After opening positively, the Indian indices are trading above the dotted line in the morning session. The buying interest is the highest in metal and pharma stocks. The selling pressure is largely restricted to FMCG stocks
The BSE Sensex is trading up 88 points and the NSE-Nifty is trading up 28 points. The BSE Mid Cap index is trading up 0.7% and the BSE Small Cap index is trading up 0.6%. The rupee is trading at 62.31 to the US dollar.
Software stocks are trading mixed today. While Infosys and Wipro are among the stocks leading the gainers; Tata Consultancy Services (TCS) and Tech Mahindra are among the stocks leading the losses. India's second largest software company Infosys has opened a new delivery center in Brazil. The center will house about 100 employees and will cater to the Latin American market. Infosys began operations in Brazil in 2009 had currently employs over 700 people in the country. Brazil is a key market in Latin America for Infosys. In this geography, it employs over 1,700 people and has plans to significantly scale up its operations. The Latin American market contributed about 10% of revenues for the company in 3QFY14. Infosys is trading up 1% today.
Automobile stocks are trading on a mixed note. While Maruti and Ashok Leyland are trading firm, Mahindra & Mahindra (M&M) is trading weak today. As per a leading financial daily, Mahindra & Mahindra and its unit of Ssangyong Motor plan to jointly develop and launch their first engine in 2015. Ssangyong Motor, a South Korean company that M&M acquired during 2011, would make use of its X100 compact SUV engine for joint development. The X100 based engine would be used as common platform for both companies future products. The appropriate use of resources in this manner could reduce costs for M&M through synergy. The company believes that through the joint effort they plan to produce about six engines that would include both petrol and diesel variants. Notably, M&M plans to roll out two of its own SUVs and a commercial vehicle in 2015 that is expected to use the engines made from this joint effort.