Morning Meeting International School of Business & Media Financial Markets & Services Meeting prepared and presented

by: Date: Financial Reports: India: USA: SENSEX :-19 968.53 (+0.22%) NIFTY :- 6025.20, +5.85,(-0.10%)

Dow Jones:-13 833.48+54.15(+0.39%) NASDAQ :- 3144.64 ,-9.00, (-0.27%)

Apple Inc missed Wall Streets revenue forecast for third straight quarter after iPhone sales came below. BSE Auto Index slipped almost 3%. To attract foreign funds into bond market, RBI raises limit for Foriegn Institutional Investor(FII) holdings in government securities and corporation bonds. L&T reported a 13% increase in net profit in the December quarter.
Market Summary:

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Gainers/Risers 1 TATA MOTORS 298.5(1.57%) 2 BHARTI AIRTEL 366.00(1.39%) 3 MARUTI SUZUKI 1554.00 (1.18%) Looser/Fallers 1 DLF 247.60 (-1.43) 2 TATA POWER Co. 106.05 (-1.16) 3 COAL INDIA 340.50 (-0.93)

Currencies& Commodities INR USD 53.69 (+0.69%) INR GBP 84.69 (-0.32 %) INR EUR 71.55 (- 0.03%) Gold Spot:- 30 630 (-0/2%) Silver Spot: 59 567 ( -0.5 %) OIL Nymex $ 112.61 (-0.17 %) SLR :- 23 % CRR:- 4.25 % Inflation :- 7.12 % Note:-From 1969 until 2010, the average inflation rate in India was 7.99 percent

reaching an historical high of 34.68 percent in September of 1974 and a record low of -11.31 percent in May of 1976
10 Years G-SEC :- 8.25 %

Repo Rate:- 8.00 % Reverse Repo Rate 7.00%

Daily Major Headlines 1-Final guidelines on new bank licences to be delayed. 2-Grounded Dreamliners take toll on Air India budget. 3-North Korea to target US with nuclear, power tests.

Financial Term of the day

What Does Gearing Mean?

The most common use of the term 'gearing' is to describe the level of a company's net debt (net of cash or cash equivalents) compared with its equity capital, and usually it is expressed as a percentage. So a company with gearing of 60 per cent has levels of debt that are 60 per cent of its equity capital. The gearing ratio shows how encumbered a company is with debt. Depending on the industry, a gearing ratio of 15% would be considered prudent while anything over 100% would be considered risky or 'highly geared'. 'Gearing' is also used in a related sense to refer to borrowings by an investment trust that boosts the return on capital and income via additional investment. When the trust is performing well shareholders enjoy an enhanced or 'geared profit'. However if the trust performs poorly then the loss is similarly exaggerated. Gearing can also refer to the ratio between a company's share price and its warrant price.