Sensex in India Drops 0.9%; LIC Housing Surges

Mukesh Buch
14 Oct, 2010
New York City

The benchmark index in Mumbai declined 0.9% and gave back nearly half the gains of yesterday. The rupee held firm and outsourcing companies rose ahead of earnings from Infosys Technology. LIC Housing Finance surged after it reported 36% increase in earnings.

[R]6:30 PM Mumbai – The benchmark index in Mumbai declined 0.9% and gave back nearly half the gains of yesterday. The rupee held firm and outsourcing companies rose ahead of earnings from Infosys Technology. LIC Housing Finance surged after it reported 36% increase in earnings.[/R]

Stocks in Mumbai trading closed lower a day after surging more than 2%. The Sensex index declined 0.9% or 190.24 to close at 30,497.64 and Nifty 50 index fell 0.91% or 556.55 to 6,177.35.

For the year so far, foreign investors have poured $21.8 billion as low yields in Europe, Japan and U.S. drive investors to emerging markets.

The rupee closed at 44.07 to a dollar and 70.64 to a UK pound and 62.09 to a euro.

Infosys Technology gained more than 1% or Rs 33.05 to Rs 3,184 ahead of its earnings release tomorrow.

Gainers & Losers

Aditya Birla Nuvo Limited rose 0.2% to Rs 857.05 after the conglomerate company’s promoter Aditya Birla group will raise its stake in company to 51% from current 46%, by converting preferential warrants into equity shares.

AXIS Bank Limited plunged 2% to Rs 1,557.00 after the second quarter net profit rose 38.28% to Rs 735.14 crore.

Ashoka Buildcon Limited gained 2.8% to Rs 333.35 after a 0.31% discount to the initial public issue price of Rs 324.

Birla Shloka Edutech surged 7.8% to Rs 37.90 extending gains for the second consecutive day, after the board allotted 19.94 lakh convertible equity share warrants to promoters of the company at Rs 68 each.

Bedmutha Industries Ltd spurted 77.2% to Rs 180.80 after a 10.78% premium over the initial public issue price of Rs 102.

Cadila Healthcare Limited rose 0.8% to Rs 694.70 after the pharmaceutical company launched Pramipexole tablets in multiple strengths in the United States.

Coromandel International Limited surged 6.5% to Rs 657.55 after the fertilizer maker said its board will consider stock-split proposal on October 19 along with second quarter September results.

DCW Limited gained 3.5% to Rs 18.85 after the chemical manufacturer entered into a technical license and support agreement with Rockwood Italia (Italy), a leading producer of synthetic iron oxides.

Godrej Consumer Products Limited increased 2.9% to Rs 401.55 after the company''s board approved merger with its unit Godrej Household Products.

Honeywell Automation India Limited declined 3.9% to Rs 2,488.00 after the automation and control system maker third quarter net profit declined 28.4% to Rs 25.88 crore.

Infotech Enterprises Limited slumped 7.5% to Rs 174.75 engineering software maker said second quarter consolidated net profit declined 6.62% to Rs 32.99 crore.

Jindal Poly Films Limited rose 0.9% to Rs 1,341.20 after the flexible packaging film maker reported net profit spurted 359% to Rs 179.74 crore.

Kilitch Drugs (India) Limited declined 3.8% to Rs 117.45 after it turned ex-dividend for a dividend of rupee one per share for the year ended March.

LIC Housing Finance Limited rose 0.9% to Rs 1,458.05 after the second quarter net profit soared 36.77% to 234.20 crore.

Mastek Limited plunged 3.3% to Rs 235.85 after the software developer posted first quarter consolidated net loss of Rs 13.46 crore compared to net profit of Rs 26.41 crore from a year ago.

Mafatlal Industries Limited surged and locked at upper circuit limit of 4.9% to Rs 261.25 after the company may get Rs 1,200 crore to Rs 1,300 crore from the sale of a 14.5 acre plot near the Byculla Zoo in Mumbai.

Mahendra Satyam Computer Services Limited rose 0.7% to Rs 86.55 after the information technology secured a contract from the state of Kentucky in the United States.

Spanco Telesystems and Solutions Limited gained 1.1% to Rs 156.85 after the telecom system maker secured a contract worth Rs 95 crore from Maharashtra State Electricity Distribution Company.

Sea TV Network Limited spurted 6% to Rs 106.00 after it priced the initial public offering at Rs Rs 100 per share.

The Shipping Corporation of India Limited fell 1.3% to Rs 184.70 after the shipping company planning to buy a stake in Vizhinjam International Seaport for its deepwater seaport project.

Uflex Limited spurted 6% to Rs 307.65 after the plastic and metalized film maker said board decided to withdraw a rights issue proposed earlier.

VST Industries Limited gained 1.8% to Rs 596.20 after the tobacco and related product maker said second quarter net profit surged 40% to Rs 24.01 crore.