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Blackstone-Embassy Grp now area-wise largest realty company

Written By Unknown on Sabtu, 03 Mei 2014 | 08.10

Blackstone and the Embassy Group have edged out DLF as the country's largest commercial developer in terms of square feet.

Blackstone and the Embassy Group have closed their first acquisition as partners but the addition of this fourth project to their portfolio has helped the partnership edge out DLF  as the country's largest commercial developer in terms of square feet.

It has taken embassy office parks, the 50:50 joint venture between private equity giant Blackstone and Bangalore-based developer Embassy Group Rs 1951 crore to outpace competition. The purchase of a 106-acre land parcel that houses embassy tech village in Bangalore is the joint venture's first to date and makes the fourth business park that the two of them own together.

The embassy group has taken a Rs 650 crore loan from StanChart to fund this deal.

Jitu Virwani, CMD, Embassy Group says, "One of the existing shareholders has retained 40 percent of his shareholding and staying with us rather than exiting. At some point, we will finally control 60 percent of park. Blackstone has brought in close to Rs 540 crore and the rest has been put in by us."

Also read:  DLF to raise Rs 900cr via CMBS; Crisil gives stable rating

The acquisition takes the company's total commercial real estate holding to over 20 million square feet spread across Bangalore and Pune and pushes DLF to second place in terms of commercial real estate under development in the country. However, the joint venture says it's just getting started.

It plans to build another 16 million sq ft over the next 5 years, including 8 million square feet in this newly acquired office space.

Embassy office parks hopes that by 2016, it will annually earn Rs 1000 crore from its rental portfolio. It believes that would be the right time to list its massive commercial portfolio as a real estate investment trust (reit). But experts say it's anyone's guess whether India would have passed the legislation to make reits a reality by then... In which case, the joint venture may have to consider a foreign reit listing.


08.10 | 0 komentar | Read More

USD/JPY erases gains as Ukraine concerns brew anew

Investing.com - Investing.com - The dollar gave back gains against the yen on Friday after concerns the Ukraine crisis may heat up offset an upbeat U.S. April jobs report.

In U.S. trading, USD/JPY was down 0.10% and trading at 102.23, up from a session low of 102.14 and off a high of 103.02.

The pair was expected to test support at 102.03, Wednesday's low, and resistance at 103.02, the earlier high.

The Labor Department reported earlier that the U.S. economy added 288,000 jobs in April, beating expectations for a 210,000 increase. March's figure was revised up to a 203,000 rise from a previously estimated 192,000 gain.

The private sector added 273,000 last month, more than an expected 210,000 increase. In March, the number of private sector jobs was revised up to a 202,000 increase a previously estimated 192,000 rise.

The report also showed that the U.S. unemployment rate fell to 6.3% in April, from 6.7% the previous month, compared to expectations for a fall 6.6%.

Separately, data showed that U.S. factory orders rose 1.1% in March, less than the expected 1.4% gain, after a 1.5% rise in February, whose figure was revised down from a previously estimated 1.6% increase.

The dollar shot up against the yen when the jobs data hit the wire, though chipping away at the dollar's earlier gains were concerns the Ukraine crisis may escalate.

The U.N. Security Council was set to meet to discuss the crisis on Friday, while separately, U.S. President Barack Obama alongside German Chancellor Angela Merkel threatened to slap fresh sanctions on Russia if Moscow disrupts elections in Ukraine scheduled for May 25.

The yen, meanwhile, was up against the euro and up against the pound, with EUR/JPY down 0.07% at 141.81, and GBP/JPY trading down 0.21% at 172.50.

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Gold dips on upbeat spending, factory data

Written By Unknown on Jumat, 02 Mei 2014 | 08.10

Investing.com - Investing.com - Gold prices edged lower on Thursday after data revealed consumer spending and personal incomes rose more than expected in March a day after the Federal Reserve said it was cutting the size of its monthly bond-buying program, which has supported gold since 2012.

Fed bond purchases bolster gold prices by weakening the dollar, as the two assets tend to trade inversely with one another.

