Nomura initiated a buy rating on Amtek Auto with a target price of Rs 416, offering 107 percent implied upside from closing price of Rs 201 on June 3.

“Amtek Auto is India’s second-largest auto components company, with revenues of Rs 156 billion. It has a global market share of 20 percent in turbocharger housings and 15 percent in ring gears. Amtek has been very aggressive with capex and acquisitions in the past — this has not played out as expected by management, as downcycles in the key markets of India (57 percent) and Europe (around 37 percent) led to a build-up of significant debt. We believe management is now focused on improving return ratios and generating free cashflows, which should be taken positively by the market,” says Nomura in its note.

Bangalore-based real estate stocks see buying interest. Sobha Developers jumped 13.4 percent and Puravankara Projects rose 8 percent. Brigade Enterprises gained 12 percent and Prestige Estates Projects up 5 percent.

The Andhra Pradesh government’s proposal to waive farm loans of around Rs 54,000 crore is a negative for the banking sector, feels Arundhati Bhattacharya, Chairman, State Bank of India. In an interview with CNBC-TV18, she said the Indian Banking Association was likely to protest the move. On her bank’s plans to merge its subsidiaries, she said there could be some progress over the next four months. There were no talks yet of listing the life insurance arm, SBI Life, she said. Bhattacharya also said SBI would not form a holding company to fund subsidiaries.

Oil ministry sources told CNBC-TV18 that a decision on gas prices needs to be taken by July 1. It is learnt that presentation (by oil ministry) to Prime Minister Narendra Modi includes short-term roadmap to hike production. Sources say ONGC will come out with policy to monetise its marginal fields. The government must make existing production sharing contracts less rigid, more flexible, say sources.

The market maintained early gains with the Sensex rising more than 200 points led by oil & gas stocks. The index climbed 214.40 points or 0.86 percent to 25233.91 and the Nifty gained 53.05 points or 0.71 percent to 7527.15.