After opening the day on a flat note, the Indian Indices are in a sharp upswing in the post noon trading session. Most sectoral indices are trading in the green with stocks from the IT ,financial and pharma leading the gainers.
The BSE-Sensex is trading up 298 points (up 1%) and the NSE-Nifty is trading up 94 points (up 1.1%). Both BSE Mid Cap index and the BSE Small Cap index are trading up by 1% each. Commodity prices are trading on a negative note. Gold price, per 10 grams, is trading at Rs 25,965 levels. Silver price, per kilogram is trading at Rs 35,385 levels. Crude oil is trading in up at Rs 3,282 per barrel. The rupee is trading at 63.48 to the US dollar.
Stocks in the automobile space are trading on an encouraging note with TVS Motors and Escorts leading the gains. As per a leading financial daily, the defence division of Tata Motors is eyeing Rs 600 bn of contracts to build combat vehicles. The company, being the country's largest automobile maker, has bagged an Rs 9.14 bn contract to supply 1,239 indigenously developed high mobility multi-axle vehicles. This is the single largest order awarded by the army to an Indian private original equipment manufacturer in land systems under Defence Procurement Policy. The order book is Rs 15 bn to be executed over the next two years. The revenue for the defence division was recorded at Rs 12 bn last year and the company is aiming to double this within next two years. Stock of Tata Motors is currently trading up by 0.4%.
Energy stocks are trading mixed with Gujarat State Petronet and Essar Oil witnessing buying interest. According to financial times, GAIL has given a tender to buy two liquefied natural gas (LNG) cargoes for prompt deliveries. These deliveries were linked to various demands for gas by many local fertilizer companies. The delivery dates for the concerned cargoes were declared to be in between of July 14 and August 3. Further on a separate note, the company has also given five years to foreign shipbuilders to make LNG carriers in India. This is double the time allowed for delivering ships from their home shipyards. Stock of GAIL is trading up by 3.6%.