Indian markets despite coming off their day's high have managed to trade considerably higher in the early noon session, supported by broad-based buying. Buying was visible across all the sectors. Realty index was the top sectoral gainer, up by about 5%. Healthcare, auto, power and capital goods indices have also advanced.
Auto stocks were in demand today. Tata Motors and Bharat Forge were amongst the most favored stocks. According to a leading financial daily, Ashok Leyland is reportedly planning to set up three to five assembling plants outside India in order to boost export business. The first plant is likely to go on stream by end of the current financial year and each of these plants would attract investment of around Rs 300-500 m. The company currently has strong presence in SAARC and Middle East markets and sees huge opportunity in Africa and South American markets. The script of Ashok Leyland was trading up by 0.2% at the time of writing.
Stocks from the banking sector soared more than 3% in the afternoon trade with PNB and Canara Bank witnessing majority of the buying interest. According to a leading financial daily, IDBI Bank, a public sector lender, has received shareholders' nod to raise Rs 260 bn through a mix of equity and bonds to fund growth. The bank will issue shares up to Rs 60 bn (inclusive of premium amount) through various modes of issues including QIP. The fund from sale of shares would be raised in one or more tranches. Besides, the bank plans to raise up to Rs 200 bn from bonds in one or more tranches during the current fiscal.