Mining stocks are trading in the red led by Coal India and Sesa Goa. According to a leading financial daily, Coal India in its board meeting has decided to revise the penalty clause in the fuel supply agreements (FSAs) to be signed with power firms. The state-run company also agreed to supply at least 80% of the required fuel to power firms. It would meet the production gap through imports, amounting to 15% this year. Prices of imported and domestic coal would be pooled to supply coal at an average price to power generation utilities. Under the terms of the draft FSAs, Coal India has to ensure at least 80% of coal supply to power producers or pay a penalty of 0.01%. Power producers had opposed the low penalty and the provisions that granted a three-year exemption from paying penalties. The penalty clause, as well as the details of the price pooling would be finalised in the next board meeting, likely within the next 15 days.
Automobile Stocks are trading firm led by Bajaj Auto and Force Motors. As per a leading daily, Tata Motor's Jaguar has launched the special edition of XKR luxury sedan in India. The special edition is different from the existing one in that it has added enhancements to the hand crafted cabin along with discreet exterior changes. The new editions priced at Rs 12.7 m are available to order from July 2012. These will be available in both coupe and convertible forms. The vehicle is powered by a 5 litre direct-injection V8 petrol engine. It has a six-speed automatic transmission that offers manual driver control via steering-wheel mounted paddles.