Indian stock market indices continued their northward journey 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 technology and consumer goods.
The BSE-Sensex is up by 200 points while NSE-Nifty is trading 57 points above yesterday's closing. BSE Midcap and BSE Small cap indices are up by 0.9% and 1% respectively. The rupee is trading at 44.68 to the US dollar.
Food stocks are trading firm led by Ruchi Soya and ITC. As per a leading financial daily, Nestle India inaugurated its new culinary plant on Wednesday at Nanjangud in Mysore district of Karnataka. The consumer goods maker has made an investment of Rs 3.6 bn for this plant. The plant will specialize in the manufacture of culinary products like ketchups, pasta, instant noodles, mixed condiments and seasonings. It is expected to provide employment to 630 people. Nestle India operates seven factories and employs around 6,000 people.
Nestle has an existing state-of-the-art coffee factory at Nanjangud. The management stated that their brand Maggi has a good connect with Indian consumers and they are very positive about India's growth story. It may be recalled that the company plans to invest close to Rs 15 bn over the next 2-3 years in India as a part of its expansion strategy.
Energy stocks are trading mixed with Petronet LNG and Chennai Petro in the green while GAIL and Castrol are on the losing end. As per a leading financial daily, GAIL has set a target of transmitting 118.2 m cubic meters of natural gas per day from domestic sources and through liquefied natural gas (LNG) during FY 2011-12. The target was mentioned in the annual performance MOU that it signed with the oil ministry. The MOU was signed by oil secretary S Sundareshan and GAIL CMD B.C.Tripathi. For the FY2011-12, GAIL has set a target of marketing 85.5 m standard cubic meters per day of gas and production of 422,000 tons of polymers and 1.35 m tons of liquid hydrocarbons. There will be focus on globalization with specific parameters on mergers and acquisitions.