The BSE-Sensex is down by 68 points, while the NSE-Nifty is down 29 points. BSE Mid cap index is down by 0.49% and the BSE Small cap index is up by 0.23% respectively. The rupee is trading at 51.43 to the US dollar.
Auto stocks are trading weak led by Escorts and Tata Motors (Telco). According to a leading financial daily, car companies have skipped this year's price hikes that they normally go for in January every year. Automobile companies like Maruti, Hyundai and Volkswagen have been suffering from constantly falling demand. This is mainly due to rising input costs and rupee depreciation besides the high interest rates. For the automobile industry, footfalls have fallen and car sales have become very model specific. By avoiding this price hike, the car makers have given customers a chance to buy cars at last year's prices. However, the managements state that they would soon be increasing the prices of their cars.
Power stocks are trading in the red. Jaiprakash Power and GVK Power are the biggest losers while Tata Power and Torrent Power are the biggest gainers. According to a leading financial daily, National Thermal Power Corporation (NTPC) is planning to enter retail power distribution segment. NTPC through its subsidiary NTPC Electric Supply Company Limited (NESCL) is looking at various business models, including forming joint ventures with the existing distribution companies as well as getting into franchise. The company is also looking at the possibility of retail distribution of electricity to bulk industrial consumers in upcoming mega industrial areas and special economic zones (SEZ).