On the Comex division of the New York Mercantile Exchange, gold futures for June delivery traded at 1,283.90 a troy ounce during U.S. trading, down 0.93%, up from a session low of $1,277.40 and off a high of $1,293.10.

The June contract settled down 0.03% at $1,295.90 on Wednesday.

Futures were likely to find support at $1,268.60 a troy ounce, the low from April 24, and resistance at $1,306.50, Monday's high.

The Department of Labor reported earlier that the number of individuals filing for initial jobless benefits last week rose by 14,000 to 344,000 from the previous week's upwardly revised total of 330,000.

Analysts had expected jobless claims to fall by 11,000 to 319,000.

Offsetting the disappointing jobless claims figures, the Commerce Department reported earlier that U.S. personal spending rose 0.9% in March from an upwardly revised 0.5% the previous month, beating expectations of 0.6%.

Consumer spending is the single biggest component of U.S. economic growth, accounting for as much as two-thirds of economic activity.

The report added that personal income rose 0.5%, beating expectations for a 0.4% increase.

Separately, the Institute for Supply Management said its manufacturing PMI rose to 54.9 last month from 53.7 in March, outpacing expectations for a 54.3 reading.

The reports came one day after data showed that the U.S. economy expanded at an annual rate of just 0.1% in the first quarter, well below forecasts for an expansion of 1.2%, though markets attributed the poor showing to rough winter weather that disrupted commerce earlier this year.

Despite the sharp slowdown in growth the Federal Reserve said Wednesday it would reduce its monthly bond purchases to $45 billion from $55 billion, as even though growth was nearly flat in the first quarter, the economy has been showing signs of gaining steam in recent weeks.

Bond purchases support gold prices by weakening the dollar, and Thursday's overall positive batch of indicators cemented views that the Fed will continue tapering its stimulus program as the year unfolds.

Investors were looking ahead to Friday's April nonfarm payrolls report, which was expected to show that the recovery in the labor market was continuing, which further eroded the yellow metal.

Meanwhile, silver for July delivery was down 0.71% at US$19.038 a troy ounce, while copper futures for July delivery were unchanged at US$3.028 a pound.

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U.S. stocks slip ahead of jobs data; Dow ends down 0.13%

Investing.com - Investing.com - U.S. stocks traded mixed to lower on Thursday as investors took a largely positive batch of economic indicators in stride and jumped to the sidelines ahead of the release of April's jobs report on Friday.

At the close of U.S. trading, the Dow 30 fell 0.13%, the S&P 500 index fell 0.01%, while the NASDAQ Composite index rose 0.31%.

The Department of Labor reported earlier that the number of individuals filing for initial jobless benefits last week rose by 14,000 to 344,000 from the previous week's upwardly revised total of 330,000.

Analysts had expected jobless claims to fall by 11,000 to 319,000.

Offsetting the disappointing jobless claims figures, the Commerce Department reported earlier that U.S. personal spending rose 0.9% in March from an upwardly revised 0.5% the previous month, beating expectations of 0.6%.

Consumer spending is the single biggest component of U.S. economic growth, accounting for as much as two-thirds of economic activity.

The report added that personal income rose 0.5%, beating expectations for a 0.4% increase.

Separately, the Institute for Supply Management said its manufacturing PMI rose to 54.9 last month from 53.7 in March, outpacing expectations for a 54.3 reading.

Still, investors shrugged off the largely positive data and jumped to the sidelines ahead of the April jobs report on Friday.

Gains in recent sessions also sent many stocks to levels ripe for profit taking.

Leading Dow Jones Industrial Average performers included Merck & Company Inc (NYSE:MRK), up 1.79%, Visa Inc (NYSE:V), up 1.70%, and 3M Company (NYSE:MMM), up 1.23%.

The Dow Jones Industrial Average's worst performers included International Business Machines (NYSE:IBM), down 1.51%, United Technologies Corporation (NYSE:UTX), down 1.31%, and Microsoft Corporation (NASDAQ:MSFT), down 1.03%.

European markets, meanwhile, were closed on holiday.

On Friday, stocks will react to the U.S. April jobs report.

Elsewhere, the U.S. is to issue a separate report on factory orders.

