India GDP Expands at 6.1%; Infra Stocks Shine

Mayank Mehta
31 Aug, 2009
New York City

Stocks in Mumbai decreased on weakness in Asian markets. The first quarter GDP grew at 6.1%. Cairn India surges on pumping oil from Rajasthan block. IRB Infrastructure slips on profit taking. Unity Infraprojects gains on new order win.

[R]6:00 PM Mumbai, 8:30 AM New York – Stocks in Mumbai decreased on weakness in Asian markets. The first quarter GDP grew at 6.1%. Cairn India surges on pumping oil from Rajasthan block. IRB Infrastructure slips on profit taking. Unity Infraprojects gains on new order win.[/R]

The benchmark index in India failed to react positively to GDP data for the quarter ended June on the weakness in Asian markets. The economy grew at annual rate of 6.1% in the fiscal first quarter against 5.8% in the previous quarter according to the Central Statistical Organisation in New Delhi.

The Sensex index in India decreased 255.70 or 1.6% to 15,666.64 and CNX Nifty index fell 70.25 or 1.4% to 4,662.10. Among the Sensex 30 stocks, 22 fell and 8 rose.

On BSE trading, 1,639 stocks advanced, 1,154 declined and 77 were unchanged.

Gainers & Losers

Trading in interest rate futures began on National Stock Exchange on Monday, with the first contract for December delivery opening at Rs 94.50.

The IT index has shed 2% to 4,182 led by fall in the index heavyweights. Among the major IT stocks, TCS and Infosys have shed around 3% each to Rs 526 and Rs 2,131, respectively. HCL Technologies and Wipro have dropped over 2% each to Rs 299 and Rs 552, respectively.

Allied Digital Services Limited climbed 1.1% or Rs.6.25 to Rs.507.00 after the information technology infrastructure management company’s board approved raising up to $50 million from institutional investors.

Bank of Baroda climbed 1.3% or Rs.5.85 to Rs.433.35 after the rating agency Fitch today affirmed the bank debt rating at ‘BBB.’

Bajaj Hindusthan Ltd surged 3.8% or Rs.6.70 to Rs.181.25 and the sugar and ethanol manufacturer plans to import additional 4 million tons of raw sugar in the next six months.

Bilcare Limited decreased 0.06% or Rs.0.25 Rs.417.00 after the pharmaceutical research company plans to raise $35 million through stock issue in Europe.

Cairn India Limited jumped 2.8% or Rs.7.25 to Rs.267.10 after the exporting and generally dealing in minerals, oils, petroleum, gas and related by products said starts oil production in Rajasthan.

Deep Industries Limited rallied 0.8% or Rs.0.75 to Rs.88.00 after the diversified company with business interests in air and gas compression was awarded Rs.7.75 crore order from ONGC.

Hiran Orgochem Limited gained 1.9% or Rs.0.90 to Rs.46.30 after the bulk pharmaceutical maker plans to raise capital through a public issue.

IL&FS Investment Managers Limited rose 15.4% or Rs.35.35 to Rs.264.55 after the company plans to acquire Maytas Infra Ltd.

IRB Infrastructure Developers Ltd added 3.0% or Rs.6.45 to Rs.219.70 after the company secured a build to operate Talegaon Amravati highway project.

Oil and Natural Gas Corp advanced 0.9% or Rs.11.55 to Rs.1,190.05 after it reported additional discovery of oil and gas in West Tripura PEL block, Assam and Assam Arakan basin.

Parsvnath Developers Limited added 1.2% or Rs.1.50 to Rs.125.25 after the builder was selected to develop 118 acres of integrated township in Rohtak, Haryana.

PVR rallied 6% to Rs 127 on the talks that the company may buy a stake in the DT cinemas owned by DLF.

State Bank of India fell 2.1% or Rs.38.50 to Rs.1,743.05.

Sterlite Industries (India) Limited declined 2.5% or Rs.17.95 to Rs.678.70 after copper and zinc prices in Shanghai and London decreased.

Supreme Infrastructure India Limited rose 9.9% or Rs.8.75 to Rs.96.30 after the company secured new orders of Rs 236.31 crore.

Tata Motors Limited rose 0.7% or Rs.3.40 to Rs.489.35.

Unity Infraprojects Limited gained 3.7% or Rs.13.45 to Rs.369.00 after the engineering and construction company received orders of Rs 325 crore.

Asian Markets Review

The Nikkei 225 Index in Tokyo closed lower 41.61 or 0.40% to 10,492.53, Hang Seng index in Hong Kong decreased 374.43 or 1.86% to 19,724.19 and CSI 300 index in China lower 216.51 or 7.11% to 2,830.27. ASX 200 index in Australia decreased 10.50 or 0.23% to 4,479.10. The Market of Malaysia was closed today.

The Kospi Index in South Korea decreased 16.09 or 1.00% to close at 1,591.85. SET index in Thailand closed lower 3.73 or 0.57% to 653.25 and JSE Index in Indonesia decreased 35.71 or 1.50% to 2,341.54. The Sensex index in India decreased 255.70 or 1.61% to 15,666.64.