. I can't buy less just because prices are high," said Pooja Kadakia, 28, a housewife shopping in Mumbai.

Onions cost Rs 35 per kg on Friday, compared with Rs 10 three months back. Further increases look likely, with food inflation running in double digits.

"Planting is down in all the major producing states. There is severe water scarcity in Maharashtra, Gujarat and Karnataka," Satish Bhonde, a director at the National Horticultural Research and Development Foundation, told Reuters.

Bhonde predicted a 10% drop in production from last year. India produced a record 17.5 million tonnes in 2011/12.

Relief could come with the new crop in October, but the government faces ten state elections this year and needs a good summer monsoon. National elections are due next year.

The opposition BJP will be sure to use rising prices against the Congress party-led government in the campaigns. In 1998, the BJP suffered heavy losses in a key state poll, a result widely blamed on high onion prices.

"The recent political history shows onion price rises go against the ruling party," said Jaidev Dole, an analyst at Marathwada University, Aurangabad. "The government is already unpopular ... the onion price rise may be the last straw that breaks the camel's back."

BATTLING CORRUPTION, INFLATION: The UPA coalition government faced a string of corruption scandals last year and is battling to get the sluggish economy back on track while trying to control inflation, with food prices rising 13% year-on-year in December.

"Until the next onion crop arrives, prices will remain high. It will definitely have an adverse impact on inflation," said Madan Sabnavis, an economist at CARE Ratings. The Congress-led government of Maharashtra, the top onion producer, is planning to act against hoarding and limit the amount of stock traders can hold, a state official said. Traders are talking about a repeat of the 2011 export ban. — Reuters

New Delhi, February 8
Google goes through every single word of personal Gmail messages and uses that information to sell and target ads. This is what a report by GfK Roper study, commissioned by multinational software major Microsoft Corp claims.

The report said that 70 percent of consumers don't know that major email providers routinely engage in the practice of reading through their personal email to sell ads — something that 88% of people disapprove of once they are informed.

The GfK Roper study said Google even goes through emails from non-Gmail users to generate advertising income. "Gmail goes through all incoming email messages, from any email provider, and sells ads based on the content of those emails — a practice that nearly 90 per cent of Americans agree should end," the study added.

Microsoft goes on to say that Outlook.com, the email service that it launched last year doesn't go through the content of users' emails to show ads. With the help of Outlook.com, Microsoft launched a petition to help consumers get the message to Google that going through personal email messages to sell ads is unacceptable.

"Outlook.com encourages consumers to sign the petition at Scroogled.com and tell Google to stop going through their emails to sell ads. Outlook.com encourages consumers to prioritize their privacy by switching to Outlook.com," said the petition.

The Microsoft site includes a feed of quotes from Eric Schmidt, Google's executive chairman, including his infamous declaration that "if you have something that you don't want anyone to know, maybe you shouldn't be doing it in the first place". — Agencies

New Delhi, February 8
The coal ministry has sought expressions of interest (EOIs) from foreign consultancy firms and organizations to prepare a road map for the modernization of state-owned Coal India Ltd, which is the single largest coal producing company in the world.

With the demand for coal rapidly rising in the country as a number of private power producing companies emerging, the ministry has come out with public notice inviting proposals from, “well established foreign consultancy firms to address the issues for technology development and modernization of Coal India”.

The companies have been asked to submit their EOIs within one month from the date of publication of the notice, which was yesterday. The value of the contract to be handed out was not yet known.

Coal India operates through 81 mining areas spread over eight states of India. It has 467 mines of which 273 are underground, 164 open cast and 30 mixed mines.

Coal India also operates 17 coal washeries (12 coking coal and five noncoking coal), which makes it the only company having core competence across the entire coal business.