Strong growth returned to the services sector in December as international business helped it scale a five-month high, according to a global survey.
The widely tracked Nikkei India Services Purchasing Managers Index (PMI) stood at 53.3 in December, up from 52.7 in November.
Services growth had peaked to a 43-month high of 54.7 in August, followed by two-straight months of contraction. This was in line with manufacturing activity, which also rose to 52.7 from 51.2 in November after October’s two-year low, according to a survey.
The recent price hike by domestic steel companies, supported by improving demand and firming up of global steel prices in anticipation of a US-China trade deal, may significantly improve their margins during the fourth quarter of this financial year, say metal sector analysts.
According to Binod Modi, senior research analyst, Reliance Securities, the government’s infrastructure investment plan will boost the cement sector’s demand by 5-6%. The housing-for-all scheme is also about to gather momentum.
Expanding pipeline facilities and creating power sector infrastructure in the coming months as part of the recent announcement will directly help sectors such as cement and steel, analysts said.
NTPC Talcher Kaniha is strategically moving ahead with long term fuel security plan to fulfill its coal requirement for the 3000 MW coal station.
The Station has a Fuel Supply Agreement (FSA) with Coal India Limited subsidiaries, MCL and ECL as a long term coal plan. In addition, in order to ease the operation of the Station caused due to coal crisis and inadequate coal supply and incurred generation loss, NTPC Talcher Kaniha is taking strategic steps.
The Station has now successfully finalized two alternate sources of coal for the plant. To fulfill this initiative, Talcher Kaniha has started coal lifting from Bhubaneswari and Dulanga mines from December 30, 2019. Both coal sources are a boon to the Kaniha Station in improving the plant generation and ensuring uninterrupted efficient power supply to its esteemed stakeholders.
The country’s iron ore miner NMDC has hiked prices for the first time since last September. The rise in key raw material prices by about ₹200 a tonne each to ₹2,800 for lump ore of 65.5% Fe and ₹2,560 for 64% Fe. Following this, some of the private merchant miners are also negotiating higher price for their ores.