Reserve Bank of India (RBI) Governor Raghuram Rajan on Tuesday kept key rates unchanged in its fourth bi-monthly monetary policy.
It kept the policy repo rate under the liquidity adjustment facility (LAF) unchanged at 8.% and the cash reserve ratio (CRR) of scheduled banks unchanged at 4% of net demand and time liabilities (NDTL); RBI said that since June, headline inflation has ebbed to levels which are consistent with the desired near-term glide path of disinflation -- 8 per cent by January 2015.
"The most heartening feature has been the steady decline in inflation excluding food and fuel, by a cumulative 111 basis points since January 2014, to a new low," the central bank said in a statement.
It added that with international crude prices softening and relative stability in the foreign exchange market, some upside risks to inflation are receding. However, it said that yet, there are risks from food price shocks as the full effects of the monsoon’s passage unfold, and from geo-political developments that could materialise rapidly.
RBI said that turning to the medium-term objective (6% by January 2016) the balance of risks is still to the upside, though somewhat lower than in the last policy statement. It said that this continues to warrant policy preparedness to contain pressures if the risks materialise.
Therefore, it said that the future policy stance will be influenced by the Reserve Bank’s projections of inflation relative to the medium term objective (6 per cent by January 2016), while being contingent on incoming data.
RBI also said that in order to further develop the government securities market and enhance liquidity, it has been decided to bring down the ceiling on SLR securities under the held to maturity (HTM) category from 24% of NDTL to 22% in a graduated manner i.e. 23.5% with effect from the fortnight beginning January 10, 2015, 23.0% with effect from the fortnight beginning April 4, 2015, 22.5% with effect from the fortnight beginning July 11, 2015 and 22.0% with effect from the fortnight beginning September 19, 2015.
A Business Standard poll had indicated that the current financial year might end up being the first in seven years to see the Reserve Bank of India (RBI) keeping the benchmark repo rate unchanged.
As many as nine respondents — all leading names in the public sector, private and foreign banks, as well as other financial intermediaries — said RBI would hold the repo rate at eight per cent at least until the end of March 2015.
Most respondents explained why they did not expect a rate change by saying though the retail inflation rate, the RBI’s new benchmark, had fallen below eight per cent, the target of achieving a 6% rate was a big challenge.
Tuesday, 30 September 2014
Markets open flat; all eyes on RBI Policy
It was another day of flat start for the market tracking weak Asian cues with major focus on Reserve Bank of India's monetary policy review later today. At 0916 hrs, the Sensex was down 27 points at 26,569 and the Nifty slipped eight points to trade at 7,951.
However, the broader markets opened in green with the midcap index up 0.1% and teh smallcap index up 0.2%.
Sectors & Stocks
On the sectoral front, Health Care and Realty indices up 0.6% were the top gainers in opening trades.
Meanwhile, Metal, IT, FMCG and Bankex indices were down 0.1-0.5%.
Hindalco, GAIL, M&M, Sesa Sterlite, Axis Bank, TCS, Infosys, ITC and Coal India which lost 0.5-1.5% were the top losers among Sensex-30.
Among the gainers were Tata Power, HDFC, Dr Reddy’s, BHEL, Maruti and Bharti Airtel up 0.7-1.3%.
The market breadth was positive due to the strength in broader markets. 913 stocks advanced while 461 stocks declined on BSE.
Global Markets
Asian markets were in hesitant mood on Tuesday as investors wondered what China's response would be to civil unrest in Hong Kong, while the U.S. dollar was on track to post its biggest monthly gain in well over a year.
The unrest was an added complication for investors amid long-standing concerns about the health of China's economy.
An HSBC survey of manufacturing (PMI) for September disappointed slightly by showing a final reading of 50.2, steady on August but down from its preliminary 50.5.
Hong Kong's Hang Seng Index shed another 0.9% to its lowest in three months. MSCI's broadest index of Asia-Pacific shares outside Japan lost 0.5% having already fallen sharply on Monday.
