Goldman Sachs Group Inc.

Goldman Sachs Group Inc., tapping demand that’s driven borrowing costs near the lowest in almost five years, issued $2 billion of bonds at a yield premium 44 percent less than the last time it sold similar-maturity debt. AIG said on Monday that it was selling its Asian life insurance business to Britain's Prudential PLC in a deal worth $35.5 billion. The deal includes $25 billion in cash, $16 billion of which the company has earmarked to pay back the government and taxpayers. The US Institute for Supply Management's manufacturing index fell to 56.5 in February from 58.4 in January, surprising economists who thought it would only fall to 57.9. Any reading over 50 signifies expansion in the sector. US Construction spending declined 0.6% in January after falling 1.2% in the previous month, the government reported. The drop was in line with estimates. US personal income rose 0.1% in January after gaining 0.3% in December. Economists expected income to climb 0.4%. Personal spending jumped 0.5% after rising 0.3% in the previous month. Economists thought spending would increase 0.4%. The government is seeking a uniform low-risk weight on bank’s exposure to the specialized infrastructure financing companies, as it looks to increase funds flow into key infrastructure sectors. Manufacturing output rises the most in 18 months in February. Another hike in steel prices is expected in the short term.Asian Development Bank has sanctioned Rs.1380 crore loan for MSMEs. 3G players kept out of tax break under section 80IA. Gross borrowings by the Government this year are likely to be lower than the budgeted and revised estimates of Rs.4.51 lac crore, owing to squeeze in expenditure. RIL may lose Lyondell bid. The company is eyeing Canadian acquisition. The IPO of Satluj Jal Vidyut Nigam is expected to hit the market in the first week of April 2010. Bhushan Steel will spend Rs.28000 crore to build a six lac tonne steel plant in Bellary region of Karnataka. TPG may acquire Vishal Retail. The company has submitted fresh CDR proposal to convert retail player into a cash-and-carry company and set up a sister unit. Nifty March contracts ends the Day up by 67 points at a premium of 8.05 points adding OI by 12.2%. Nifty OI PCR at 1.191 compared to 1.135 at the close of last Day. Nifty puts sees addition of 65.02 Lakhs and calls sees addition of 37.33 Lakhs over the day.
Highest OI in Nifty calls seen at 5000 March strike and puts at 4800 March strike. Nifty VIX at 24.20 from 30.40 last day. Long build up seen in APOLLOTYRE, ASIANPAINT, HINDALCO, IDFC, RELCAPITAL, MCDOWELL-N, SAIL, IOB, RANBAXY, HDIL, INDHOTEL, SYNDIBANK, PIRHEALTH, DENABANK, DLF, TATAMOTORS, DIVISLAB, HINDZINC, FEDERALBNK & M&M in the first day of the new series. Short build up seen in ITC, TATAPOWER, HINDPETRO, RENUKA, HCC, ABB, MPHASIS, TECHM, JSWSTEEL, IOC & ZEEL in the first day of the new series. FII side over the Day saws long build up in Nifty futures and Nifty options was bought. Short build up was seen in stock futures over the day.