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Gold dips after Fed trims bond-buying program

Written By Unknown on Kamis, 01 Mei 2014 | 08.10

Investing.com - Investing.com - Gold prices softened on Wednesday after the Federal Reserve said it was trimming its monthly bond-buying program to $45 billion on the view that the economy is improving and is in less need of monetary stimulus.

Fed bond purchases bolster gold prices by weakening the dollar, as the two assets tend to trade inversely with one another.

On the Comex division of the New York Mercantile Exchange, gold futures for June delivery traded at 1,292.20 a troy ounce during U.S. trading, down 0.32%, up from a session low of $1,285.10 and off a high of $1,298.20.

The June contract settled down 0.21% at $1,296.30 on Tuesday.

Futures were likely to find support at $1,268.60 a troy ounce, Thursday's low, and resistance at $1,306.50, Monday's high.

While the unemployment rate remains elevated, the labor market is improving, while fiscal factors that have weighed on recovery in the past are diminishing as well, the Federal Open Market Committee, the Fed's rate-setting body, said in a statement.

"Information received since the Federal Open Market Committee met in March indicates that growth in economic activity has picked up recently, after having slowed sharply during the winter in part because of adverse weather conditions. Labor market indicators were mixed but on balance showed further improvement," the Fed said in its statement.

While the unemployment rate still remains elevated, the broader economy continues to improve albeit at an uneven pace, which prompted the Fed to trim its monetary stimulus program.

"Household spending appears to be rising more quickly. Business fixed investment edged down, while the recovery in the housing sector remained slow. Fiscal policy is restraining economic growth, although the extent of restraint is diminishing. Inflation has been running below the Committee's longer-run objective, but longer-term inflation expectations have remained stable.

Gold prices remained lower on the news, though prices didn't plummet as a $10 billion cut to the stimulus program came as little surprise to many.

Furthermore, the Fed stressed that even when the bond-buying programs wraps up, interest rates will remain very low for some time afterward, which cushioned the yellow metal's losses.

"The Committee continues to anticipate, based on its assessment of these factors, that it likely will be appropriate to maintain the current target range for the federal funds rate for a considerable time after the asset purchase program ends, especially if projected inflation continues to run below the Committee's 2 percent longer-run goal, and provided that longer-term inflation expectations remain well anchored," the Fed statement read.

"The Committee currently anticipates that, even after employment and inflation are near mandate-consistent levels, economic conditions may, for some time, warrant keeping the target federal funds rate below levels the Committee views as normal in the longer run."

Elsewhere on Wednesday, the Bureau of Economic Analysis reported that U.S. gross domestic product grew at an annual rate of 0.1% in the first quarter, far shy of expectations for a 1.2% growth rate.

Still, Fed language suggesting that rough winter weather made the economy look worse than it was tarnished gold's appeal.

Meanwhile, silver for July delivery was down 1.87% at US$19.173 a troy ounce, while copper futures for July delivery were down 1.47% at US$3.028 a pound.

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U.S. stocks gain on Fed language, brush off data; Dow ends up 0.28%

Investing.com - Investing.com - A Federal Reserve decision to trim its monthly bond-buying program by $10 billion on assumptions that the economy is gaining steam offset a dismal first-quarter growth report and sent stocks rising on Wednesday.

At the close of U.S. trading, the Dow 30 rose 0.28%, the S&P 500 index rose 0.30%, while the NASDAQ Composite index rose 0.27%.

The Fed said earlier it was leaving interest rates unchanged at 0.00%-0.25% though it did cut its monthly bond-buying program to $45 billion from $55 billion, citing economy recovery that should gain steam as it brushes off the fallout from rough winter weather.

While Fed asset purchases support stocks by suppressing long-term borrowing costs, Wall Street applauded the news as a sign monetary authorities view economic fundamentals as improving.

Still, once the Fed does conclude the stimulus program, benchmark interest rates should remain at rock-bottom levels for a while, which would be bullish for stocks over the long term.

"The Committee continues to anticipate, based on its assessment of these factors, that it likely will be appropriate to maintain the current target range for the federal funds rate for a considerable time after the asset purchase program ends, especially if projected inflation continues to run below the Committee's 2 percent longer-run goal, and provided that longer-term inflation expectations remain well anchored," the Fed statement read.