US stocks ended lower on Monday following protests in Hong Kong that added to worries about Chinese growth. The Dow Jones Industrial average fell 0.25%, to 17,071; the S&P 500 lost 0.25%, to 1,978; and the Nasdaq Composite dropped 0.14%, to 4,506.
However, the broader markets opened in green with the midcap index up 0.1% and teh smallcap index up 0.2%.
Sectors & Stocks
On the sectoral front, Health Care and Realty indices up 0.6% were the top gainers in opening trades.
Meanwhile, Metal, IT, FMCG and Bankex indices were down 0.1-0.5%.
Hindalco, GAIL, M&M, Sesa Sterlite, Axis Bank, TCS, Infosys, ITC and Coal India which lost 0.5-1.5% were the top losers among Sensex-30.
Among the gainers were Tata Power, HDFC, Dr Reddy’s, BHEL, Maruti and Bharti Airtel up 0.7-1.3%.
The market breadth was positive due to the strength in broader markets. 913 stocks advanced while 461 stocks declined on BSE.
Global Markets
Asian markets were in hesitant mood on Tuesday as investors wondered what China's response would be to civil unrest in Hong Kong, while the U.S. dollar was on track to post its biggest monthly gain in well over a year.
The unrest was an added complication for investors amid long-standing concerns about the health of China's economy.
An HSBC survey of manufacturing (PMI) for September disappointed slightly by showing a final reading of 50.2, steady on August but down from its preliminary 50.5.
Hong Kong's Hang Seng Index shed another 0.9% to its lowest in three months. MSCI's broadest index of Asia-Pacific shares outside Japan lost 0.5% having already fallen sharply on Monday.
US stocks ended lower on Monday following protests in Hong Kong that added to worries about Chinese growth. The Dow Jones Industrial average fell 0.25%, to 17,071; the S&P 500 lost 0.25%, to 1,978; and the Nasdaq Composite dropped 0.14%, to 4,506.
Monday, 29 September 2014
Friday, 26 September 2014
Markets end higher as S&P upgrades India outlook
Markets rebounded in late trades to snap a three-day losing streak after global rating agency Standard & Poor's upgraded India's credit outlook to 'stable' from 'negative'.
The 30-share Sensex ended up 158 points at 26,626 and the 50-share Nifty ended up 57 points at 7,969.
S&P earlier rated India as 'BBB-', the lowest in the investment grade, with a negative outlook. The global rating agency revised outlook for India's credit rating back to "stable" from "negative," stating that the Modi-led NDA government's "strong" mandate would allow it to implement fiscal and economic reforms. S&P cited India's external position and its improving current account balance as other positive factors for its credit rating.
The impact of the rating upgrade was the most on the Indian rupee which surged to Rs 61.11 to the US dollar against the previous close of Rs 61.34.
Asian shares ended mixed. Shares in Japan ended lower with the benchmark Nikkei ending 0.9% lower while Hang Seng fell 0.4% and Straits Times ended flat with positive bias. However, the Shanghai Composite ended up 0.1%.
European shares were trading mixed as overnight losses on Wall Street dampened sentiment.CAC and DAX are up 0.2-0.6% each while FTSE-100 was trading flat with negative bias.
On the sectoral front, BSE Metal index was the top gainer up nearly 2.5% followed by Realty, Bankex, Healthcare, Oil and Gas, Auto and Capital Goods indices up 0.9-2% each.
In the Oil and Gas space, ONGC ended up 3% whereas RIL ended up 0.5%. Reliance Industries and ONGC which lost over 3% each yesterday after the government deferred its decision on gas pricing till November 15 have rebounded in today’s trade.
Sun Pharma ended up over 4% on hopes that the recent investigation carried out by the USFDA would not lead to an import alert from the US drug regulator. Ranbaxy Labs ended up 5.5%.
Banks which are a proxy to the economy firmed up after the rating upgrade. Axis Bank, SBI and HDFC Bank and ICICI Bank ended up 0.8-3% each.
