The major Asian stock markets have opened the day on a mixed note with stock markets in Japan (up 0.5%) and Hong Kong (up 0.3%) leading the gains. However, the stock markets in South Korea (down 0.5%) and Taiwan (down 0.2%) were leading the losses. The Indian share markets have opened the day on a positive note. Barring consumer durables, all sectoral indices have opened in the green with stocks in the metal and banking space leading the gains.
The Sensex today is up by around 80 points (0.4%), while the NSE-Nifty is up by about 22 points (0.3%). The midcap and smallcap stocks have also opened in the green with BSE Mid Cap and BSE Small Cap indices up by around 0.8% and 1.1% respectively. The rupee is currently trading at Rs 60.34 to the US dollar.
Energy stocks have opened the day on a mixed note with Gujarat Gas Ltd and Jindal Drill Ltd leading the gains. However, Petronet LNG Ltd and Cairn India Ltd were facing selling pressure. As per a leading financial daily, ONGC Videsh Ltd (OVL), the overseas arm of state-owned Oil and Natural Gas Corporation Ltd (ONGC) has reported a 26% year on year growth in crude oil production in FY 14 as the recent acquisitions have offset a natural decline in production from the ageing fields and geopolitical issues in South Sudan and Syria. The acquisition of a 3% interest in an Azerbaijan oil field and further 12% stake in a Brazilian field led to the rise in production. OVL's crude oil production during the year stood at 5.491 million tonnes (MT) from assets in over 16 countries in FY 14. This compares to 4.34 MT in FY13. The company is aiming for 20 MT of oil and oil equivalent gas production by 2018 and 60 MT by 2030.
Telecom stocks have opened the day mainly in the green with Tata Communications Ltd and MTNL Ltd leading the gains. As per a leading financial daily, the old telecom operators are likely to get some relief in one-time spectrum charges as the Department of Telecommunications (DoT) is calculating rates afresh based on the February 2014 auction price. It is important to note here that one-time spectrum fee is the charge old telecom operators were asked to pay for holding additional spectrum without upfront charges. Currently, the charges are estimated at around Rs 232 bn. As per a department official, the rates will be revised in four circles - Delhi, Mumbai, Karnataka and Rajasthan - for 1,800 MHz and in three metros where auctions for the 900-MHz band were held in February. The rates for the remaining areas will remain the same. If 2013 auction prices are considered for revision, operators are likely to get a discount of up to 51% for the Rajasthan circle, 25% in the Mumbai service areas and 34% in Delhi for 1,800 MHz.