6:00 PM Mumbai, 8:30 AM New York – Mumbai stocks advanced as rainfall picked up in the last week. Rain deficit at the end of last week across the nation is now 21%, lower than 35% a month ago and 50% in June. The Oil India IPO receives lukewarm response on the first day of subscription.

Stocks in Mumbai trading gained after the finance officials of G-20 nations agreed to keep in place economic stimulus. Investors were relieved after higher rainfall in the last ten days has lowered rain deficit from more than 35% to 21% across the nation.

The Sensex index in India increased 327.20 or 2.0% to 16,016.32 and CNX Nifty index rose 102.50 or 2.1% to 4,782.90. Among the Sensex 30 stocks, 28 rose and 2 fell.

On BSE trading, 2,261 stocks advanced, 594 declined and 54 were unchanged.

Jaiprakash Associates and Infrastructure Development Finance soared after they were selected to replace Nalco and Tata Communications in the Nifty 50 index.

The Oil India IPO commenced its subscription today with issue oversubscribed 1.27 times. The oil exploration company public offering price band is between Rs 950 and Rs 1,050 and is priced between 9 to 10 times 2008 earnings. The oil company has 575 million barrels of proven oil reserves and 63.41 billion cubic meters of natural gas and produces 68,000 barrels of crude oil a day.

Gainers & Losers

Aurobindo Pharma Limited added 1.4% to Rs 705.50 and the company said it has received the U.S. regulatory approval for a generic drug.

Axis Bank Limited increased 2.8% to Rs 932.75 after the company received approval from the SEBI to launch mutual funds.

Diamond Power Infrastructure Ltd increased 4.9% to Rs 226.40.

Eicher Motors Limited increased 6.5% to Rs 481.95 after the company said it sold 2,443 buses and trucks in August.

Hiran Orgochem Limited added 4.9% to Rs 51.75 after the bulk pharmaceutical maker declared dividend and issued 4 bonus shares for share held.

ICICI Bank Limited added 6.0% to Rs 788.80 after the company executives made positive comments on economic growth.

Indian Oil Corporation Limited added 7.4% to Rs 663.15 surged to a new high in the last one year of trading and said that it plans to invest 60,000 rupees in the next five years.

Jindal Steel & Power Limited surged 7.1% to Rs 3,513.00 announced book closure for bonus issue.

KNR Constructions Limited increased 4.9% to Rs 105.65 after the company received an order worth Rs 231.28 crore.

Larsen & Toubro Limited added 1.3% to Rs 1,592.00 said is in talks to buy a thermal coal mine in Australia for about $300 million, the Economic Times reported on Monday, citing two people familiar with the matter. Recently, Coal India led a group of investors to a visit to Australia to explore coal asset purchase.

McNally Bharat Engineering Company Ltd fell 1.2% to Rs 191.30.

Petron Engineering Construction Limited surged 19.9% to Rs 154.25 after it received Rs 37.45 crore orders from Madras Cements.

Pratibha Industries Limited added 4.0% to Rs 217.90 after the water management project developer secured contract of Rs 144.69 of for supply, installation and maintenance of automatic reading water meters from Municipal Corporation of Greater Mumbai.

REI Agro Limited surged 11.5% to Rs 53.15 after the basmati rice processor said its board will meet on September 9, 2009 to consider rights issue.

INFY	$42.25	0.48%
WIT	$7.45	2.05%
RDY	$36.98	-3.27%
VSL	$0.10	0.00%

click on symbol for profile