Metal shares which had fallen sharply in the previous sessions following the Supreme Court verdict have rebounded on the back of short covering and value buying at lower levels. SAIL, Hindalco, Jindal Steel, NMDC, Tata Steel, JSW Steel, Sesa Sterlite and Coal India ended up 0.4-6% each.
Mahindra and Mahindra gained over 3% after the company launched its new Scorpio model while Tata Motors ended up 1.6%. However, Bajaj Auto, Hero Motocorp and Maruti Suzuki ended down 0.5-1.3% each.
L&T and NTPC were among the Sensex gainers.
On the flip side, cigarette maker and Index heavyweight ITC ended 1.2% lower on profit taking and its peer HUL has dipped nearly 1%.
IT majors Infosys and TCS have lost between 0.3-0.9% on profit taking. However, Wipro ended with marginal gains.
Other Sensex losers include, HDFC and Dr Reddy's Labs among others.
Among other shares, JSW Energy ended tad lower after the company said it will buy three hydropower projects of Jaiprakash Power Ventures Ltd (JPVL). However, JVPL ended up 9%.
Financial Technologies (India) gained 7% after the company said it concluded the renegotiation of technology supply agreement with Multi Commodity Exchange of India
Mangalore Chemicals and Fertilisers ended up 20% after Deepak Fertilisers revised its offer price upwards to acquire stake in MCF. Deepak Fertilisers has revised its open offer to acquire additional 26% stake in MCF from Rs 63 per share to Rs 93.60 per share.
In the broader market, the BSE Mid-cap index ended up 0.8% and BSE Small-cap index ended up 0.7%.
Market breadth ended slightly higher with 1,532 advances and 1,418 declines on the BSE.
The 30-share Sensex ended up 158 points at 26,626 and the 50-share Nifty ended up 57 points at 7,969.
S&P earlier rated India as 'BBB-', the lowest in the investment grade, with a negative outlook. The global rating agency revised outlook for India's credit rating back to "stable" from "negative," stating that the Modi-led NDA government's "strong" mandate would allow it to implement fiscal and economic reforms. S&P cited India's external position and its improving current account balance as other positive factors for its credit rating.
The impact of the rating upgrade was the most on the Indian rupee which surged to Rs 61.11 to the US dollar against the previous close of Rs 61.34.
Asian shares ended mixed. Shares in Japan ended lower with the benchmark Nikkei ending 0.9% lower while Hang Seng fell 0.4% and Straits Times ended flat with positive bias. However, the Shanghai Composite ended up 0.1%.
European shares were trading mixed as overnight losses on Wall Street dampened sentiment.CAC and DAX are up 0.2-0.6% each while FTSE-100 was trading flat with negative bias.
On the sectoral front, BSE Metal index was the top gainer up nearly 2.5% followed by Realty, Bankex, Healthcare, Oil and Gas, Auto and Capital Goods indices up 0.9-2% each.
In the Oil and Gas space, ONGC ended up 3% whereas RIL ended up 0.5%. Reliance Industries and ONGC which lost over 3% each yesterday after the government deferred its decision on gas pricing till November 15 have rebounded in today’s trade.
Sun Pharma ended up over 4% on hopes that the recent investigation carried out by the USFDA would not lead to an import alert from the US drug regulator. Ranbaxy Labs ended up 5.5%.
Banks which are a proxy to the economy firmed up after the rating upgrade. Axis Bank, SBI and HDFC Bank and ICICI Bank ended up 0.8-3% each.
Metal shares which had fallen sharply in the previous sessions following the Supreme Court verdict have rebounded on the back of short covering and value buying at lower levels. SAIL, Hindalco, Jindal Steel, NMDC, Tata Steel, JSW Steel, Sesa Sterlite and Coal India ended up 0.4-6% each.
Mahindra and Mahindra gained over 3% after the company launched its new Scorpio model while Tata Motors ended up 1.6%. However, Bajaj Auto, Hero Motocorp and Maruti Suzuki ended down 0.5-1.3% each.
