India Stocks Surge on Exports, Auto Sales

Mayank Mehta
02 Mar, 2010
New York City

The benchmark index in Mumbai surged 2.1% after January exports increased 11.5% on a rising demand in Europe and expanding sales of jewelry. Manufacturing expanded for the eleventh month in a row. Maruti, Tata Motors, TVS and Bajaj Auto sales surge in February.

[R]6:00 PM Mumbai, 8:30 AM New York – The benchmark index in Mumbai surged 2.1% after January exports increased 11.5% on a rising demand in Europe and expanding sales of jewelry. Manufacturing expanded for the eleventh month in a row. Maruti, Tata Motors, TVS and Bajaj Auto sales surge in February.[/R]

Stocks in Mumbai trading surged after exports rose 11.5% and auto sales surged in February.

The Sensex index in India increased 343.01 or 2.09% to 16,772.56 and CNX Nifty index rose 94.70 or 1.92% to 5,017. Among the Sensex 30 stocks, 25 rose and 5 fell.

On BSE trading, 2,042 stocks advanced, 770 declined and 69 were unchanged. Reliance Industries rose on reports of a possible acquisition of Canada''s Value Creation.

Banks and resource stocks closed higher.

Cement companies gained in trading after companies raised prices per bag between Rs 10 and Rs 12 to pass on the higher excise duty and an increase diesel fuel tax.

Rupee edged higher 10 paisa to 46.00 against one dollar.

January exports increased 11.5% to $14.34 billion and rose 4.9% when measured in rupees. Exports in the ten months ending in the month increased 17.8% in the dollars and 12.1% in rupees. Imports in the month rose 35.5% to $24.70 billion and in the ten-month period increased 27.6% from a year ago period.

Gainers & Losers

Bajaj Auto Limited rose 1.7% to Rs 1,850 after the two-wheeler maker reported a 78% growth in its motorcycle sales during February to 234,623 units. Total sales of two and three-wheeled vehicles soared 53% to 77,642 units.

BEML Limited rose 3.4% to Rs 1,047.95 after the rail coaches maker signed a pact with Kamaz Vectra Motors to develop commercial vehicles.

Bharat Heavy Electricals Limited climbed 3.1% to Rs 2,425.00 and the company won orders aggregating Rs 5,778 crore.

EdServ Softsystems Limited increased 4.9% to Rs 265.40 after the education and recruitment company acquired Chennai based Smartlearn WebTV, a company specializing in e-learning offering entrance exams for colleges.

Everest Kanto Cylinder Limited advanced 2.7% to Rs 112.50 after the company received orders for the export of CNG cylinders aggregating to about $5 million with the delivery scheduled before May 5.

Glenmark Pharmaceuticals Limited rose 1.9% to Rs 256.55 after the company Tuesday said its Glenmark Generics Ltd. unit has received approval from the U.S. regulators to sell generic ropinirole hydrochloride tablets.

Hindustan Dorr-Oliver Limited gained 5.2% to Rs 195.20 the engineering subsidiary of IVRCL Infrastructures and Projects Ltd., said it has acquired UK based Davy- Markham, a heavy engineering procurement and construction company for an undisclosed sum.

Maruti Suzuki India Limited added 2.0% to Rs 1,494.05 after the company reported record monthly sales of 96,650 vehicles for February, 22% increase a year ago.

Mahindra & Mahindra Limited rose 4.1% to Rs 1,049.05 after the vehicle sales surged 39.5% in February to 27,894 units a year ago.

Orchid Chemicals & Pharmaceuticals Limited advanced 1.9% to Rs 163.25 after the company received U.S. regulatory approval for generic drug sales.

Shree Ashtavinayak Cine Vision Limited fell 4.9% to Rs 13.40 and Dhilin H Mehta, Chairman and Managing Director and a promoter of the company pledged additional 3.80 crore shares representing 4.81% stake of the firm.

Sterlite Technologies Limited gained 8.1% to Rs 438.20 after the company fixed March 10 as the record date for a 1:1 bonus issue.

Tata Motors Limited surged 18.1% to Rs 790.10 after the truckmaker reported record monthly sales in February.

TVS Motor Company Limited gained 7.8% to Rs 75.90 after the vehicle maker reported sales increase of 31% in February.

Welspun Gujarat Stahl Rohren Limited rose 2.7% to Rs 247.60 after the company secured order of Rs 600 crore.

Wipro Limited rose 2.9% to Rs 696.30.