Wholesale Prices in India Declined Easing Drought Worries
6:00 PM Mumbai – Stocks in Mumbai rose after factory output increase and wholesale prices declined. Tata Motors reported May global sales including Jaguar Land Rover, rose 2.2%. Power Grid said after the government plans to sell 5% stake in the company.
Stocks in Mumbai traded higher after factory output increased more than expected in April, a two-month high.
In addition, wholesale prices declined in May, after soaring for most of last year. India is facing worst drought conditions since 2009.
The Wholesale price Index in May decreased at annual rate of 2.36% compared to 2.65% rate in April and from the 6.18% annual rate increase in the same period last year, the Ministry of Commerce & Industry reported.
Rupee weakened 10 paisa to 64.16 against one U.S. dollar.
The Sensex Index advanced 161.25 or 0.6% to close at 26,586.55. The CNX Nifty rose 31 or 0.4% to 8,013.90.
Gainers & Losers
Bharat Sanchar Nigam Limited, the telecommunication services provider plans to put up 5,000 base transceiver station towers across the country to provide better services to its wireless customers.
Elder Pharmaceuticals Ltd soared 6.6% to ₹84.60 after the drug maker plans to target ₹100 crore from global sales of its calcium supplement brand Shelcal by 2017.
Glenmark Pharmaceuticals Ltd advanced 1.1% to ₹889.35 after the pharmaceutical products maker received U.S. drug regulator''s approval for an extended-cycle oral contraceptive drug in the U.S. market.
ITC Limited added 0.4% to ₹298 after the consumer goods provider plans to invest ₹8,000 crore to expand its existing unit in Telangana.
Kaveri Seed Company jumped 4% to ₹814.70 after The Reserve Bank of India allowed foreign investor to invest up to 49% in the company.
Power Grid Corporation of India Limited declined 2.7% to ₹141.45 after the power transmission company said the government plans to sell 5% stake in the company.
Steel Strips Wheels Limited rose 0.6% to ₹268.30 after the wheel maker won an export order in Europe.
Tata Motors Limited increased 1.2% to ₹427.05 after the truck and motor vehicle maker reported May global wholesales, including Jaguar Land Rover unit, rose 2.15% to ₹79,244 units compared to in the same period a year ago.
Sources: Data collected by 123jump.com and Ticker.com from company press releases, filings and corporate websites. Market data: BATS Exchange. Inc