Skip to main content

Stocks in India advanced Monday, breaking a five-day losing streak, on buying strength for service and software exporters after the rupee slid to a one-year low against the dollar. The fall in the rupee accelerated after the Central Statistical Organization of the Ministry of Statistics and Program Implementation announced the Index for Industrial Production (IIP) fell to a six-year low of 3% in March, vs. 8.6% in February.

"The industrial production data didn't come as a shocker, as everybody knows that there will be a slowdown this year and it has been built in prices to some extent. In the short to medium term, the market will continue to be in a consolidation phase," said D.D. Sharma, vice president at Anand Rathi Securities.

The Bombay Stock Exchange's Sensex Index rose 123.83 points, or 0.7%, to 16,860.90.

Tata Communications

( TCL), a global communications solutions provider, announced it has partnered with U.S.-based

Sonus Networks


, a market leader in IP communications infrastructure, to expand its global voice network worldwide. The two companies will work together to migrate from the current legacy network onto the new IP-based network and deploy the system in cities like Montreal, Quebec, Toronto, Ontario, Los Angeles, London, Madrid and Frankfurt. American depositary shares of Tata Communications, which trade on the


, finished down 1.1% at $23.45.

Indian motorcycle giant

Bajaj Auto

, Japan's

Nissan Motor


and France's second-largest carmaker

TheStreet Recommends


announced a three-way joint venture to build a $2,500 car to directly compete with

Tata Motors'

(TTM) - Get Tata Motors Ltd. Report

Nano as India's cheapest car. Bajaj Auto will control a 50% stake in the new venture, while Nissan and Renault will each control a 25% stake. The new ultra-low cost car will be called the ULC and will be launched to the public in 2011. Shares of Tata Motors rose 0.7% to $16.07.

According to

, Reliance Money, the brokerage division of


, announced a partnership with leading Indian Internet company

Sify Technologies

(SIFY) - Get Sify Technologies Ltd. Report

to sell and market its financial products and services like mutual funds, credit cards and insurance products to daytraders and young consumers through Sify's Internet cafes. Shares of SIFY closed up 2.7% at $4.93.

Leading the gainers among Indian ADRs Monday were software and service exporters like


(WNS) - Get WNS (Holdings) Ltd. Report

, which rose 3.6% to $18.70;

Infosys Technologies

(INFY) - Get Infosys Ltd. Report

, which added 1.5% to $43.58; and

Satyam Computer

( SAY), which climbed 1.5% to $26.42.

Be sure to check out the

Far East Portfolio

at every night to find out which stocks in India and China are making big moves and announcing major news.

China Recap

Stocks in mainland China rose slightly Monday despite a consumer price index (CPI) report that showed inflation near 12-year highs and news of a major earthquake that rocked more than half of the country's provinces. China's CPI for April rose to 8.5%, vs. 8.3% in March, due to a spike in food prices. The

People's Bank of China

immediately responded by ordering banks to raise their reserve ratio to a record 16.5% from 16%.

"Underlying inflationary pressures remain undiminished," said Goldman Sachs economists Yu Song in a note to clients.

China's official

Xinhua News Agency

said a major earthquake killed 8,533 people in Sichuan province and more than 200 were killed in three other provinces and in Chongqing. Chinese officials said the earthquake had a magnitude of 7.9 and was one of the worst to hit China since the deadliest quake in the country's history struck Tangshan on July 28, 1976, killing 240,000 people. Traders said the quake didn't affect the markets because the perception was that the economy wouldn't be hurt.

"Actually, the disaster might mean more business for construction and other companies that would help rebuild the region," said Qing Hong with Bo Hai Investment. The Shanghai Composite Index finished up 13 points, or 0.6%, at 3,626.98. Hong Kong markets were closed for a religious holiday and will reopen on Tuesday.

Chinese alternative energy company

JA Solar


announced a better-than-expected quarterly profit due to strong demand for solar cells. First-quarter net income was $22 million, vs. $8.6 million a year ago and revenue came in at $160 million, vs. Wall Street estimates of $149.4 million. JA Solar said fiscal 2008 revenue will come in between the range $1.03 billion and $1.14 billion, vs. estimates of $984.40 million. Despite the strong results shares of JA Solar fell after the company announced plans to offer $300 million in convertible senior notes, due 2013. American depositary shares of JASO, which trade on the


, slipped 6.1% to $22.10 on above-average trading volume.

Elsewhere in the solar complex,

Canadian Solar

(CSIQ) - Get Canadian Solar Inc. Report

rose 4.9% to $34.10;

Trina Solar


traded up 2% to $41.60;

LDK Solar


added 1.1% to $37.46; and

China Sunergy


closed up 1% at $9.94


(SINA) - Get SINA Corp. Report

, a Chinese online media company, jumped 6.3% higher after Goldman Sachs analyst Leah Hao reiterated her buy rating on the stock ahead of the company's earnings report, set for Wednesday. Hao said she expects SINA to beat first-quarter estimates and to issue strong guidance for the second quarter, due to strong business trends and post-Olympics growth. Shares of SINA added $3.05 to $51.05.

China Architectural Engineering

( RCH), a leader in the design, engineering, fabrication and installation of high-end building envelope solution systems, announced it has won its first contract in the U.S. worth $11.6 million. The company said it has been selected to supply and install the curtain wall for a 21-story luxury condominium project in New York City. Shares of RCH jumped 10.4% to $6.02.

Chinese communication solutions provider

Comtech Group


announced it has agreed to buy U.S.-based maker of products for satellite and cable networks transmission,


( RADN), for $223.6 million to expand Comtech's satellite earth station product portfolio. Under the terms of the deal, Comtech will make a first step cash tender offer to Radyne shareholders of $11.50 per share. Once the tender offer is approved, it will be followed by a merger at the same price. Shares of RADN surged 43% to $11.10 and COGO finished essentially flat at $12.91.

Be sure to check out the

Far East Portfolio

at every night to find out which stocks in India and China are making big moves and announcing major news.

For more on Asia, check out

Daniel Harrison's coverage



Stockpickr is a wholly owned subsidiary of