The major Asian stock markets have opened the session on a mixed note with markets in Hong Kong (down 0.48 %) and China (down 2.40%) leading the losses. However, markets in Japan are trading in the green, up by 0.4%. US and European stock markets closed their session on an encouraging note yesterday. The rupee is trading in green at 63.9 per US dollar.
Stocks in automobile sector are trading on a mixed note with Force Motors Ltd leading the pack of winners . However, Eicher Motors led the losses. Jaguar Land Rover (JLR), the UK subsidiary of Tata Motors has cut the price of its premium brand Range Rover Evoque in China. It is worth mentioning here that China is the biggest market for JLR. The price of the base model for instance is now down 11%. JLR produces the Evoque sports utility vehicle in Jiangshu province and operates in China in a joint venture with local auto maker Chery. China's contribution to JLR's overall sales fell to 23.5% in the three months to March, from 29.6% a year ago. Sales fell 20% to 23,526 vehicles in the same quarter, compared with a 36% increase in the year-ago quarter. Stock of Tata Motors is trading up by 0.06%.
Stocks in pharmaceutical sector are trading on a positive note with Elder Pharma and IPCA Labs leading the winners. As per a leading financial daily, Lupin Ltd is planning to making the highest R&D spend in the pharma industry. As per the management, the company will spend 10% of its turnover on R&D soon. Currently, R&D spend is at 8.5% of sales. In comparison, the average R&D spend for the industry is around 5-7% of sales. The management has declined to share details of the expansion in the R&D budget as of now. A focus on R&D is likely to help the company move up the value chain from generic business and getting into specialty business.