Indian stock market indices are trading firm on the back of buying in heavy weights during the last two hours of trade. All the sectors are trading in the green led by auto and PSU.
The BSE-Sensex is up by 188 points while NSE-Nifty is trading 60 points above yesterday's closing. BSE Midcap index is up by 1.1% and BSE Small cap index is up by 0.9%. The rupee is trading at 44.98 to the US dollar.
PSU stocks are trading mixed with Coal India and SAIL leading the pack of gainers while Power Finance Corporation and HPCL are on the losing end. As per a financial newspaper, National Aluminium Company Limited under the union ministry of mines, Government of India, has become the first PSU to implement a project on Carbon Sequestration. For this, the Navratna PSU has earmarked an area of 0.18 acre in its Captive Power plant at Angul. Indo-Can Technology Solutions, a bio-technology solutions provider has been appointed to provide technical consultancy and services. This project is expected to complete within 18 months.
This initiative is expected to address the issue of reducing Green House Gases. It may be recalled that, at Copenhagen summit this year, India had resolved to cut down the rate of emission of green house gases by 20%. NALCO may avail of carbon credit benefits arising out of this through Clean Development Mechanism. Carbon Sequestration is a process in which carbon is removed from the atmosphere and deposited in a reservoir. This is done with an aim to mitigate or defer global warming.
Auto stocks are trading firm led by Maruti Suzuki and Tata Motors. As per a leading financial daily Bajaj Auto is on path of development of the ultra low cost car (ULC) and will be ready to show the prototypes to Renault this year. The company management has stated that in a matter of months, they will be able to share details with their JV partner. This vehicle that is expected to be priced around Rs 0.15 m is being considered as a competitor to Tata's small car Nano. It is expected to deliver a mileage of 30 km per litre. It may be recalled that in November 2009, Mr. Carlos Ghosn, CEO of Renault-Nissan had revised the JV arrangement during his visit to India. Bajaj was entrusted with the task of designing and manufacturing the ULC while Renault's job is to market the same.