L&T and NTPC were among the Sensex gainers.
On the flip side, cigarette maker and Index heavyweight ITC ended 1.2% lower on profit taking and its peer HUL has dipped nearly 1%.
IT majors Infosys and TCS have lost between 0.3-0.9% on profit taking. However, Wipro ended with marginal gains.
Other Sensex losers include, HDFC and Dr Reddy's Labs among others.
Among other shares, JSW Energy ended tad lower after the company said it will buy three hydropower projects of Jaiprakash Power Ventures Ltd (JPVL). However, JVPL ended up 9%.
Financial Technologies (India) gained 7% after the company said it concluded the renegotiation of technology supply agreement with Multi Commodity Exchange of India
Mangalore Chemicals and Fertilisers ended up 20% after Deepak Fertilisers revised its offer price upwards to acquire stake in MCF. Deepak Fertilisers has revised its open offer to acquire additional 26% stake in MCF from Rs 63 per share to Rs 93.60 per share.
In the broader market, the BSE Mid-cap index ended up 0.8% and BSE Small-cap index ended up 0.7%.
Market breadth ended slightly higher with 1,532 advances and 1,418 declines on the BSE.
Markets open lower amid weak global cues
Benchmark share indices have opened lower on Friday tracking weakness in their Asian peers and overnight sharp losses on Wall Street. Further, selling by funds and retail investors continue to weigh on the market sentiment.
On Thursday, Nifty September F&O series ended lower after seven consecutive positive series. The F&O turnover stood at Rs 5.3 lakh crore.
Meanwhile, foreign investors sold shares worth 8.51 billion rupees on Thursday
At 9.20 AM, the 30-share Sensex is down 40 points at 26,428 and the 50-share Nifty has shed 9 points at 7,903.
In the broader markets, the BSE Mid-cap and Small-cap indices are trading lower by 0.3% each.
Market breadth is weak on the BSE with 320 advances and 572 declines.
Among Sensex stocks, Hindalco, Sun Pharma, Tata Motors, Sesa Sterlite, Coal India, BHEL, NTPC, Axis Bank, ITC and Dr Reddy's Labs are down 0.5-1% each in early trades.
Global Markets:
Asian shares got off to a rocky start on Friday after a sharp drop on Wall Street curbed enthusiasm for the dollar even after it touched multi-year highs in the previous session.
US stocks ended sharply lower, as Apple Inc broke under key technical levels after the tech giant withdrew an update to its new operating system. That pushed the S&P 500 to its biggest one-day decline since July.
Japan's Nikkei stock average skidded 1.6%, on track to shed more than 1% for the week, as a stronger yen exacerbated the risk-averse mood.
Thursday, 25 September 2014
Wednesday, 24 September 2014
Markets shrug off SC verdict on coal block deallocation
Markets are trading flat in the noon trades with select metal and power stocks losing the most after the Supreme Court in its verdict today cancelled most of the coal blocks allocated. However, buying in the defensive stocks have limit losses.
At 2:38PM, the 30-share Sensex is up 27 points 26,803 and the 50-share Nifty has gained 1 point at 8,018.
However, the selling pressure is persistent in the broader markets. The mid and smallcap index has slipped nearly 1.5% and 2% each putting lid to an outperformance seen over the last few weeks. Meanwhile, the BSE benchmark index is flat with a positive bias.
The market breadth is dismal on the BSE with 2,043 shared declining and 838 shares advancing.
On the domestic front, India's maiden low-cost mission to Mars successfully entered the red planet's orbit on Wednesday and was achieved on a budget of $74 million.
Global Markets:
U.S. air strikes in Syria left Asian stock markets jaded on Wednesday, setting the stage for another soft session for European shares.
MSCI's broadest index of Asia-Pacific shares outside Japan .MIAPJ0000PUS initially fell to a four-month low after Wall Street's overnight slide, but managed to steady thanks to gains in Chinese shares.
