Auto stocks are trading firm led by Hero MotoCorp and Ashok Leyland. As per a leading daily, Mahindra and Mahindra (M&M) is planning to use fuel smart technology for its passenger cars. We may note here that M&M has recently introduced this technology in its mini-truck Maxximo Plus and as per the management, use of this technology leads to 10% fuel efficiency. Maxximo Plus with fuel smart technology replaces the older Maxximo model. This technology has been developed by M&M at a cost of Rs 0.1 bn and M&M has applied for a patent. M&M is currently trading up by more than 1% after workers at its Nashik plant ended their strike. The workers were on tools down strike since Tuesday and called it off today after the management agreed to their demands.
Private banking stocks are trading in the green led by Dhanlaxmi Bank and Indusind Bank. As per a leading daily, HDFC Bank is planning to open 50 new branches in the state of Karnataka by the end of next fiscal. This will take the total count of branches in the state to 200 from current 150. The bank currently has 1,069 ATMs across Karnataka. The new branches will be opened in the districts of the state including Chamarajnagar and Kolar where HDFC does not have any branch at present. HDFC is seeing huge potential in rural and semi urban areas specifically. As per the management, term insurance and general insurance products for businesses have seen good demand in the rural areas especially from women self-help groups.