The Indian equity markets have made a gap up start
led by gains in Infosys. Though, the US markets just after a day of big
rally made a mixed closing overnight while, most of the Asian equity
indices were trading in the positive terrain at this point of time. Back
home, sustained buying in most of the key heavyweights along with
broader indices supported BSE's -- Sensex -- and NSE's -- Nifty -- to
regain their crucial 16,700 and 5,000 mark respectively. Moreover,
software space witnessing the jubilant move and Infosys, TCS, Wipro and
HCL Tech all were trading with the gain of 3-6 percent after Infosys
reported 10 percent rise in its consolidated net profit to Rs 1906.00
crore for July-September quarter as compared to Rs 1737.00 crore for the
same quarter last year. Software witnessed the maximum gain in trade
followed by technology and healthcare while, auto remained the lone
loser on the BSE sectoral space. The broader indices were too were
trading with good gains. The market breadth on the BSE was positive;
there were 1,316 shares on the gaining side against 480 shares on the
losing side while 60 shares remained unchanged.
The BSE Sensex opened at 16,660.43; about 124 points higher compared to its previous closing of 16,536.47, and has touched a high and a low of 16,748.22 and 16, 653.48 respectively.
The index is currently trading at 16,722.22, up by 185.75 points or 1.12%. There were 23 stocks advancing against 7 declines on the index.
The overall market breadth has made a strong start with 70.91% stocks advancing against 25.86% declines. The broader indices too were trading with decent gains; the BSE Mid cap and Small cap indices surged 0.77% and 0.84% respectively.
The top gaining sectoral indices on the BSE were, IT up by 4.66%, TECk up by 3.38%, HC up by 0.86%, FMCG up by 0.85% and CG was up by 0.80%. While, Auto down by 0.30% remained the lone loser on the index.
The top gainers on the Sensex were Infosys up by 5.33%, Wipro up by 4.72%, TCS up by 4.14%, Jindal Steel up by 2.41% and Bajaj Auto was up by 1.70%.
On the flip side, Tata Motors was down by 1.64%, DLF was down by 1.02%, M&M was down by 0.94%, Tata Power was down by 0.39% and Hindalco was down by 0.38% were the top losers on the Sensex.
Meanwhile, the recent depreciation in Indian rupee has affected the financial health of the government owned oil marketing firms (OMCs), as weakening of rupee against dollar by Re 1 impacts the cost of diesel, kerosene and cooking gas by Rs 8,000 crore per annum.
By expressing concern over the revenue loss of the OMCs due to fall of rupee against dollar, the Petroleum Minister Jaipal Reddy said that the exchange rate which was Rs 46 per US dollar at the beginning of September 2011 is now hovering around Rs 49. 'Weakening by every Re 1, impacts the cost of diesel, PDS kerosene and domestic LPG by Rs 8,000 crore per annum' he added.
The government is committed to protect the interests of common man and efforts are being made to minimize the impact of rising crude prices. The average price of the Indian basket of crude oil, which was $69.76 per barrel in 2009-10, has shot up to $111 per barrel, Reddy said.
In order to minimize the impact of hovering international crude oil prices on consumers, the government has removed the custom duty on crude oil and reduced it for petroleum product by 5%, and excise duty on diesel by Rs 2.6 per litre. However, to reduce the revenue loss of the OMCs, government has also allowed them to increase the prices of diesel, LPG cooking gas and kerosene by Rs 3 per litre, Rs 50 per cylinder and Rs 2 per litre respectively.
Despite the surge in selling prices of the petroleum products, the OMCs are still making revenue loss of Rs 271 crore per day, and with this pace, the OMCs are expected to incur revenue loss of Rs 1,21,000 crore in current financial year. The under recoveries have affected the financial health of OMCs, and diminishing cash flows have reduced resource generation for expansion and modernization. By adding further Reddy said, 'OMCs are forced to borrow even for their working capital requirements.'
'If their financial health deteriorates on account of under recoveries, their ability to discharge assigned task of supplying the entire country with petroleum products would suffer,' Reddy said. The good financial health of OMCs is pre-requisite for ensuring long term energy security in the country.
The top gainers of the Nifty were Infosys up by 5.69%, Wipro up by 4.81%, HCL Tech up by 3.98%, TCS up by 3.95% and Jindal Steel up by 2.66%.
On the flip side, Tat Motors down by 1.75%, M&M down by 1.08%, DLF down by 0.89%, Axis Bank down by 0.74% and Hindalco down by 0.61%, were the major losers on the index.