The dollar was kept in check after U.S. yields fell on geopolitical concerns and dovish statements by a Federal Reserve official.
European equities started the trading session on a lower note, forecasting London's FTSE is down 0.2%, while Germany's DAX and France's CAX have lost 0.5% and 0.1% respectively.
Rupee:
The rupee is trading at 60.99/61.00 versus Tuesday's 60.94/95 close. It is trading off session low of 61.05 on custodian bank dollar sales.
Sectors & Stocks:
On the sectoral front, BSE Realty index is the top losing index down nearly 2.5% followed by Capital Goods, Power, Auto and Consumer Durables indices trading lower between 1-2%. Bankex is down 0.7%. However, BSE Metal and FMCG indices have gained between 0.3-1%.
Engineering conglomerate L&T and BHEL have lost between 1.5-2.5% after Industrial production growth as measured by the Index of Industrial Production (IIP) which was released earlier this month slumped to 0.5% in July from 3.4% in the previous month.
Power and Metal stocks are trading lower after the Supreme Court today cancelled all coal block allocations except government-run blocks that operate on a non-JV basis. The criteria fits just 3-4 of the 218 blocks that were deemed illegal by the court in its order earlier. The apex court in its order said that there was no reason to save the other blocks as allocations were arbitary. Hindalco, Tata Steel, Tata Power, Sesa Sterlite and JSPL falling between 0.5-13%.
The financial segment is witnessing pressure after a private poll suggested that the RBI is likely to hold rates at least until the end of the current financial year. ICICI Bank, HDFC, Axis Bank and SBI are down between 1-2%
Auto major Tata Motors is witnessing profit taking and is down 2% erasing all the previous session gains even as analysts remain bullish on the stock. Also, Mahindra & Mahindra is trading with marginal losses after Credit Suisse downgraded the stock to "neutral" from "outperform" saying the company's valuations are no longer "attractive". Following the tandem, Hero Motocorp, Baja Auto and Maruti Suzuki have dipped between 1-2%.
Oil and Gas majors RIL, ONGC and GAIL have edged down between 0.5-1% on uncertainty over gas pricing issue.
TCS, Bharti Airtel and Cipla are some of the prominent names in red among others down between 0.7-1.2%.
On the flip side, IT exporters which witnessed profit taking after weaker than expected housing data raised worries over growth in the US economy have gained in the noon trades. Infosys and Wipro are up between 1-2%.
Shares of fast moving consumer goods (FMCG) companies are trading higher by up to 3% in an otherwise subdued market in noon deals on the bourses.
Hindustan Unilever (HUL), ITC, Dabur India, Nestle India, Godrej Consumer Products, Britannia Industries and Colgate-Palmolive (India) are up between 1-3% on BSE.
Also, fresh buying is evident in Coal India and NTPC up between 0.5-3% as the Supreme Court today cancelled all coal block allocations except government-run blocks that operate on a non-JV basis.
Monday, 22 September 2014
Sensex ends above 27,200 led by ITC.
Market recouped early losses to finally end the session, with the Nifty gaining for the fourth straight day, led by index heavyweight ITC and auto major Tata Motors.
The Sensex gained 116 points to close at 27,206 and the Nifty advanced 25 points to end at 8,146.
The total market turnover for the day stood at 5.9 lakh crore, which is the fifth highest till date.
Earlier in the day, after opening in the red, the benchmark index languished in the negative territory till early noon trades. The BSE benchmark had touched a low of 26,918 in intra-day trades.
However, a divergent trend was visible in the broader markets. The mid and smallcap indices which were resilient for most part of the day lost some steam in the closing hour of trade. The smallcap index ended up 0.5% and the midcap index registered a 0.2% gain.
Sectors & Stocks
The BSE Metal and Healthcare indices down a percent each were the top losers while FMCG, Auto and Consumer Durables indices gained 1-3%.
Consumer Durables stocks gained on expectation of demand ahead of the festive season. PC Jewellers, Whirlpool and Titan up 2-20% were the movers in this space.
