The BSE-Sensex is up by 59 points while NSE-Nifty is trading 19 points above previous closing. BSE Midcap and BSE Small cap indices are up by 0.5% and 0.9% respectively. The rupee is trading at 44.93 to the US dollar.
Auto stocks are trading mixed with TVS Motor and Ashok Leyland leading the gains. However, Tata Motors and Escorts are trading weak. As per a leading financial daily, Hero Honda is looking to introduce three new models by the end of the year. The first among these will be a dirt bike. This will be launched under the new name "Hero Moto Corp Ltd". It may be noted that the auto company had recently split with its Japanese partner Honda Motor Company which was its partner for 26 years. The bike to be introduced will be the country's first dirt bike. It will be imported in completely knocked down form and assembled in Hero Honda's Gurgaon factory. This will be a 180 cc bike and the other models will be in the 100cc and 125cc segments.
Banking stocks are trading firm led by Vijaya Bank and Indian Overseas Bank. As per a leading financial daily, Bank of Baroda has announced that it plans to open 15 new international branches this fiscal year. All these branches will be in countries where the bank already has a presence. This would bring the total number of international branches for the bank to 100. The new branches would come up in Kenya, Tanzania, and some other parts of Africa, New Zealand and Middle East. The bank in fact plans to set up a total of 500 new branches during the year. For this, it plans to hire 4,000 additional people.
For FY12, the bank plans to maintain its net interest margins at 3.5% levels. To achieve this, the bank is focusing on garnering more current and saving account (CASA) deposits. Currently, the bank's CASA deposits stands at 34.67%. To achieve its target, the bank will have to increase it by 22-23%. The bank expects credit growth for the year to be at 19-20% with high demand from the real estate sector. However, the bank has cautioned that it is seeing sluggish growth from the corporates as they are slowing their expansion plans.