INDIAN RAILWAY interim budget - Report & highlights

INTERIM BUDGET - HIGHLIGHTS

• Passenger trains will have 22% more capacity.
• Two per cent cut in AC-Fares.
• 43 new trains to be introduced in FY-2010.
• Feasibility study for Delhi-Patna Bullet train going on.
• Rail passenger growth up 14%.
• 43 new trains to be introduced in FY-2010.
• Freight rate to remain unchanged.
• Railways to spend Rs 4000 crore on pensions.
• To invest Rs 2.3 cr in the next five years.
• Railways has invested Rs 38,000 crore in 2008-09.
• 6th Pay Commission implementation to hike expense by Rs 13,500cr.
• Railways cash reserves touch Rs 90,000 crore .
• 4 call centres set up for rail enquiry.
• Customers can now book tickets online.
• Profits registeres without hurting the common man.
• Railways managed 8 per cent growth in freight loading.
• Freight capacity up by 78%.
• Railways got loans at 4%.
• Mishap rate has dropped drastically.
• Lalu: Our Rail Budget has always been for the poor.

This would be UPA's last railway budget during this term.
The budgetary support to the railway plan will be about Rs 10,800 crore, representing a significant step up of 37 per cent compared with Rs 7,874 crore in 2008-09.
Government officials said the minister was keen on gifting lower fares to the janata in an election year despite resistance within the ministry.
Expectations are that Lalu Prasad's populist budget for 2009- 10 will include a substantial investment of Rs 12,000 crore for the ambitious East-West freight corridor.
Lalu Prasad Yadav looks all set to keep his date with history when he rises to present the interim rail budget in Lok Sabha.

A GENERAL REPORT:
Railway generated cash surplus 900 bln rupee in 5 yr
* Railways raised record cash surplus in last 5 yrs
* Railways raised $100 mln debt at 4%
* Financial turnaround managed without burden on public
* Railways fincl turnaround without burdening common man
* Average freight grew 3% to 8% in last 5 yrs
* Railways freight growth up at 8% in last 5 yr vs 3%
* Fall in number of rail accidents in last 5 yrs
* India rail mishaps at 194 in 2007-08
* Rail accidents down to 194 FY08 from 325 in FY04
* Railways has facilitated easier ticket booking
* Railways has shown paradigm shift in consumer svcs
* To use 700 bln rupee surplus to up rail productivity
* Railways' investment under 11th Plan 2.3 trln rupees
* Railway invest plan in 11th plan 2.3 trln rupees

INTRADAY CALLS

Stocks to watch out for are:
Polaris Buy @51 sl 48 target 54 >> 58
Satyam & SAIL Look good for trading but do book profits regularly.
AXIS BANK - BUY @432 sl 423 Target 439 >> 443
RELCOM - BUY at 173 with Sl 167 for a Target 177 >> 180

Market View ... 13-02-2009

Good Morning .....!!!

Nifty spot levels for the day : 2988/ 2960/ 2935/ 2920 / 2895 / 2870

Indian markets after a bad day are expected to do well today , we seenifty comfortable crossing the 2900 levels , As said earlier nifty ifstays above 2950 on closing basis we may see 3060-3100 on cards soons.With the interim budget nearing in we may see rally in markets today.We advice members to go long on IT , Banking and Metal stocks today .

US markets which opened quite negative with bad economic news lostmore than 3% or 240 points at one point of time but finally recoveredvertically on the hopes that homeowners will get more help with theirmortgages and DOWJONES closed almost flat. Asian markets are trading in style with almost all the the indices arepositive and with more than 1% gains.

Over all we expect market to trade positive and we see markets closingtoday with 1.5-2% gains. Some of the stocks to watch out for arePolaris Software, Hexaware, Satyam & SAIL.