June Car Sales Slowest In 2 Yrs; Sensex Down 136 Pts; Cabinet Reshuffle Deferred To Tuesday

Monday, Jul 11, 2011 SPECIAL LEAD Click here for India Business Update Mobile Version JUNE CAR SALES SLOWEST IN 2 YEARS, UP 1.6% Demand for auto sales in India is expected to skid more than predicted, an industry body said, as rising interest rates and fuel prices force consumers to tighten purse strings in the world's second-fastest growing auto market after China. Car sales in June rose 1.6% to 143,370 according to data from the Society of Indian Automobile Manufacturers. Auto sales, which grew at a breakneck pace of 30% in fiscal year 2011, are now expected to grow 11% to 13% this fiscal year, slower than the 12% to 15% forecast earlier. read more MANDATORY CSR SPENDING TO COST COS RS 8,700 CR Indian companies may have to collectively spend close to Rs 8,700 crore a year on corporate social responsibility programmes if the government makes it mandatory for them to spend 2% of profits on CSR, a study said today. (Also see story --Montek opposes CSR 'tax' on companies.) read more LEAD STORIES SENSEX FALLS 136 PTS ON WEAK GLOBAL CUES Sensex closed at 18,721.39 points due to sell-off in tech stocks ahead of Infy result and weak global cues. Nifty ended at 5,616.10 down 44.55 points. read more CABINET RESHUFFLE DEFERRED TO TUESDAY EVENING The cabinet reshuffle is expected to happen on Tuesday at 5 pm, may leave untouched the 'big four' -- finance, home, defence and external affairs. read more RIL HINTS AT ADAG HANDS IN GOLD PLATING ALLEGATIONS RIL has replied to CAG stating that the baseless gold platting allegation is actually handiwork of corporate rivals, hinting at Reliance ADA group. read more TOP STORIES • Govt to decide on SG's resignation in 2-3 days • 2G scam: SC rejects plea for CBI probe against Sibal • 2G scam: ED registers 4 complaints under FEMA • DB Realty moves company law board against Etisalat • 19 Kolkata cos under I-T lens for funding Kalaignar TV • Devas moves international court against ISRO arm • Gold extends gains to 2-wk high at Rs 22,410/10 gms • Rupee snaps 2-day gains, down 14 paise • Nestle to buy 60% of Chinese candy maker for $1.7 bn • Govt likely to reschedule borrowing programme • No move to restrict FDI in pharmaceutical: Montek • LLPs can get membership of bourses: SEBI • Nano sees a slowdown in production yet again • M&M not keen to buy Scooters India: Pawan Goenka • Essar Oil back in black with Q1 net at Rs 469 cr • Orchid Chemicals' Chennai plant gets closure notice • 8 Indian firms among Fortune's 500 biggest companies • UP train mishap: Death toll rises to 63 • Mysore Infy campus renamed Narayana Murthy centre • DLF dedicates annual report to ex-staff MF Husain more stories TOP VIDEOS 12% Earnings Growth For Sensex Companies Is The Lowest Expectation We Have Had In Seven Quarters: Jyotivardhan Jaipuria, Head - Research, BofA Merrill Lynch The Proposed Mining Bill Would Substantially Effect The Bottom-Line Of Coal Companies: Sushil Maroo, Deputy MD, Jindal Steel & Power I Don't Think Taking A Kickback On A Deal Is National Security: Arun Jaitley, Leader Of Opposition, Rajya Sabha If Any Eurozone Country Defaults, It Will Lead To Higher Unemployment And Lower Growth: David Buick, Director, BGC Partners AT A GLANCE BSE 18721.39 -136.65 NSE 5616.1 -44.55 TURNOVER Rs. 93,161 cr BSE CASH Rs. 2,167 cr NSE CASH Rs. 8,431 cr NSE F&O Rs. 82,562 cr BULLION GOLD 22554 +203 SILVER 54662 -74 CRUDE NYMEX 102.25 -0.08 BRENT 116.42 -1.91 FOREX $ / Re 44.48 +0.11 £ / Re 70.674 -0.29 € / Re 62.405 -0.52 EVENTS 12 July Bombay HC To Hear Lavasa Case Infosys Q1 Results 2G Scam: Former Telecom Secretary S Behura To Appear Before JPC Cabinet Reshuffle EGOM Meet To Discuss On Subsidised LPG Cylinders 13 July Talent Acquisition Conclave 2011, The Leela Kempinski, Gurgaon 14 July GoM Meet To Review Coal And Power Projects 18 July Empowered Committee Of State FMs To Meet On GST 19 July FICCI Health Insurance Conference 2011, The Lalit, New Delhi EXPERT VIEWS "The three biggest concerns at present for the industry are lower general sentiment due to lower GDP forecast and various scams, higher finance rates and increasing fuel prices. Our revised forecast is now 11-13% for the entire auto sector (from 12-14%)." Pawan Goenka President, SIAM "If you want them (companies) to spend another 2% (on CSR), that's like saying that corporate tax would be raised to 32%...It's better to do that. You cannot have a corporate tax and then say spend another 2%. I am opposed to that." Montek Singh Ahluwalia Dy Chairman, Planning Commission "If the world economy gets better, I earn money on commodities. If the global economy gets worse then they will print more money and I will make money in commodities." Jim Rogers CEO & Chairman, Rogers Holdings WATCH OUT Storyboard On Storyboard this week, we get you the big story from the 2011 Cannes Lions Festival. If there was one consistent theme to this year's Cannes Lions, it was that the show was pretty much driven by major digital brands. If Microsoft and Yahoo are old hand at Cannes, Google and Facebook are in overdrive with marketers, and newcomers like FourSquare are trickling in as well. Just how will this battle for the marketer's dollars and the larger war to dominate the web play out? Storyboard speaks to the big marketers, agency holding companies, and the tech-media behemoths to get the facts. SHOW TIMINGS Tue 7:30 pm