After opening firm, the Indian markets have remained much above the dotted line in the morning trading session. Barring stocks from FMCG and Power sector all the sectoral indices are trading strong.
The BSE-Sensex is trading up 167 points. The NSE-Nifty is trading up 47 points. The BSE Mid Cap index is trading up 0.72% and the BSE Small Cap index is trading up 1.72%. The rupee is trading at 61.55 to the US dollar.
Majority Automobile stocks are trading in strong with Mahindra and Mahindra Ltd (M&M) and TVS motors being the leading gainers in the pack. As per the financial daily, Maruti Suzuki is targeting to sell three million vehicles annually. Reportedly, as per the chairman R. C. Bhargava, company would be at the forefront of the efforts to make India a significant player in the global marketplace. To achieve this target, the company is enhancing its research and development capabilities in order to increase the fuel efficiency and develop eco-friendly models. The company is investing Rs.20 bn at its R&D centre and test course at Rohtak, Haryana, which is Suzuki's first global R&D centre outside Japan. Maruti Suzuki is trading up by 1% at the time of writing.
While stocks from Indian pharma stocks are trading in green with Aurobindo Ltd and JB chemicals being among the leading losers. The stocks of MNC pharma companies are witnessing selling pressures with Sanofi India and Merck Ltd being the leading losers. As per the financial daily, the pharma companies are looking to bring some solution to price controls brought by the authorities. The move comes after the pharma companies lost the petition in Delhi high court to bring stay over the drug price control order. Thus the pharma companies are now looking to have dialogue with the government on the pricing of the drugs. Recently, in July NPPA had brought another 100 drugs under pricing control. Both Indian pharma companies and MNC in particular were expected to get impacted due to this another round of price control proposed by the India regulators. On back of this event, the companies contended the order and filed a petition in the court. On August 1, the Delhi High Court had dismissed a petition filed by the Organization of pharmaceutical producers of India (OPPI) seeking a stay on NPPA's July 10 order of fixing prices. However, the responses from the pricing authority will be given by September 29.