M&M heads higher after unit sells part stake in CIE Automotive

Shares of Mahindra & Mahindra (M&M) rose 0.88 percent to Rs 1,425 at mid noon hours on BSE after the company said that its wholly owned subsidiary MOICML (Mahindra Overseas Investment Company-Mauritius) on 13 Dec 2017, sold 64.50 lakh shares, representing 5 percent of the share capital of CIE Automotive S.A. The average gross price was Euro 23.50/ share. The deal totaled Euro 151.58 million. Following the sale, MOICML's shareholding in CIE Automotive-SA would come down to 7.44% of its share capital. The transaction will facilitate diversification of investor base of CIE Automotive S.A.

Mahindra & Mahindra's net profit rose 24.8% to Rs 1,331.57 crore on 14 percent rise in net sales to Rs. 12,182.07 crore in Q2 Sept 2017 Year-on-Year.  Mahindra & Mahindra enjoys a leadership position in tractors and utility vehicles in India.

MCX seeks Sebi nod for schemes to boost gold options volume

The Multi Commodity Exchange (MCX) has sought approval from the market regulator Sebi for introducing liquidity enhancement schemes for its recently launched gold options contracts.

MCX’s gold options contracts daily average turnover declined to Rs. 130 crore in Nov as against Rs 297 crore in Oct. The daily average turnover of gold futures contracts on the MCX was Rs. 2054 cr, and Rs 2297 in October and November, respectively. 

The ratio of gold options contracts to gold futures contracts slipped to less than 3.5%, by volume, in Dec from over 14% in October. Prior to the launch of the gold options contract, market players were hoping volumes in this section would rise to at least two times those of gold futures contracts. 

The Sebi has particular guidelines for certain volumes in the existing Gold-options contracts before allowing contracts of smaller denominations. As per sources, MCX was likely to engage jewellers and organize awareness programmes to enlarge volumes in gold-options contracts. 

Sensex falls 100 points, Nifty below 10,300 ahead of WPI data

Benchmark indices were trading lower on Tuesday ahead of key inflation data. The BSE Sensex is trading lower by 125 points at 33,330.76, while the NSE Nifty50 falls 49.15 points to 10,273.10 in the later morning hours. The government will announce Consumer Price Index (CPI) and Index of Industrial Production (IIP) data later in the day.

Shares of Dr Reddy’s rose 5% to Rs. 2,287.85 after the company said the US FDA issued an Establishment Inspection Report for the company’s plant-3 in Hyderabad.

Tata Motors Limited has said that the company will be increasing prices of its whole passenger vehicles ranging by upto Rs.25,000, starting Jan 2018, as per the BSE filing.

L&T InfoTech Limited completes acquisition of 100% stake in banking solution provider Syncordis-SA.

Asian stocks edged up, extending their recent gains after US stocks hit fresh records Friday. Major indices are up gradually with Nikkei 225 hitting a 26-year high.

Rupee: The Indian rupee was trading at 64.44 per dollar, down 0.11 percent from its last close of 64.37. It opened at 64.46 per dollar on Tuesday.

Gold: COMEX Gold is currently quoting at USD 1251.60, up marginally on the day. MCX Gold futures are being traded at Rs 28,470 per 10 grams, down 0.22 percent on the day.