Stock market update: Auto stocks rise on upbeat June sales numbers

NEW DELHI: Most auto stocks were trading with gains during morning trade on Monday, buoyed by the upbeat June sales numbers.

The auto industry continued its double-digit growth run in June as higher demand for new offerings drove passenger vehicle sales, while strong goods movements helped new fleet addition in the commercial vehicle segment as well, ET reported.

Market leader Maruti Suzuki continued to drive the Indian passenger vehicle market with sales growth of over 44 per cent.


The commercial vehicle sales at Tata Motors, Mahindra & Mahindra and VE Commercial Vehicles grew by 50 per cent, 27 per cent and 63 per cent, respectively.

Royal Enfield, the two-wheeler division of Eicher Motors, reported an 18 per cent growth in total sales at 74,477 units in June.

The Nifty Auto was trading 0.94 per cent up at 10,810 around 09:30 am.

Shares of Ashok Leyland (up 2.98 per cent), Bharat Forge (up 2.60 per cent), Bajaj Auto (up 2.27 per cent) and Amara Raja Batteries (up 2.05 per cent) were the top gainers in the auto pack.

Tata Motors (up 1.89 per cent), Apollo Tyres (up 1.56 per cent), TVS Motor Company (up 1 per cent), MRF (up 0.93 per cent), Maruti Suzuki India (up 0.78 per cent), Exide Industries (up 0.60 per cent) and Motherson Sumi Systems (up 0.46 per cent) were also among the gainers.

However, shares of Eicher Motors (down 1.72 per cent) were suffering losses.

The bulls failed to maintain their grip on Monday as the stock market resumed its downward trajectory after Friday's breather.

Mixed PMI readings globally and weak macro cues weighed on the sentiment.

Benchmark NSE Nifty50 index was down 32 points at 10,682, while the BSE Sensex was 96 points down at 35,327.

Among the 50 stocks in the Nifty index, 24 were trading in the green, while 26 were in the red.