Auto shares in focus ahead of January sales; M&M up 2%, nears record high

Analysts remain positive on the auto sector given the expectation of double digit volume growth coupled with benign commodity price outlook leading to healthy margin recovery.

Shares of automobiles companies were in focus and traded higher up to 2 per cent on the BSE in Tuesday’s intra-day trade in an otherwise subdued market ahead of the release of January sales numbers on Wednesday, February 1.

At 01:15 PM; the S&P BSE Auto and Nifty Auto index were up 1.5 per cent each, as compared to 0.02 per cent decline in the S&P BSE Sensex and Nifty 50 index.

Ashok Leyland, Mahindra & Mahindra (M&M) and Tata Motors quoted 2 per cent higher, while Eicher Motors, Maruti Suzuki India and Hero MotoCorp were up in