After opening weak, the Indian stock markets have continued to trade bellow the dotted line during the morning trading session. Sectoral indices are trading mixed. Consumer durables and Banking stocks are the leading gainers, while capital goods and metal sector stocks are at the receiving end.
The BSE-Sensex is trading down 28 points. The NSE-Nifty is trading down 12 points. The BSE Mid Cap index is trading down 0.8% and the BSE Small Cap index is down 0.3%. The rupee is trading at 60.14 to the US dollar.
Indian pharma stocks are trading mixed today. Dishman Ltd and Elder Pharma are among the leading losers while Wockhardt Ltd and Cadila Healthcare are among the leading gainers. As per the financial daily, competition commission of India (CCI) has raised concerns over Sun Pharma's acquisition of Ranbaxy. CCI has ordered for public investigation, as the deal is expected to increase market domination by one company. This in turn will impact the prices of essential drugs in the domestic market. Reportedly, this is among the very rare action taken by CCI to ask hard questions of a merger-in-the-making. Few weeks back even some minority shareholders had filed a litigation in the high court. This litigation was recently cleared and even stock exchanges had given green signal for the merger. While the approval from SEBI, and CCI was still pending.
Telecom stocks are trading mixed today. While Bharti Airtel is leading the gainers; Tata Communications is leading the losers. India's largest telecom firm Bharti Airtel, has announced results for 1QFY15. Consolidated revenues for the quarter grew by 13.3% YoY to Rs 229.6 bn. Net profits jumped by 60.9% YoY to Rs 11.1 bn. The growth was driven by data services. Data revenues grew by 73.9% YoY to Rs 22 bn. Revenues from the African business were up 17.5% YoY in rupee terms but 12.1% YoY in constant currency terms. The realized rate per minute from the African business was also muted. While voice ARPM remained flat YoY, data ARPM grew by just 8% YoY. The consolidated net debt of the company reduced to Rs 577.4 bn at the end of June 2014, from Rs 605.4 bn reported till end-March 2014. Bharti Airtel is trading up 5.1% today.