Indices in the Indian equity market showed some spunk during the closing stages of the day and consequently, turned a negative position into a positive one. Thus, while BSE-Sensex edged higher by around 50 points (up 0.3%), gains on the NSE-Nifty came in at around 13 points. BSE Mid Cap and BSE Small Cap indices however closed lacklustre today and were mostly flat. Advance to decline ratio on the Sensex was pretty much even today.
Most Asian stocks closed lower today however Europe is trading with a positive bias currently. The rupee was placed at Rs 55.2 to the dollar at the time of writing.
Notwithstanding today's gains, it looks unlikely markets will get a clear direction till the time quarterly results start pouring in. Plus, we also have the budget to look forward to. Not that it would matter a lot for the long term investor. For he should assume that unless something goes terribly wrong, earnings growth for India Inc in the 12%-15% range is a near certainty at least for the next decade if not more. And thus, he should go about valuing and investing in stocks accordingly.
Mahindra & Mahindra Ltd. (M&M), India's largest UV manufacturer closed marginally higher on the bourses today. Close on the heels of the success of its seven-seater Quanto in India, the company is now setting its eyes on foreign shores. The first country to get a taste of the product is likely to be South Africa, where it already has sizeable presence courtesy its other products. Quanto has received a good response in India, notching up bookings of 12,000 units within a few months of its launch. It should be noted that M&M was the first company in India to launch a sub-4 metre utility vehicle with no competitor in sight. The company is also looking forward to the launch of its bikes, importantly the 300cc Mojo and is sparing no effort to make a success out of the same too.
Engineers India, the state owned PSU also closed marginally higher on the bourses today. The company, around 80% owned by the Government could see promoter shareholding go down by another 10% in view of a proposed stake sale. The Government is looking to raise Rs 6.5 bn from the stake sale. Engineers India is a total solutions consultancy company & EPC contractor in the fields of Petroleum Refining, Petrochemicals, Pipelines, Oil & Gas Terminal & Storages, Mining and Metallurgy & Infrastructure projects. It has also diversified into newer areas such as water and solid waste management and city gas distribution.