"The Committee currently anticipates that, even after employment and inflation are near mandate-consistent levels, economic conditions may, for some time, warrant keeping the target federal funds rate below levels the Committee views as normal in the longer run."

Elsewhere, the Bureau of Economic Analysis reported earlier that U.S. gross domestic product grew at an annual rate of 0.1% in the first quarter, far shy of expectations for a 1.2% growth rate, though rough winter weather played a factor. The U.S. economy expanded by 2.6% in the previous quarter.

Separately, payroll processing firm ADP said non-farm private employment rose by 220,000 this month, above expectations for an increase of 210,000. March's figure was revised up to a gain of 209,000 from a previously reported increase of 191,000.

Data also showed that the Chicago purchasing managers' index rose to 63.0 this month from a reading of 55.9 in March. Analysts had expected the index to improve to 56.7 in April.

The indicators offset disappointing data in earnings released by Twitter Inc (NYSE:TWTR) and eBay Inc (NASDAQ:EBAY).

Leading Dow Jones Industrial Average performers included 3M Company (NYSE:MMM), up 1.09%, Goldman Sachs Group Inc (NYSE:GS), up 0.98%, and Walt Disney Company (NYSE:DIS), up 0.83%.

The Dow Jones Industrial Average's worst performers included Pfizer Inc (NYSE:PFE), down 1.53%, American Express Company (NYSE:AXP), down 0.39%, and Chevron Corporation (NYSE:CVX), down 0.37%.

European indices, meanwhile, finished mixed.

After the close of European trade, the DJ Euro Stoxx 50 fell 0.37%, France's CAC 40 fell 0.23%, while Germany's DAX rose 0.20%. Meanwhile, in the U.K. the FTSE 100 rose 0.15%.

On Thursday, the U.S. is to publish the weekly report on initial jobless claims. At the same time, Fed Chair Janet Yellen is to speak at an event in Washington; her comments will be closely watched.

Later Thursday, the Institute of Supply Management is to release a report on manufacturing activity.

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Dollar higher as investors shrug off consumer confidence report, eye Fed

Written By Unknown on Rabu, 30 April 2014 | 08.10

Investing.com - Investing.com - The dollar traded largely higher against most major currencies on Tuesday after investors shrugged off a soft consumer confidence report and took up positions anticipating the Federal Reserve will make further cuts to its stimulus program this week.

In U.S. trading on Tuesday, EUR/USD was down 0.28% at 1.3811.

The Conference Board, a market research group, said its consumer confidence index declined to 82.3 in April from a 83.9 in March, whose figure was revised up from a previously reported 82.3.

Analysts had expected the index to inch down to 83.0 in April.

The Present Situation Index decreased to 78.3 from 82.5, while the Expectations Index was virtually unchanged at 84.9 versus 84.8 in March.

'Consumer confidence declined slightly in April, as consumers assessed current business and labor market conditions less favorably than in March,' Lynn Franco, Director of Economic Indicators at The Conference Board, said in a statement.

'However, their expectations regarding the short-term outlook for the economy and labor market held steady. Thus, while sentiment regarding current conditions may have slipped a bit, consumers do not foresee the economy, or the labor market, losing the momentum that has been building up over the past several months.'

The dollar largely ignored the data as the report was not seen as weak enough to indicate the economy was softening to the point that the Federal Reserve will slow up the pace at which it tapers its monthly bond-buying program.

Fed bond purchases, currently set at $55 billion a month, weaken the dollar by suppressing long-term borrowing costs, and expectations for further Fed tapering tends to strengthen the greenback.

Meanwhile in Europe, Germany's Federal Statistics Bureau reported that the country's consumer price index fell 0.2% in April from March and rose 1.3% on year.

Markets were calling for a monthly decline of 0.1% and an annual increase of 1.4%, which softened the euro against the dollar.

The data came as investors were looking ahead to preliminary data on euro zone inflation due for release on Wednesday, and Germany's numbers wiped out previous expectations for an uptick in consumer prices.

