Helping You Build Wealth With Honest Research
Since 1996. Try Now

MEMBER'S LOGIN

MEMBER'S LOGINX

     
Invalid Username / Password
   
     
   
     
 
Invalid Captcha
   
 
 
 
(Please do not use this option on a public machine)
 
     
 
 
 
  Sign Up | Forgot Password?  

Markets remain southbound
Fri, 23 Sep 11:30 am

Indian stock market indices are trading in the negative over last two hours of trade. All sectoral indices are trading weak except IT and FMCG stocks.

The BSE-Sensex is trading lower by 138 points and NSE-Nifty is trading lower by 75 points. BSE Mid Cap and BSE Small Cap indices are also down by 1% each. The rupee is trading at 49.78 to the US dollar.

Auto stocks are trading weak led by Mah. Scooters, Tata Motors. According to a leading financial daily, Mahindra and Mahindra (M&M) is likely to raise tractor prices by 1.5% to deal with rising input costs. The new rates will be introduced in a month or so. The auto company however will still be absorbing most of the rise in costs. M&M had earlier raised the tractor prices in June this year by Rs 5500 per unit. This followed a rise in material costs by Rs 45,000 to Rs 50,000 per truck. It may be noted that tractor segment grew by 20% in fiscal year 2010-11. But, slowdown may result in only 13% growth this year. Also, M&M has recently launched a range of pick-ups by the name of Mahindra Genio. This new offering provides both style and power at the same time. It is a mixture of international styling, luxurious interiors, comfort and safety.

Banking stocks are trading weak. All stocks in the sectoral index are trading in the red except for Union Bank of India which is the only stock trading in green. India's largest public sector bank State Bank of India (SBI) has doubled its overseas borrowing medium term note (MTN) programme from USD$ 5 bn to USD$ 10 bn. SBI has also extended 25 basis point concessional home loan scheme from 31 October 2011 to 31 December 2011. Under this scheme the borrower will now be charged an interest of 10.5% as against 10.75% on loans up to Rs 3 m. As per the new scheme a loan above Rs 3m but up to Rs 7.5 m will attract an interest of 10.75%.Many banks like Housing Development Finance Corporation (HDFC Bank), Industrial Credit and Investment Corporation of India (ICICI Bank) have recently launched dual interest rate products offering a fixed rate of interest to start with, which will be later aligned to the base rate as the loan progresses in order to attract more home loan customers.

For information on how to pick stocks that have the potential to deliver big returns, download our special report now!

View all commentaries | Archives

Read the latest Market Commentary


Equitymaster requests your view! Post a comment on "Markets remain southbound". Click here!

  
ABOUT EQUITYMASTER

Since 1996, Equitymaster has been the source for honest and credible opinions on investing in India. With solid research and in-depth analysis Equitymaster is dedicated towards making its readers- smarter, more confident and richer every day. Here's why hundreds of thousands of readers spread across more than 70 countries Trust Equitymaster.

PREMIUM PRODUCTS
QUICK LINKS
POPULAR TOPICS
TRENDING TOPICS
FREE NEWSLETTERS
EQUITYMASTER SUPPORTS
  • HelpYourNGO
  • You Tube
  • Linkedin
  • Twitter
  • Telegram
  • Google Play

Copyright © Equitymaster Agora Research Private Limited.

Whitelist | Refer | Terms | Privacy | Contact | About | Sitemap

Phone +91-9136015013

Equitymaster Agora Research Private Limited (Research Analyst)
SEBI (Research Analysts) Regulations 2014, Registration No. INH000000537.

103, Regent Chambers, Above Status Restaurant, Nariman Point, Mumbai - 400 021. India.
Telephone: +91-22-61434055. Email: info@equitymaster.com. Website: www.equitymaster.com.
CIN:U74999MH2007PTC175407

Name of the Compliance & Grievance Officer: Ms Sonal Ramachandran
Telephone: +91-22-61434003 | Email: compliance@equitymaster.com

LEGAL DISCLAIMER:
Investment in securities market are subject to market risks. Read all the related documents carefully before investing.
Registration granted by SEBI and certification from NISM in no way guarantee performance of the intermediary or provide any assurance of returns to investors.

All rights reserved. Any act of copying, reproducing or distributing this newsletter whether wholly or in part, for any purpose without the permission of Equitymaster is strictly prohibited and shall be deemed to be copyright infringement.

Equitymaster Agora Research Private Limited (Research Analyst) bearing Registration No. INH000000537 (hereinafter referred as 'Equitymaster') is an independent equity research Company. Equitymaster is not an Investment Adviser. Information herein should be regarded as a resource only and should be used at one's own risk. This is not an offer to sell or solicitation to buy any securities and Equitymaster will not be liable for any losses incurred or investment(s) made or decisions taken/or not taken based on the information provided herein. Information contained herein does not constitute investment advice or a personal recommendation or take into account the particular investment objectives, financial situations, or needs of individual subscribers. Before acting on any recommendation, subscribers should consider whether it is suitable for their particular circumstances and, if necessary, seek an independent professional advice. This is not directed for access or use by anyone in a country, especially, USA, Canada or the European Union countries, where such use or access is unlawful or which may subject Equitymaster or its affiliates to any registration or licensing requirement. All content and information is provided on an 'As Is' basis by Equitymaster. Information herein is believed to be reliable but Equitymaster does not warrant its completeness or accuracy and expressly disclaims all warranties and conditions of any kind, whether express or implied. Equitymaster may hold shares in the company/ies discussed herein. As a condition to accessing Equitymaster content and website, you agree to our Terms and Conditions of Use, available here. The performance data quoted represents past performance and does not guarantee future results.