Auto index was up over 1% supported by gains in Tata Motors which was up nearly 4% as analysts have remained on bullish on the stock. Hero MotoCorp up 2% was the other top gainer.
FMCG stocks gained in today's trade with ITC up over 3% along with HUL which added 1%.
ONGC, HDFC, GAIL, SBI and TCS which added 1-3% were some of the other prominent gainers for the day.
After strong performance during last week pharma stocks have come under pressure due to profit booking. Sun Pharma and Cipla slipped 1.5-2%.
Also, profit booking in IT stocks after they posted gains in the range of 1 to 4% last week has kept their stocks bogged down. Infosys and Wipro were down 1-1.5%.
BHEL, Tata Steel, Hindalco, NTPC and Tata Power down 1-2.5% were the other notable losers.
The market breadth was positive on BSE. 1,658 stocks advanced while 1,376 stocks declined.
Smart Moves
Suven Life Sciences was up 2% at Rs 204.5 after the board at its meeting held earlier today approved raising of funds up to $100 million.
Kitex Garments nearly 20% to Rs 489 ahead of its board meeting today to review the performance of the company.
Force Motors was locked in upper circuit at Rs 1,198, also its record high on BSE, on back of heavy volumes.
Zen Technologies was locked in upper circuit of 20% at Rs 155, extending its previous day’s rally, after the company said the total value of orders pending as on date is Rs 170.68 crore.
Bharti Infratel dipped over 5% to Rs 294 on reports that US based private equity fund Kohlberg Kravis Roberts and Co. (KKR) is planning to sale its entire stake in the telecom tower firm.
Suzlon Energy was locked in lower circuit for the second straight day, down 10% at Rs 18.40 after fresh equity shares following the conversion of the company's foreign currency convertible bonds (FCCBs) began to trade from Friday, September 19, 2014.
Global Markets
Asian shares skidded on Monday as investors awaited data this week that could provide more evidence of a slowdown in China, while the dollar gave back a little of its recent gains.
China's flash manufacturing PMI reading on Tuesday could come in below the 50 level, indicating that manufacturing activity is contracting.
MSCI's broadest index of Asia-Pacific shares outside Japan dropped about 1%. Japan's Nikkei stock average ended down 0.7%, after it marked its highest closing level since 2007 on Friday and gained 2.3% last week.
The downbeat mood continued into the European markets with all the major markets like CAC, DAX and FTSE down 0.1-0.6%.
The Sensex gained 116 points to close at 27,206 and the Nifty advanced 25 points to end at 8,146.
The total market turnover for the day stood at 5.9 lakh crore, which is the fifth highest till date.
Earlier in the day, after opening in the red, the benchmark index languished in the negative territory till early noon trades. The BSE benchmark had touched a low of 26,918 in intra-day trades.
However, a divergent trend was visible in the broader markets. The mid and smallcap indices which were resilient for most part of the day lost some steam in the closing hour of trade. The smallcap index ended up 0.5% and the midcap index registered a 0.2% gain.
Sectors & Stocks
The BSE Metal and Healthcare indices down a percent each were the top losers while FMCG, Auto and Consumer Durables indices gained 1-3%.
Consumer Durables stocks gained on expectation of demand ahead of the festive season. PC Jewellers, Whirlpool and Titan up 2-20% were the movers in this space.
Auto index was up over 1% supported by gains in Tata Motors which was up nearly 4% as analysts have remained on bullish on the stock. Hero MotoCorp up 2% was the other top gainer.
FMCG stocks gained in today's trade with ITC up over 3% along with HUL which added 1%.
ONGC, HDFC, GAIL, SBI and TCS which added 1-3% were some of the other prominent gainers for the day.
After strong performance during last week pharma stocks have come under pressure due to profit booking. Sun Pharma and Cipla slipped 1.5-2%.
Also, profit booking in IT stocks after they posted gains in the range of 1 to 4% last week has kept their stocks bogged down. Infosys and Wipro were down 1-1.5%.
