The BSE-Sensex is trading up by 46 points and NSE-Nifty is trading up by 12 points. BSE Mid cap and BSE Small cap indices are trading up by 0.9% and 0.7% respectively. The rupee is trading at 50.34 to the US dollar.
Mining stocks are trading mainly in the red with Coal India leading the losers. As per a leading financial daily, Coal India Ltd's (CIL)migration to the Gross Calorific Value (GCV) pricing mechanism from the Useful Heat Value(UHV) mechanism used earlier has run into rough weather in West Bengal. Reportedly CIL has been restrained from using the GCV pricing mechanism for state power utilities in West Bengal for a month. The new pricing mechanism was to come into effect from 1 January 2012 and is expected to raise prices of various categories of coal by at least 40%. This development is expected to snowball into a nationwide issue, if taking cue power utilities in the other states protest against implementation of the new pricing mechanism.
Software stocks are trading mixed with Wipro and NIIT leading the gainers and HCL Infosys and Moser Baer India trading the weakest. Wipro has announced its results for quarter ended December 2011. On a consolidated basis, net profits for the quarter were up 10.4% on a year on year (YoY) basis on account of a depreciating rupee and topline registered a growth of 27.6% YoY. The company added 39 new clients and 5004 employees during the quarter. The company expects IT services segment's revenues at US$ 1.52 to US$ 1.55 bn, which implies a sequential growth of 1%-3%. The segment contributed to around three quarters of the total revenues during the quarter. The company witnessed broad based growth with 5 of 6 verticals growing at 4% in constant currency. The board of directors has proposed an interim dividend of Rs. 2 per equity share and ADR. As per the management, the clients have given a positive feedback on restructuring. The company expects clients in the retail, investment banking and telecoms sectors to delay spending on technology services due to global economic uncertainty.