The Indian share markets have opened on an encouraging note after profit booking yesterday. The Sensex is up 318 points (up 1.18%) and the NSE-Nifty is up 102 points (up 1.26%) at 8,228. BSE Mid Cap and BSE Small Cap have also opened on a strong note with both the indices up by 0.9%. Majority of the sectoral indices have opened in the green with auto and healthcare stocks witnessing the majority of the buying activity. Metal stocks were trading marginally down.
With regards to global markets, the US markets ended mildly lower, recovering some of the losses as investors took relief from a slight recovery in the bond market. Asian markets have opened in the green in morning trade. Stock markets in Europe were down as volatility in the bond markets weighed on stocks adding to existing investor anxiety over Greece's finances. Indian rupee opens flat at Rs 64.17 per dollar.
Dr Reddy's Laboratories Ltd, India's second largest drug maker by sales, posted fourth-quarter results, as foreign exchange losses offset the impact of higher sales of generic drugs in the US. Net profit rose 7.7% YoY to Rs 5.18 bn from Rs 4.81 bn. Sales rose 11.2% YoY to Rs 38.70 bn from Rs.34.80 bn in the previous year. Sales in Russia fell 27% to Rs 3.28 bn as the rouble weakened against the dollar. Russia contributes about 11% of generic sales for Dr Reddy's. Research and development expenses grew 19% to Rs 5.14 bn in the fourth quarter.
Automobile stocks opened on an optimistic note with TVS Motors and Ashok Leyland being the leading gainers. Shares of Eicher Motors have opened on a positive note after it was reported that, Royal Enfield, a division of Eicher Motors, had acquired UK based Harris Performance Products. Harris Performance is one of the leading experts in designing and manufacturing of specialized high performance motorcycle chassis and components. Reportedly, under the terms of the deal, Royal Enfield will acquire all assets, employees, trade names, technical know-how and intellectual property of Harris Performance Products.