Shares of automobiles companies continue at their upward march second day in row after reporting a better-than-expected monthly sales numbers in September and expectation of near term improvement in volume trajectory led by festive season.
According to media reports, government is planning to provide more capital to public sector banks to help them offer loans at cheaper interest rates to consumers buying two-wheelers.
Tata Motors, Mahindra and Mahindra (M&M), Hero MotoCorp, TVS Motor, Maruti Suzuki, Bajaj Auto and Ashok Leyland are up 1-6% on the Bombay Stock Exchange (BSE).
The BSE auto index, the largest gainer among sectoral indices, was up 2% as compared to 0.42% rise in benchmark index at 0935 hours.
Meanwhile, major two-wheeler manufacturers like Hero MotoCorp, Bajaj Auto and India Yamaha Motors have increased the vehicle prices by up to Rs 5,000 depending upon the models to mitigate the cost pressures on account of the unfavorable forex movement.
We see this as a positive development for the two-wheeler industry which is expected to stimulate the demand going ahead, says analyst at Angel Broking in a note.
Tata Motors was the largest gainer among auto pack, rallied nearly 6% to Rs 364, also its record high on the BSE. Most of the analyst hopes that the company's UK arm Jaguar Land Rover (JLR) will report strong volume growth over next few months led by start of dispatches of new RR Sport and continued traction from recent launches of RR and F-Type, which in turn will boost realisation and margin.
Among the other individual stocks, M&M and Ashok Leyland are up 2% each at Rs 866 and Rs 15.30 respectively, while; Hero MotoCorp and Bajaj Auto are trading higher by 1% each at Rs 2,057 and Rs 2,142 on the BSE.
Tata Motors, Mahindra and Mahindra (M&M), Hero MotoCorp, TVS Motor, Maruti Suzuki, Bajaj Auto and Ashok Leyland are up 1-6% on the Bombay Stock Exchange (BSE).
The BSE auto index, the largest gainer among sectoral indices, was up 2% as compared to 0.42% rise in benchmark index at 0935 hours.
Meanwhile, major two-wheeler manufacturers like Hero MotoCorp, Bajaj Auto and India Yamaha Motors have increased the vehicle prices by up to Rs 5,000 depending upon the models to mitigate the cost pressures on account of the unfavorable forex movement.
We see this as a positive development for the two-wheeler industry which is expected to stimulate the demand going ahead, says analyst at Angel Broking in a note.
Tata Motors was the largest gainer among auto pack, rallied nearly 6% to Rs 364, also its record high on the BSE. Most of the analyst hopes that the company's UK arm Jaguar Land Rover (JLR) will report strong volume growth over next few months led by start of dispatches of new RR Sport and continued traction from recent launches of RR and F-Type, which in turn will boost realisation and margin.
Among the other individual stocks, M&M and Ashok Leyland are up 2% each at Rs 866 and Rs 15.30 respectively, while; Hero MotoCorp and Bajaj Auto are trading higher by 1% each at Rs 2,057 and Rs 2,142 on the BSE.
