The Sensex today is trading lower by 75 points and NSE-Nifty is trading down by 27 points. However, BSE Mid Cap and BSE Small Cap indices are trading higher by 0.2% and 0.4% respectively. The rupee is trading at 55.76 to the US dollar.
Indian pharma stocks are trading weak led by Orchid Chemicals and IPCA Labs. As per a leading financial daily, Indian pharmaceutical company Glenmark Pharmaceuticals will soon be in the final stage of the clinical trial of its drug Revamilast. The drug which is being tested across countries is a cure for treatment of inflammatory disorders like asthma and rheumatoid arthritis. The pharma company may soon seek approval for Phase-III trials in the US, UK and India. Glenmark is looking at filing an Investigational New Drug (IND) application in the US by the end of this financial year. We may note here that the current market for rheumatoid arthritis is estimated at around US$26 billion and for asthma at a little over US$30 bn.
Auto stocks are trading in the red led by TVS Motors and Force Motors. As per a leading daily, petrol price hike effected from yesterday has induced car makers to offer discounts on their petrol vehicles to woo customers. Maruti Suzuki is giving a discount of Rs 30,000 on its Alto and the discount offers are amounting to as high as Rs 50,000 for Tata Motors. Hyundai Motor is also giving discounts of up to Rs 3,000 on its range of petrol models. We may note here that the sales of entry level vehicles have suffered in recent months due to rising fuel prices. With petrol prices being hiked by Rs 7.5 per litre, auto companies fear further slowdown and thus the need to offer such high discounts.