Buying interest in select energy, engineering and tech stocks proved to be the saving grace for Indian share markets today. Despite severe profit booking in commodity and auto stocks the India indices managed to close in the positive and languishing in the red for most of the session. While the BSE-Sensex closed higher by around 19 points, the NSE-Nifty closed higher by 7 points. The BSE Mid Cap index and the BSE Small Cap also closed marginally above the dotted line.
As regards global markets, Asian indices closed a mixed bag today while European indices have opened lower. The rupee was placed at Rs 55.10 to the dollar at the time of writing.
Arvind Ltd, has decided to set up integrated textile parks and manufacturing facilities in Gujarat. The entity is expected to sign a memorandum of understanding (MoU) for the same at the upcoming Vibrant Gujarat Summit 2013. The integrated textile park will house around 50 units near its existing plant at Santej, for which the company is scouting for a land of over 200 acres. The company has decided to invest around Rs 20 bn in the project, after investing in its own denim, spinning, shirting, real estate and other business.
PSU banking major Punjab National Bank (PNB) has received Competition Commission of India's (CCI) approval to buy 30% stake in MetLife India Insurance Company. The bank, however has recently reported a weak set of numbers. PNB reported 16% YoY growth in interest income and a 12% YoY fall in net profits for the second quarter of FY13. The bank managed a 19.5% YoY growth in gross advances in 1HFY13, despite a tough credit environment. However, in the domestic book the growth came in closer to the sector average at 16.5% YoY. The growth of 17% YoY in deposits was led by higher growth in term deposits during the past year. PNB's NIMs dipped mainly on account of slower NII growth. This was on account of interest income reversal on NPAs added during the quarter and higher interest costs. NIMs came in at 3.6% in 1HFY13 compared to 3.9% earlier.