The indices further came under pressure and gave up almost all their gains during the previous couple of hours and are now trading marginally in the negative. IT and banking heavyweights seem to be the ones exerting downward pressure.
Auto stocks are trading strong today. One of the top gainers is Maruti Suzuki, trading higher by close to 3%. The buoyancy in the counter seems a result of the company's strong sales numbers for the month of December where sales grew by a robust 20% YoY. This is not all, thanks to some intelligent product launches, the company has gained market share to the tune of 400 basis points. And if all goes well, volumes can grow at a good low double digit pace over the near to medium term. Ashok Leyland is another top performer today, up more than 8%.
The stock that's not finding favour with investors however is domestic pharma major, Dr Reddy's. The stock has fallen some 13 odd percent over the last one month on the back of concerns in Russia, one of the company's largest markets. It should be noted that Russia and CIS is the third largest market for the company after US and India. However, as a leading daily highlights, the company enjoys a natural hedge in Russia and therefore only about 20% of the company's revenues from the Russian and CIS markets are expected to be impacted by the sharp fall in Rouble. Consequently, the concerns around the stock could be overdone. The stock's down by around 2% today.