Indian stock markets have recovered losses and are now trading above the dotted line. Barring stocks from banking and realty, most of the sectoral indices are witnessing buying interest. Stocks from metal and oil and gas sectors are among the leading gainers.
Majority of the automobile stocks are trading in the red with Force Motors and Maruti Suzuki being the biggest losers. In order to arrest declining sales Tata Motors wants to refurbish its Nano model and re-position its earlier budget car image to a smart city car, as per a leading financial daily. According to data from Society of Automobile Manufacturers (SIAM), the market share of Tata Motors in passenger cars fell to 8.9% in July 2013 from 11.8% in March 2013. The company is currently operating at a capacity utilization of 48%. The company wants to add new features and improve the perceived value of Nano with every subsequent model launch. The company is planning to add features such as power steering, improved interiors and exteriors, fuel efficiency and CNG model to attract the urban youth. Nano sales has not been able to pick up despite discounts and freebies offered by the company on the model. The company made capital investments of Rs 30 bn last year and this year, the investments will be more. Tata Motors' stock is currently trading up by 2.7%.
Indian pharma Stocks are trading mixed, with Piramal enterprises and Indoco Remedies leading the losses while Ranbaxy laboratories and Orchid chemicals are the leading gainers. As per the financial daily, Cadila Healthcare has received final approval from the United States Food and Drug Administration (USFDA) to market Lansoprazole capsules in the US market. This approval is for Lansoprazole delayed release with 15mg and 30mg strengths. The said drug is used for treating ulcers and other conditions involving excessive stomach acid. The product had sales of $ 500 m per annum during 2012. Further, with this approval the company now has 81 approvals and has so far filed 186 abbreviated new drug applications (ANDAs). Among the other Indian companies Dr Reddy's also holds approval for this drug and has good market share. Cadila was trading down by 1.2% at the time of writing.