Indian stock markets plunged deeper into losses in the last two trading hours as sell-off by industry heavyweights intensified. All the sectoral indices are in the red. Metal, banking and realty stocks are the biggest losers.
Majority of the cement stocks are trading in the red. Madras Cement (up 1.9%) and Prism Cement (up 1.8%) are among the handful of gainers. As per a leading financial daily, cement company ACC will scale up capacity in east India by five million tonnes by 2015. Post expansion, the overall capacity of the company will increase to 35 m tonnes. Reportedly, higher capacity utilisation in the eastern region on the back of rising demand is prompting buyers to raise capacity in the region. ACC currently has an annual capacity of 9 m tonnes in the eastern region of the country. The stock is down 2.3%.
Majority of the power stocks are trading in the red. Reliance Infra (up 6.3%), Reliance Power (up 3.5%) and Torrent Power (up 1.6%) are the only gainers. As per a leading financial daily, Power Grid Corporation (PGCIL) is expected to get US$ 400 m funding from the International Finance Corp (IFC) for undertaking electricity transmission projects in the country. The cost of the proposed project is estimated at US$ 2.3-3.5 bn. The company is expected to fund 70% of the projects' cost through debt while the remaining 30% will be from internal accruals. The company has already received the board's approval for investments worth about Rs 700 bn related to 12th Plan Period (2012-17) projects. The stock is down 1.1%.