India’s plan to pump cash into state- owned banks is brightening the prospects of two-wheeler makers as Prime Minister Manmohan Singh woos voters with cheaper loans in the world’s second-biggest market.
Sensex -0.2% at 25,313.74 * CNX Nifty -0.1%, volume 45% below 30-day avg.; BSE 100 -0.1%; BSE 500 little changed * Rupee ends little changed at 60.1325 per dollar after earlier weakening to one-week low on concern higher global oil prices, inadequate rainfall will spur inflation * BSE 100 gainers: Ashok Leyland +6%, Rural Electrification +4.5%, Power Finance +3.3% * BSE 100 decliners: Yes Bank -3%, Idea Cellular -2.7%, Oil & Natural Gas Corp -1.4%, JSW Steel Ltd -1.4% * Monsoon, higher oil prices are “short-term headwinds” for mkt, Jeff Chowdhry, head of emerging-market stocks at London- based F&C Asset Management, which oversees about $150b, tells Bloomberg TV India; foreign investors to favor India if govt. “pushes reforms” to tackle budget deficit and subsidies * NOTE: Govt. to present federal budget on July 10; PM Narendra Modi says he’s prepared to take unpopular measures to revive economy growin
Benchmark S&P BSE Sensex falls 1st time in five days as power utilities and industrials decline. * Sensex -0.4% to 25,473.89 at close after climbing to all-time high of 25,735.87 earlier * Investors booking profit as broad market overbought amid high expectation from Modi govt., Alex Mathews, head of research at Geojit BNP Paribas Financial Services, said by phone from Kerala ** NOTE: Sensex rallied 8% in May, best monthly advance since Oct., after Narendra Modi’s BJP won strongest electoral mandate in 30 years; gauge +20% YTD, trades at ~15.7x projected 12-mo. profits, most expensive in 3 1/2 years; its 14-day RSI at 75.8; some investors see reading >70 as signal to sell * State-owned NTPC -3.3%, biggest decline since Feb. 24; Tata Power -4.9%, most since Aug. 16; stk biggest loser on Sensex; BSE India Power Index -2.8%, the most since May 26 * Copper producer Sesa Sterlite -1.9%; stk climbed to 3-year high June 5; aluminum m
TTK Prestige Ltd., India’s largest kitchen appliances maker, dropped for a third day, heading for the steepest decline in more than two months, as some investors judged the stock’s surge this year excessive.