Backed by persistent selling activity Indian markets have continued their slide during the post noon trading session. Barring stocks from IT sector, all the sectoral indices are trading in negative territory. Capital goods and metal sector stocks are the leading underperformers.
Most of the Indian pharma stocks are trading in red with Wockhardt Ltd and Panacea biotech leading the pack of losers. Glenmark Ltd, announced that the company has received approval for Hydrocortisone Butyrate Cream USP, 0.1%, drug from the United States Food and Drug Administration (USFDA). The said drug is a generic version of Locoid Lipocream. Glenmark is first to file for this product and hence holds 180-days exclusivity. In April 2011, Glenmark had entered into settlement with the innovator Astellas. As per the agreement, company can launch the drug in CY 2013. The branded market size of the drug is $ 34 m in US and is indicated for the treatment of mild to moderate atopic dermatitis in patients ageing 3 months to 18 years. Glenmark's current portfolio consists of 90 products authorized for distribution in the U.S. market and 53 ANDA's pending approval with the USFDA. Glenmark has a good portfolio of derma products in the US market and this product will further strengthen its product basket. Glenmark was trading up by 1.5% at the time of writing.
Majority of the private banks are trading in the red with Yes bank and Federal bank being the major losers. Only ING Vysya bank and J&K bank are trading in the green. As per a leading financial daily, Yes Bank is increasing focus on emerging sectors such as life sciences, IT, education and healthcare to tide over the tough macro-economic environment. As per the bank, these sectors are largely driven by domestic consumption particularly in the under-penetrated markets in rural regions. Therefore, the bank sees tremendous scope to partner companies operating in these sectors. Yes Bank, in its road-map, has said that it will quadruple its size over the next five years and has said that it is on track in terms of growth strategy which it chartered out three and half years ago. For the quarter ended June 2013, the bank's net interest income grew by 40% YoY on the back of 29% YoY growth in advances. Its bottomline grew by 38% YoY despite higher provisioning. The net interest margin improved to 3% from 2.8% in 1QFY13, due to rise in proportion of CASA deposits.