Friday February 8, 01:00 PM
Range-bound trade... |
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By Equitymaster.com
Markets have continued to trade in the negative territory during the previous hours of trade, albeit within a narrow range. The breadth is favoring declines, with there being seven stocks declining for every 1 stock advancing on the NSE. Stocks from the software sector are, however, garnering interest currently.
The BSE Sensex is trading at 17,390 (down 137 points) while the NSE Nifty is trading at 5,094 (down 39 points). The rupee is trading at 39.58 to the dollar.
Power generation major, NTPC has signed a Memorandum of Understanding (MoU) with auto ancillary manufacturer Bharat Forge (BFRG.BO, news) to promote a joint venture company. The JV will manufacture equipments such as castings, forgings, fittings and high pressure piping required for the power and other industries. As per the equity participation, NTPC would hold 49% stake in the JV, while Bharat Forge will hold the remaining 51%. The move will take care of equipment supply constraints for NTPC, while for Bharat Forge, supplier of auto equipments, it will be a way to de-risk revenues from the automobile segment. While Bharat Forge is trading higher by 1%, NTPC is trading lower by 2%.
Domestic pharma major Ranbaxy has received tentative approval from the USFDA to market 'Esomeprazole Magnesium' Delayed-Release Capsules, 20 mg (base) and 40 mg (base). 'Esomeprazole' is the generic version of Astrazeneca's blockbuster drug 'Nexium', which is the second largest selling drug in the US with total market sales of US$ 5.5 bn per annum, as per IMS-MAT December 2007 data. Ranbaxy has the first-to-file (FTF) status on the drug, which means that the company will get 180 days marketing rights with no competition from any generic companies upon final approval from the US regulator. However, it must be noted that the legal suit with respect to the drug has not yet been resolved. While the stock is trading higher by 1%, its peers Dr. Reddy (REDY.BO, news) 's (marginally down), Cipla (down 1%) and Wockhardt (down 2%) are trading weak.
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