Indian stock market indices have managed to erase early losses and have traded strong over the last two hours of trade. Consumer Durable and FMCG stocks witnessed maximum buying interest while Oil and Gas and Auto stocks witnessed maximum selling pressure.
The BSE-Sensex is up by 80 points, while the NSE-Nifty is up by 21 points. BSE Mid Cap index and the BSE Small Cap index are up by 0.57% and 0.77%. The rupee is trading at 52.79 to the US dollar.
Auto stocks are trading in the red led by Tata Motors and Bajaj Auto. According to a leading financial daily, Passenger vehicle (PV) sales in the domestic market for the month of April grew by 9% as compared to the same period last year. 8 out of the country’s top 19 automobile makers together sold 171,130 units as compared to 157,101 units in April last year. Market leader Maruti Suzuki registered modest growth of 3.6%. Tata Motors sales of the Nano small car dipped by a fifth to 8,028 units. Passenger Vehicle sales in the company also dropped by 3%. However Mahindra & Mahindra (M&M) fared well in increasing sales by a third to 20,558 units on the back of the diesel models in its portfolio. General Motors also saw its sales drop by 20%.
Retail stocks are trading in the green led by Zodiac Clothing and Titan Industries. Titan Industries declared results for the fourth quarter of financial year 2012 and full year ended March 31, 2012. The company reported an increase of 28.3% YoY in net sales for the quarter and 35.5% YoY for the full year 2012. Revenues from sales of timewear were up by 25% YoY during the quarter. The same for jewellery saw an increase of nearly 30% YoY. Jewellery’s contribution to overall sales increased from 77.2% to 78.1% during the last quarter. For the full year 2012, jewellery accounted for nearly 79% of total sales of the company. Operating margins were up by nearly 3% during the quarter.. Titan’s net profit jumped by 72.2% YoY in the last quarter. Net profit for FY12 was up by 39.4% YoY. The company declared a dividend of Rs 1.75 per share implying a dividend yield of 0.7% at present.