Indian Stocks Swing Between Gains, Losses Before Inflation Data
The S&P BSE Sensex rose 0.2 percent to 19,725.1 at 10:08 a.m. in Mumbai after changing directions at least six times. Volume on the gauge was 17 percent below the 30-day average for this time of day. The 30-stock measure tumbled 2.1 percent yesterday. Dr Reddy’s climbed 0.8 percent ahead of its earnings today. Tata Steel retreated to a one-month low after India’s largest producer said it expects a $1.6 billion writedown in asset values because of a drop in demand in Europe.
Wholesale price inflation probably eased to 5.45 percent in April from a year earlier, compared with 5.96 percent the previous month, according to the median estimate of economists in a Bloomberg News survey. That would be the slowest rate since November 2009.
Dr Reddy’s may announce fourth-quarter net income gained 30 percent to 4.47 billion rupees ($81.7 million) from 3.43 billion rupees a year ago, according to the median estimate of 31 analysts in a Bloomberg survey. The stock rose 0.8 percent to 2,093.1 rupees.
Profits at just two of the 14 Sensex companies that have reported March-quarter earnings have trailed estimates, data compiled by Bloomberg show. That compares with about 43 percent that missed forecasts in the three months ended Dec. 31, and 40 percent in the previous two quarters.
Foreign investors bought $108 million of local shares on May 10, taking this year’s inflows to a net $12.7 billion, data from the market regulator show. That’s a record for the period, according to data compiled by Bloomberg.
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