The BSE Sensex opened at 16,660.43; about 124 points higher compared to its previous closing of 16,536.47, and has touched a high and a low of 16,748.22 and 16, 653.48 respectively.
The index is currently trading at 16,722.22, up by 185.75 points or 1.12%. There were 23 stocks advancing against 7 declines on the index.
The overall market breadth has made a strong start with 70.91% stocks advancing against 25.86% declines. The broader indices too were trading with decent gains; the BSE Mid cap and Small cap indices surged 0.77% and 0.84% respectively.
The top gaining sectoral indices on the BSE were, IT up by 4.66%, TECk up by 3.38%, HC up by 0.86%, FMCG up by 0.85% and CG was up by 0.80%. While, Auto down by 0.30% remained the lone loser on the index.
The top gainers on the Sensex were Infosys up by 5.33%, Wipro up by 4.72%, TCS up by 4.14%, Jindal Steel up by 2.41% and Bajaj Auto was up by 1.70%.
On the flip side, Tata Motors was down by 1.64%, DLF was down by 1.02%, M&M was down by 0.94%, Tata Power was down by 0.39% and Hindalco was down by 0.38% were the top losers on the Sensex.
Meanwhile, the recent depreciation in Indian rupee has affected the financial health of the government owned oil marketing firms (OMCs), as weakening of rupee against dollar by Re 1 impacts the cost of diesel, kerosene and cooking gas by Rs 8,000 crore per annum.
By expressing concern over the revenue loss of the OMCs due to fall of rupee against dollar, the Petroleum Minister Jaipal Reddy said that the exchange rate which was Rs 46 per US dollar at the beginning of September 2011 is now hovering around Rs 49. 'Weakening by every Re 1, impacts the cost of diesel, PDS kerosene and domestic LPG by Rs 8,000 crore per annum' he added.
The government is committed to protect the interests of common man and efforts are being made to minimize the impact of rising crude prices. The average price of the Indian basket of crude oil, which was $69.76 per barrel in 2009-10, has shot up to $111 per barrel, Reddy said.
In order to minimize the impact of hovering international crude oil prices on consumers, the government has removed the custom duty on crude oil and reduced it for petroleum product by 5%, and excise duty on diesel by Rs 2.6 per litre. However, to reduce the revenue loss of the OMCs, government has also allowed them to increase the prices of diesel, LPG cooking gas and kerosene by Rs 3 per litre, Rs 50 per cylinder and Rs 2 per litre respectively.
Despite the surge in selling prices of the petroleum products, the OMCs are still making revenue loss of Rs 271 crore per day, and with this pace, the OMCs are expected to incur revenue loss of Rs 1,21,000 crore in current financial year. The under recoveries have affected the financial health of OMCs, and diminishing cash flows have reduced resource generation for expansion and modernization. By adding further Reddy said, 'OMCs are forced to borrow even for their working capital requirements.'
'If their financial health deteriorates on account of under recoveries, their ability to discharge assigned task of supplying the entire country with petroleum products would suffer,' Reddy said. The good financial health of OMCs is pre-requisite for ensuring long term energy security in the country.
The
S&P CNX Nifty opened at 5,011.20; about 37 points higher compared
to its previous closing of 4,974.35, and has touched a high of 5,037.35
while low remained its opening.
The index is currently trading at 5,030.90, higher
by 56.55 points or 1.14%. There were 38 stocks advancing against 12
declines on the index. The top gainers of the Nifty were Infosys up by 5.69%, Wipro up by 4.81%, HCL Tech up by 3.98%, TCS up by 3.95% and Jindal Steel up by 2.66%.
On the flip side, Tat Motors down by 1.75%, M&M down by 1.08%, DLF down by 0.89%, Axis Bank down by 0.74% and Hindalco down by 0.61%, were the major losers on the index.
Most
of the Asian equity indices were trading in the green; Shanghai
Composite was up 50.66 points or 2.16% to 2,399.18, Hang Seng was up
113.64 points or 0.63% to 18,255.23, Jakarta Composite was up 63.75
points or 1.81% to 3,595.51, KLSE Composite was up 7.99 points or 0.57%
to 1,419.64, Straits Times was up 5.16 points or 0.19% to 2,698.21 and
Seoul Composite was up by 9.96 points or 0.55% to 1,804.98.
On the flip side, Nikkei 225 was down 29.68 points
or 0.34% to 8,744.00 and Taiwan Weighted was down by 1.86 points or
0.03% to 7,396.85. 
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