The major Asian stock markets have opened the day on a negative note with the stock markets in Hong Kong (down 1.1%) and Japan (down 3.0%) leading the losses. The Indian share markets have also opened the day on a weak note. Barring power and energy indices, all sectoral indices have opened in the red with stocks in the banking and realty sector leading the losses.
The Sensex today is down by around 82 points (0.4%), while the NSE-Nifty is down by about 28 points (0.4%). The mid and small cap stocks have also opened in the red with the BSE Mid Cap and BSE Small Cap indices down by around 0.3% and 0.6% respectively. The rupee is currently trading at Rs 61.50 to the US dollar.
Engineering stocks have opened on a mixed note with Sanghvi Movers Ltd and Opto Circuits Ltd leading the gains. However, Manugraph India and Everest Kanto Cylinder were witnessing selling pressure. As per a leading financial daily, the construction arm of Larsen & Toubro Ltd (L&T) has bagged an international order worth Rs 36.6 bn from ASHGHAL (Public Works Authority), State of Qatar. The company has stated that the Transportation Infrastructure Business of L&T Construction has secured the order for design and construction of Al Wakrah Bypass Road (PO15). The project is scheduled to be completed in 32 months. The work will involve construction of 11 km road with 10 lanes and four future lane sections with additional roads, frontage roads and ramps. As per the company, the freeway will provide access to the existing and planned developments through five major interchanges comprising of 20 bridges, 13 bicycle overpasses, 8 vehicular underpasses, 3 pedestrian bridges and vehicular tunnel work. The project will also include state of the art road furniture and other related utility works. As per the management, this is the company's single largest order in the international market and will be crucial for its growth plans in the Middle East region.
Indian Pharma stocks have opened the day on a mixed note with Dishman Pharma Ltd and Sun Pharma Ltd leading the losses. However, Aurobindo Pharma Ltd and Torrent Pharma Ltd were witnessing gains. As per a leading financial daily, Dr. Reddy's Laboratories Ltd (DRL) is recalling about 58,656 bottles of the heartburn drug lansoprazole in the United States due to a microbial contamination. The recall has been classified as "Class II" that indicates a remote possibility of severe adverse consequences or death due to the product flaw. The event has happened at a time when Indian pharma companies are facing a string of quality problems. As per the company spokesperson, the financial implications related to the event are insignificant.