Euro zone inflation concerns eclipsed a soft report on consumer confidence out of the U.S., which investors shrugged off as lackluster as opposed to disappointing.

The dollar was up against the yen, with USD/JPY up 0.08% at 102.57 and up against the Swiss franc, with USD/CHF up 0.36% at 0.8834.

The greenback was down against the pound, with GBP/USD up 0.14% at 1.6830.

Sterling initially edged lower after the Office of National Statistics reported that the U.K. economy grew 0.8% in the first quarter, bringing the annual rate of growth to 3.1%.

Market expectations had been for quarterly growth of 0.9% and an annual expansion of 3.2%, though the actual figure was still the fastest rate of annual growth since the fourth quarter of 2007, which gave the pound an edge over the dollar.

The dollar was down against its cousins in Canada, Australia and New Zealand, with USD/CAD down 0.68% at 1.0955, AUD/USD up 0.18% at 0.9273 and NZD/USD up 0.20% at 0.8555.

The US dollar index, which tracks the performance of the greenback versus a basket of six other major currencies, was up 0.13% at 79.88.

Aside from the Fed's announcement on monetary policy, markets on Wednesday will track preliminary data on first quarter GDP, as well as the ADP report on private-sector job creation, which leads the government's nonfarm payrolls report by two days. The U.S. is also to release data on manufacturing activity in the Chicago region.

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U.S. stocks gain on earnings; Dow ends up 0.53%

Investing.com - Investing.com - Upbeat earnings sent U.S. stock indices rising on Tuesday in a session that saw investors shrug off lackluster consumer confidence data as well as ongoing unrest in Ukraine.

At the close of U.S. trading, the Dow 30 rose 0.53%, the S&P 500 index rose 0.48%, while the NASDAQ Composite index rose 0.72%.

Better-than-expected earnings from Merck & Company Inc (NYSE:MRK), Ameriprise Financial Inc (NYSE:AMP) and other companies sent U.S. stock prices rising on hopes an improving economy will bolster corporate fundamentals.

Investors largely blew off events in Ukraine, where pro-Russian separatists stormed regional government offices in the eastern city of Luhansk on Tuesday.

Less-than-stellar data out of the U.S. softened prices as well.

The Conference Board, a market research group, said its consumer confidence index declined to 82.3 in April from a 83.9 in March, whose figure was revised up from a previously reported 82.3.

Analysts had expected the index to inch down to 83.0 in April.

The Present Situation Index decreased to 78.3 from 82.5, while the Expectations Index was virtually unchanged at 84.9 versus 84.8 in March.

'Consumer confidence declined slightly in April, as consumers assessed current business and labor market conditions less favorably than in March,' Lynn Franco, Director of Economic Indicators at The Conference Board, said in a statement.

'However, their expectations regarding the short-term outlook for the economy and labor market held steady. Thus, while sentiment regarding current conditions may have slipped a bit, consumers do not foresee the economy, or the labor market, losing the momentum that has been building up over the past several months.'

Leading Dow Jones Industrial Average performers included Merck & Company Inc (NYSE:MRK), up 3.59%, The Travelers Companies Inc (NYSE:TRV), up 1.41%, and McDonald's Corporation (NYSE:MCD), up 1.19%.

The Dow Jones Industrial Average's worst performers included Coca-Cola Company (NYSE:KO), down 1.13%, Pfizer Inc (NYSE:PFE), down 0.92%, and Microsoft Corporation (NASDAQ:MSFT), down 0.89%.

European indices, meanwhile, finished higher.

After the close of European trade, the DJ Euro Stoxx 50 rose 1.29%, France's CAC 40 rose 0.83%, while Germany's DAX rose 1.46%. Meanwhile, in the U.K. the FTSE 100 rose 1.04%.

On Wednesday, the U.S. is to release preliminary data on first quarter GDP, as well as the ADP report on private-sector job creation, which leads the government's nonfarm payrolls report by two days. The U.S. is also to release data on manufacturing activity in the Chicago region.

Later Wednesday, the Federal Reserve is to announce its federal funds rate and publish its rate statement.

