After opening flat, the benchmark indices have traded marginally above the dotted line in the morning session. However, midcaps and smallcaps have surged upwards. Buying interest is highest in auto and energy stocks.
The BSE-Sensex is trading up by 51 points (0.18%) and the NSE-Nifty is trading up by 18 points (0.20%). The S&P BSE Midcap index is trading up by 91 points (0.84%), while the S&P BSE Smallcap index is trading up by 110 points (0.97%). The rupee is trading at 63.55 to the US dollar. Gold and Silver are trading at Rs 26,335 per 10 grams & Rs 35,235 per kilogram respectively.
Stocks in FMCG sector are trading on a mixed note with Emami trading up by 2% and Dabur trading up down 0.6%. Nestle India is making plans to re-launch its instant noodles brand 'Maggi'. The Bombay High Court allowed Nestle India to export Maggi noodles but did not lift the ban on its local sales. The matter will be resolved by the High Court within a period of three to six months as per experts and analyst. Assuming to get a positive order from Bombay High Court they have conducted an internal survey. A mail has been forwarded to all the employees of the company asking them their feedback on how the brand 'Maggi' could be rebuilt. Nestle India has created a dedicated web page for this purpose which is not visible to outsiders. The thought behind it is to generate a lot of ideas which could help the company to deal with the current crisis. Nestle India is trading up 2.5%.
Stocks in Engineering sector are trading on a mixed note with Larsen and Toubro (L&T) trading down by 0.2% and Welspun Corp trading up by 1.4%. Competition Commission of India (CCI) has cleared Advent and Temasek's proposal to buy stake in Crompton Greaves worth Rs 20 bn. Under the proposed deal, both the players combined would snap up 34.37% stake in Crompton Greaves. Before giving its approval, CCI had sought clarification regarding the five year non-compete restrictions clause which was mentioned in the share purchase agreement. However CCI granted nod to the acquirers, only on modifications of the non-compete restriction terms by reducing the same from five to three years. Crompton Greaves is trading up by 1.2%.