Indian share markets pare gains

Fri, 30 Aug 01:30 pm

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Volatility continued to mar the Indian share markets with the indices paring gains but remaining above the dotted line in the post-noon trading session. Majority of the sectoral indices are trading in the red with metal, oil and gas and power stocks being the biggest losers. However, banking, Pharma and consumer durables stocks are trading in the green.

BSE-Sensex is up 31 points and NSE-Nifty is trading 4 points up. BSE Mid Cap is trading down 0.1% and BSE Small Cap index is trading up marginally. The rupee is trading at 66.5 to the US dollar.

Majority of the large software stocks are trading in the green, with Moser Baer and Wipro being the major gainers. CMC Ltd and Wipro has entered into a partnership with Qatar Airways to develop a range of aviation information technology (IT) products for them. The aviation IT product portfolio consists of two categories of solutions namely enterprise solutions and mobility solutions. The enterprise solutions would essentially comprise of crew management, route profitability analysis, loyalty management, in-flight catering, aircraft maintenance planning and crisis management. On the other hand mobility solutions would include products for pilots, cabin crew and flight dispatchers. In June 2013 quarter, Wipro’s IT services segment saw a muted growth of 4.5% QoQ. The IT Products segment witnessed a decline of 24% QoQ during the quarter. This was mainly on account of lower capex from the Indian corporate sector. It must be noted that the company sells its IT products only in the Indian and Middle East markets. Therefore the slowdown in the Indian markets had an adverse impact on the growth of the segment.

Most of the Indian pharma Stocks are trading in green, with Cipla and Piramal Enterprises leading among the gainers. As per the financial daily, Taro Pharma, a 66% subsidiary of Sun Pharmaceuticals, has signed a licensing and co-development pact with NovaBiotics. NovaBiotics has licensed out its Novexatin drug for co-development to Taro. The said drug is used to treat fungal nail infections. Reportedly, Novexatin is an investigational drug that is expected to enter a multi-centre phase IIb study for mild-to-moderate onychomycosis in the US. NovaBiotics and Taro will jointly manage the study and other development activities for Novexatin, and Taro will be the lead partner in the programme. The onychomycosis market in 2012 had generic antifungal sales of $ 548.44 m and is expected to grow by 19.5% per annum over the next decade.