Major Asian stock markets have opened the day on negative note with Singapore (down 0.62%) being the top loser in the pack. However the key indices in Hong Kong have opened the day on a strong note (up 0.93%). The European and US stock markets closed their session in green on Monday. The rupee is trading at 64.12 per US dollar.
Major stocks in the FMCG space have opened their day in red. As per an article in Business Standard, the center is demanding a compensation of Rs 4.26 bn from Swiss Major Nestle India. The compensation is based on alleged damages caused by Maggi noodles to Indian consumers. This has been demanded at a time when Nestle India is awaiting a verdict from the Bombay High Court in its case against Foods Safety and Standard Authority of India (FSSAI). The consumer affairs ministry is ready to file a complaint with the Nation Consumer Dispute Redressal Commission (NCDRC) in the next few days. The complaint is on behalf of Indian Consumers against 'unfair trade practices' and 'misleading consumers'. The compensation that the government is seeking has been calculated on the basis of 'Maggi' sales share in Nestle India's total revenue in the country in 2014-15. Stock of Nestle India is trading down by 0.35%.
Stocks in the banking sector have opened their day on a mixed note. As per an article in a financial daily, ICICI Bank stated that it would charge a base rate of 9.7% on its small ticket home loan. A new scheme named ICICI-Saral Rural Housing has been launched. Under this scheme rural women can avail loans within the limit of Rs 5-15 lakh for which the banks will charge a floating rate home loan of 9.70%. The loan is for the tenure between three to twenty years. For home loans that are up to Rs 50 m the bank charges 9.85% on floating rate basis. While the bank has seen a good growth in retail loans it faces challenges on the asset quality front.. The stock of ICICI is trading down by 0.27%.