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Maruti Suzuki gains on weak Yen

Maruti Suzuki India has moved higher by 3.5% to Rs 3,833 on the BSE in otherwise range bound market tracking the weakness in the Japanese yen.

A weaker yen would improve Maruti's margins by reducing the costs of importing auto parts from Japan.

The yen weakened as Bank of Japan weighs the possibility of offering negative-rate loans to banks, the Bloomberg report suggests. CLICK HERE TO READ FULL REPORT.

The possibility of another negative interest-rate in Japan weakened the yen, which slumped 1% versus the greenback, added report.

Thus far in 2016, the stock underperformed the market by falling 20% due to appreciation in yen against the rupee. The benchmark S&P BSE Sensex declined 1% during the same period.

At 01:35 pm, the stock was up 3.3% at Rs 3,828 on the BSE as compared to 0.04% decline in the S&P BSE Sensex. A combined 858,252 shares changed hands on the counter on the BSE and NSE.