The News International Team
10:50 am Result: Diageo-controlled United Spirits reported a net loss of Rs 27.8 crore for the September quarter, against a net profit of Rs 94.3 crore in the year ago period. The bottomline was weighed down by an exceptional loss of Rs 74 crore during the quarter. Total income for the quarter rose 8 percent year-on-year to Rs 2178.6 crore. Operating profit rose slightly year-on-year to Rs 233 crore against Rs 223 crore, but operating margin fell 40 basis points to 10.7 percent against 11.1 percent.
The company said that overall volume sales for the quarter rose 5.8 percent to 29.7 million, and that the September quarter was traditionally a lean quarter operationally.
10:30 am Exclusive: The government is approaching banking sector reforms in a proper and correct manner, is the word coming in from Anshu Jain, co-CEO of Deutsche Bank. It is looking to strengthen the balance sheets of public sector banks, which is needed if India is to achieve and enjoy the 7-8 percent GDP growth that it aspires to, he adds
Shifting focus to the Indian market, he says the fundamentals are looking good and there seems to be a new mood of optimism as far as the Sensex is concerned and there certainly are early signs that suggest that the tide may have shifted.
Investors today seem confident that the Narendra Modi government will follow through and deliver on promises.
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The market is struggling to pick up pace in early trade. The Sensex is up 55.71 points at 27996.35 and the Nifty is up 13.35 points at 8371.20. About 1269 shares have advanced, 810 shares declined and 60 shares are unchanged.
Oil & gas stocks have recovered after yesterday’s massive fall reacting to government increasing excise duty of petrol and diesel. GAIL, Bajaj Auto, ONGC, Coal India and Tata Motors are top gainers in the Sensex. Among the losers are Tata Power, Cipla, Dr Reddy’s Labs, HUL and Sun Pharma.
Gold eased and was likely to finish lower for a third week in four, as a resilient dollar and strong US economic data undercut bullion’s appeal as a hedge. It has failed to recover strongly from a 4-1/2-year low of USD 1,131.85 hit last week, on steady outflows from gold-backed funds.
The dollar rose to a fresh seven-year high against the yen, bolstered by rising Japanese equities amid speculation that Japan’s leader would call an election and delay a sales tax hike.