Updated from 4:54 p.m. EDT
Indian equities markets surged Monday as market participants pinned their hopes on strong quarterly results from some of India's heavyweight companies. Value hunters were also out buying up fundamentally strong stocks and traders were quick to cover short positions in the face of more reasonable valuations for stocks in the region.
"In the current market scenario, most of the top stocks are trading at 15 times forward earnings. We believe that we will see some consolidation in the next 15 months as well," said S Ranganathan, head of research at LKP Securities. The Bombay Stock Exchange Sensitive Index rose 413.96 points, or 2.7%, to 15,757.08.
announced it has raised its prices on trucks and buses by an average of 3.5% in an effort to offset surging raw material costs, according to company spokesman Debasis Ray. "Prices of raw material such as steel have shot up and we had to pass some of that to customers," Ray said. American depositary shares of Tata finished essentially flat at $16.05.
China Watch: Applied Materials' Fun in the Sun
In the Indian financial sector,
(HDB - Get Report)
announced it will open up four new branches with two in Srinagar and one each in north and south Kashmir, according to
. HDFC also announced it will be opening off-site ATMs in the region for the first time. Shares of the bank closed 5.8% higher at $100.93.
Leading Indian offshore business process outsourcing (BPO) company
(WNS - Get Report)
announced it has acquired U.K.-based auto insurance-claims-processing service provider
for $16 million in cash and a contingent earn-out payment of up to $3.2 million cash based on performance goals for the fiscal year ending March 31, 2009. Shares of WNS rose 1.6% to $17.65.
Among Indian ADRs that saw some solid upside action Monday were,
, which traded up 6.6% to $41.53, and
, which popped 5.1% to $19.88.
Be sure to check out the
Far East Portfolio
at Stockpickr.com every night to find out which stocks in India and China are making big moves and announcing major news.
Asian markets jumped higher Monday with stocks in Hong Kong rising for the fourth day in a row, spurred by mainland China which surged over 4%. Market players in the Far East received a vote of confidence for Chinese stocks after legendary investor Jim Rogers said he has been buying up Chinese and Taiwan shares during the last few weeks, due to their recent selloffs, and he would look to buy more if those markets fall further.
In Hong Kong, the Hang Seng Index closed higher by 314.13 points, or 1.3%, to 24,578.76, and in China the Shanghai Composite Index finished up 153.37 points, or 4.45%, at 3,599.62.
Leading Chinese language Internet search engine
(BIDU - Get Report)
announced it has formed a strategic partnership with Chinese household electrical appliance manufacturer
, to jointly promote online television services. Under the agreement, Baidu will provide Internet services like search to Haier's online television scheme, which will allow Chinese consumers access to Baidu's services via a remote control.
Baidu.com and rival Internet company
were hit with a copyright-infringement lawsuit for allegedly allowing illegal music downloading. The lawsuits brought by some large music labels claim $9 million in damages from Baidu.com and $7.5 million in damages from Sogou, a unit of Sohu.com, according to report in
The Wall Street Journal
The suit brought against Baidu.com is being initiated by Sony BMG Music Entertainment, a joint venture of
Warner Music Hong Kong and
Universal Music. The lawsuits against Sogou included those firms and Gold Label Entertainment, a Hong Kong-based company backed by EMI Group. The suits represent the largest claim in dollar amounts ever by the music industry in China.