Sensex snaps two days of losses, Ranbaxy soars on U.S. sales

MUMBAI Thu Aug 8, 2013 5:30pm IST

People watch a news channel displayed on a large screen on the facade of the Bombay Stock Exchange building, February 28, 2007. REUTERS/Arko Datta/Files

People watch a news channel displayed on a large screen on the facade of the Bombay Stock Exchange building, February 28, 2007.

Credit: Reuters/Arko Datta/Files

Related Topics

Stocks

   

MUMBAI (Reuters) - The BSE Sensex snapped two days of losses on Thursday, helped by a surge of 27.6 percent in Ranbaxy Laboratories on upbeat quarterly sales in the U.S. at a time when it is facing stringent scrutiny from the drug regulator there, while a rupee recovery also supported the broader market.

Dollar-selling by exporters and expectations of more RBI measures strengthened the beleaguered rupee, adding to the broad market rally.

Stocks have fallen in 10 of the last 12 trading sessions, as investors turn wary of slowing growth and the weakening rupee, which tumbled to a record low on Tuesday despite the central bank's cash-draining measures.

"It's been a tough few weeks to be managing Indian and emerging Asian equities, and sentiment towards India is pretty much at rock bottom at the moment," said Jonathan Schiessl, investment manager of Ashburton Global Funds Chindia Equity Fund.

The Sensex closed 0.67 percent, or 124.46 points, higher at 18,789.34.

The Nifty ended 0.84 percent, or 46.55 points, higher at 5,565.65.

The Nifty has lost 7.3 percent since the RBI first announced the liquidity draining measures on July 15.

Shares in Ranbaxy Laboratories (RANB.NS), India's top drugmaker by sales, zoomed over 30 percent on Thursday after it clocked better-than-expected sales in its key U.S. market.

The results were a relief after its shares had tumbled 36 percent as of Wednesday's close since the drug maker pleaded guilty to U.S. felony charges related to drug safety and agreed to pay $500 million in settlement

Shares in India's top car maker Maruti Suzuki (MRTI.NS) ended 4.07 percent higher after the central bank removed restrictions on shareholding of foreign institutional investors.

Midcap stocks, which have faced the brunt of the recent selloff in equities, also staged a comeback with auto ancillary firm Bharat Forge(BFRG.NS) jumping 16.93 percent.

The NSE Midcap index, which has lost 15 percent since the beginning of June, ended 1.24 percent higher.

However, drugmaker Lupin added to Wednesday's falls, slipping another 3.25 percent to end at 801.35 rupees, while Sun Pharmaceutical Industries Ltd (SUN.NS) dropped 3.13 percent after unit Taro Pharmaceutical Industries Ltd (TARO.N) reported a lower net profit.

(Reporting by Himank Sharma; Editing by Prateek Chatterjee)

FILED UNDER:
Comments (0)
This discussion is now closed. We welcome comments on our articles for a limited period after their publication.

  • Most Popular
  • Most Shared
People walk in the Wipro campus in Bangalore June 23, 2009. REUTERS/Punit Paranjpe/Files

Wipro Q4 net profit beats estimates, rises 29 percent

Wipro posted a 29 percent rise in its fourth-quarter net profit, beating expectations, helped by increased IT spending by its customers. For the quarter ended March 31, the company said it earned 22.27 billion rupees compared with 17.29 billion rupees a year earlier.  Full Article | Full Coverage 

REUTERS SHOWCASE

Election 2014

Election 2014

India holds biggest day of voting with BJP gaining strength  Read | Full Coverage 

Market Eye

Market Eye

Sensex jumps 351 points, snaps 3-day losing streak  Full Article 

Insider Trading Case

Insider Trading Case

Ex-Goldman director Rajat Gupta to surrender June 17 in insider case.  Full Article 

Expansion Plans

Expansion Plans

Reliance Industries, HPCL Mittal plan refinery expansions.  Full Article 

S&P on India

S&P on India

S&P: India's ratings to depend on next govt econ, fiscal policies.  Full Article 

Ambitious Aim

Ambitious Aim

In green car race, Toyota adds muscle with fuel-cell launch.  Full Article 

Deal Talk

Deal Talk

Piramal to buy 20 percent stake in Shriram Capital for $334 million.  Full Article 

Bond Market

Bond Market

A star abroad, RBI boss riles bond traders at home  Full Article 

Reuters India Mobile

Reuters India Mobile

Get the latest news on the go. Visit Reuters India on your mobile device.  Full Coverage