Asian stock markets have opened the day on a mixed note. Benchmark indices in Indonesia (up 0.7%), Hong Kong (up 0.6%) and Singapore (up 0.6%) are leading the gains. However, markets in Taiwan (down 0.6%) are trading below the dotted line. The Indian stock markets have opened the day on a positive note. Stocks in the FMCG and technology sectors are leading the gains.
The BSE-Sensex is higher by around 48 points (0.3%), while the NSE-Nifty is up by around 14 points (0.2%). Midcap and small cap stocks are trading in the positive as well, with the BSE Midcap and the BSE Small cap indices up by about 0.3% each. The rupee is trading at 44.41to the US dollar.
Auto stocks have opened the day on a good note with Ashok Leyland, Hero Honda and Mahindra & Mahindra leading the pack of gainers. Leading car manufacturer, Maruti Suzuki has stated that its K-series engines has crossed 10 lakh units in sales. This milestone has been achieved within three years of starting the production of the engine. The K-series engine is a fuel efficient engine that Maruti manufactures and uses in its Wagon R, Swift, Estilo and Alto models. Maruti had introduced the high end engine in its a-Star model in 2008. As stated by the management, the success of the engine highlights Maruti's commitment to introducing improved technologies over the years. The engine has been well received by its customers. Maruti also plans to launch a new version of Swift next month. The new model would be more fuel efficient and would come with 1.2 litre petrol and 1.3 litre diesel variants. The stock of the company is currently witnessing selling pressure.
Pharma stocks have opened the day on a positive note as well with Lupin, Glenmark Pharma and IPCA Labs leading the gains. The U.S. Food and Drug Administration (USFDA) has imposed a ban on the products made at Dr. Reddy's Laboratories Ltd.'s (DRL) Mexican unit. This is the result of violation of manufacturing rules. The information was displayed on the regulator's website. The USFDA has previously issued a warning letter to DRL with all the details of violation at the Mexican facility. The regulator has asked the company to find the cause and put measures in place to prevent such violations in the future. This Mexican facility is a part of DRL's bulk drugs business. The stock of the company is currently trading in the green.