Inflation Declines in India; Infosys Earnings

123jump.com Staff
09 Jul, 2009
New York City

Investors largely ignored the IMF revised higher the economic growth estimate of India for 2009 and 2010. The Washington based international lender has spotty reputation for its policies. Wholesale inflation declined at the end of June.

[R]5:00 PM Mumbai, 7:30 AM New York – Investors largely ignored the IMF revised higher the economic growth estimate of India for 2009 and 2010. The Washington based international lender has spotty reputation for its policies. Wholesale inflation declined at the end of June.[/R]

The Sensex index in India decreased 11.69 or 0.08% to 13,757.46 and CNX Nifty increased 4.60 to 4,083.50. Among Sensex 30 stocks, 14 increased and 16 decreased.

On BSE in trading, turnover decreased to 4,877 crore rupees from 5,400.03 crore rupees. Of the shares traded, 1,076 increased, 1,457 decreased and 98 were unchanged.

In the session, the rupee trade for the most part near 49 rupees against a dollar.

The measure of inflation at producer prices, Wholesale Price index for a year ending on June 27 declined 1.55% from the 1.3% at the end of previous week. The government also revised upward the inflation at the end of May 2, to 1.48% from 0.48%.

The Washington based International Monetary Fund revised higher the economic growth for India in the calendar 2009 to 5.4% from 4.5% and in 2010 to 6.5%.

The government is estimating economic growth for the fiscal year ending in March 2010 at 6.7%.

Gainers & Losers

Infosys decreased 1.5% to 1,677 rupees ahead of its earnings tomorrow on the worries that revenues and earnings are likely to declined from the previous quarter on weak economic conditions in the U.S. and stronger rupee in the quarter. Revenues could fall as much as 5% from the previous quarter.

Reliance Industries increased 1.1% to 1,849 rupees.

Mahindra & Mahindra declined 2% or 14.90 rupees to 722.05 rupees, Maruti Suzuki decreased 0.5% to 1,097.05 and Tata Motors fell 2.7% to 272.30 rupees.

Larsen & Toubro Limited declined 1.7% to 1,389.40 rupees and the company managing director M. Naik sold 39,185 shares valued at 6.4 crore rupees according the filing with the NSE and BSE.

Cairn India increased 209.05 rupees and ONGC declined 1% to 998.95 rupees.

Hindustan Petroleum Corporation Limited increased 2.2% to 332.85 rupees, Indian Oil Corporation added 0.6% to 565.60 rupees and Bharat Petroleum Corporation edged up 1.4% to 470.40 rupees.

Asian Markets Review

The Nikkei 225 Index in Tokyo closed lower 129.69 or 1.38% to 9,291.06, Hang Seng index in Hong Kong increased 69.52 or 0.39% to 17,790.59, CSI 300 index in China closed higher 44.04 or 1.31% to 3,396.30. ASX 200 index in Australia decreased 4.60 or 0.12% to 3,763.30. The FTSE Bursa KL Composite index in Malaysia closed higher 0.21 or 0.02% to 1,065.68.

The Kospi Index in South Korea decreased 0.13 or 0.01% to close at 1,430.89. SET index in Thailand closed higher 6.12 or 1.06% to 581.99 and JSE Index in Indonesia increased 0.73 or 0.03% to 2,083.97.