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Crude dips on Libya supply prospects, offsets U.S. housing data

Written By Unknown on Selasa, 29 April 2014 | 08.10

Investing.com - Investing.com - Crude futures fell on Monday amid anticipation that oil shipments will resume from Libyan ports once closed by rebels, offsetting solid U.S. housing data.

On the New York Mercantile Exchange, West Texas Intermediate crude oil for delivery in June traded at $100.41 a barrel during U.S. trading, down 0.19%. New York-traded oil futures hit a session low of $100.39 a barrel and a high of $101.52 a barrel.

The June contract settled down 1.31% at $100.60 a barrel on Friday.

Nymex oil futures were likely to find support at $99.95 a barrel, the low from April 7, and resistance at $102.35 a barrel, Thursday's high.

Libyan government officials and rebels reached an agreement to re-open oil ports earlier this month, and expectations for crude to begin flowing sent prices falling on Monday, as investors braced for increased global supply, offsetting bullish U.S. data.

The National Association of Realtors reported earlier that pending home sales jumped 3.4% in March, far surpassing expectations for a 1% gain.

Pending home sales for February were revised to a 0.5% drop from a previously reported decline of 0.8%, though March's figure marked the first increase in nine month, a sign the U.S. economy is gaining steam and will demand more fuel and energy going forward.

Elsewhere, the U.S. slapped fresh sanctions on Russia earlier, which supported the commodity briefly.

The third round of sanctions out of Washington targeted seven individuals and 17 companies, which support oil by stoking concerns the crisis could affect Russian exports, though Libya supply expectations kept prices in negative territory.

Russia is the world's second largest oil exporter after Saudi Arabia.

Elsewhere, on the ICE Futures Exchange in London, Brent oil futures for June delivery were down 1.22%, trading at US$108.25 a barrel, while the spread between the Brent and U.S. crude contracts stood at US$7.84 a barrel.

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Dollar mixed market looks past housing data, eyes Friday jobs report

Investing.com - Investing.com - The dollar gave back gains and traded mixed to lower against most major currencies on Monday after investors applauded robust housing data and later jumped to the sidelines to prep for Friday's April jobs report.

In U.S. trading on Monday, EUR/USD was up 0.14% at 1.3853.

The dollar firmed earlier after the National Association of Realtors reported that pending home sales jumped 3.4% in March, far surpassing expectations for a 1% gain.

Pending home sales for February were revised to a 0.5% drop from a previously reported decline of 0.8%.

On a year-over-year basis, pending home sales were still down 7.9% in March, though the data firmed the dollar by reminding investors that the Federal Reserve will continue tapering monthly asset purchases as the year unfolds.

Profit taking nudged the greenback down later in the session, as investors jumped to the sidelines to prepare for Friday's April jobs report.

The euro, meanwhile, saw support from expectations that euro zone inflation data due out on Wednesday will reveal an uptick in consumer prices.

An increase in the euro zone's consumer price index would ease pressure on the European Central Bank to implement additional monetary policy measures.

In March, the euro zone's annual inflation rate slowed to 0.5%, the lowest since November 2009. The ECB targets an inflation rate of close to but just under 2%.The consensus forecast is for the inflation rate to rise to 0.8%.

The dollar was up against the yen, with USD/JPY up 0.34% at 102.54 and down against the Swiss franc, with USD/CHF down 0.17% at 0.8801.

The greenback was down against the pound, with GBP/USD up 0.07% at 1.6811.

Sterling rose on expectations for merger-and-acquisition inflows after U.S. drugs giant Pfizer Inc (NYSE:PFE) confirmed Monday that it wanted to take over Britain's Astrazeneca Plc (AZN.LONDON) in a deal worth almost £60 billion.

The dollar was mixed against its cousins in Canada, Australia and New Zealand, with USD/CAD down 0.13% at 1.1024, AUD/USD down 0.12% at 0.9258 and NZD/USD down 0.48% at 0.8539.

The US dollar index, which tracks the performance of the greenback versus a basket of six other major currencies, was down 0.08% at 79.77.

On Tuesday, the U.S. is to a report compiled by the Conference Board on consumer confidence.

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