The Indian stock market lost ground over the last two hours of trade and is now trading in the red. Stocks from the realty, metal and power space are trading in the red while those from the auto and software space are finding some investor interests.
The BSE-Sensex is trading down by 85 points while NSE-Nifty is trading 28 points below yesterday's closing. The BSE Midcap and BSE Small cap indices are down by 1.2% and 1.0% respectively. The rupee is trading at 46.02 to the US dollar.
Software stocks have been trading mixed with Infosys Ltd, Oracle Financial Services Software and CMC Ltd leading the pack of gainers. However, Mphasis, NIIT Ltd and Wipro are trading weak. As per a leading financial daily, Infosys has won a US$ 29 m mobile banking deal from ANZ Australia, after beating the likes of Accenture, Deloitte and other companies that offer consulting in the domain. ANZ Australia is a customer of Infosys' core banking product Finacle since 2006. It has used the solution for rapid expansion of its business in Asia. As per industry sources, ANZ's business was worth US$ 60 m for Infosys till now. However, post the deal; the bank will become an even bigger client of the company. The details of the product to be implemented at ANZ are not confirmed yet.
Auto stocks have been trading mixed as well with Mahindra and Mahindra (M&M), Hero Motocorp and Force Motors leading the pack of gainers. However, Escorts and Maharashtra Scooters are trading weak. As per a leading financial daily, Mahindra Group will now be tapping into group synergies to place its next move in the Indian defence space. It is among the four shortlisted entities for a US$ 12 bn order to supply 2,600 vehicles for Indian Army's future infantry combat vehicles programme. If selected, it will see group entities Mahindra Satyam and Mahindra Systech collaborating with defence division. While Mahindra Engineering Services (a part of Mahindra Systech) is working on the automotive design aspects, Mahindra Satyam is creating the information technology backbone. The role of Systech as a key component vendor will increase once the entire supply chain is put in place.