BHEL, Tata Steel, Hindalco, NTPC and Tata Power down 1-2.5% were the other notable losers.
The market breadth was positive on BSE. 1,658 stocks advanced while 1,376 stocks declined.
Smart Moves
Suven Life Sciences was up 2% at Rs 204.5 after the board at its meeting held earlier today approved raising of funds up to $100 million.
Kitex Garments nearly 20% to Rs 489 ahead of its board meeting today to review the performance of the company.
Force Motors was locked in upper circuit at Rs 1,198, also its record high on BSE, on back of heavy volumes.
Zen Technologies was locked in upper circuit of 20% at Rs 155, extending its previous day’s rally, after the company said the total value of orders pending as on date is Rs 170.68 crore.
Bharti Infratel dipped over 5% to Rs 294 on reports that US based private equity fund Kohlberg Kravis Roberts and Co. (KKR) is planning to sale its entire stake in the telecom tower firm.
Suzlon Energy was locked in lower circuit for the second straight day, down 10% at Rs 18.40 after fresh equity shares following the conversion of the company's foreign currency convertible bonds (FCCBs) began to trade from Friday, September 19, 2014.
Global Markets
Asian shares skidded on Monday as investors awaited data this week that could provide more evidence of a slowdown in China, while the dollar gave back a little of its recent gains.
China's flash manufacturing PMI reading on Tuesday could come in below the 50 level, indicating that manufacturing activity is contracting.
MSCI's broadest index of Asia-Pacific shares outside Japan dropped about 1%. Japan's Nikkei stock average ended down 0.7%, after it marked its highest closing level since 2007 on Friday and gained 2.3% last week.
The downbeat mood continued into the European markets with all the major markets like CAC, DAX and FTSE down 0.1-0.6%.
Tuesday, 16 September 2014
Markets open flat; US Fed meet in focus
Markets have started the trading session on a flat note as investors turned cautious ahead of the start of the two-day US Federal Reserve policy meeting starting today.
By 9:30, the Sensex was lower by 7 points at 26,810 mark and the Nifty slipped by 5 points at 8,037 levels.
On macro front, India's merchandise exports registered a small increase of 2.35% at $26.95 billion in August 2014 over August 2013, data released by the government.
Further, Prime Minister Narendra Modi asked the finance ministry on Monday to hasten the process of resolving differences with and between states on the national goods and services tax (GST).
Meanwhile, RBI Governor Raghuram Rajan on Monday said that although the WPI has shrunk to a five-year low in August but there is no point in lowering interest rates to have inflation picking up again.
The provisional data released by the stock exchanges after trading hours on Monday showed that foreign portfolio investors (FPIs) sold shares worth a net Rs 74.59 crore on that day.
GLOBAL MARKETS
Wall Street had a mixed session on Monday after weekend data showed China's factory output in August grew at its slowest pace in nearly six years, raising fears the world's second-largest economy was losing momentum.
The Fed's Open Market Committee will begin its regular two-day policy meeting later on Tuesday, and investors will be scanning the outcome for clues on the timing of the first US rate hike in more than eight years.
Asian shares cautiously edged higher on Tuesday as investors awaited a US Federal Reserve meeting beginning later in the session, as expectations of a more hawkish Fed stance on monetary policy underpinned the dollar.
MSCI's broadest index of Asia-Pacific shares outside Japan.MIAPJ0000PUS was slightly higher in early trade.
Japan's Nikkei stock average shed 0.4%, catching up after Tokyo markets were closed for a local holiday on Monday.
SECTORS & STOCKS
BSE Realty and Healthcare indices have gained by almost 1% followed by counters like Consumer Durables, Capital Goods, IT, Power and Oil & Gas, all gaining marginally. However, sectors like Auto, Banks and Metal are trading marginally in negative zone.
The main losers on the Sensex are Hindalco, Sesa Sterlite, Tata Motors, Coal India, Tata Steel, M&M and HUL.
Tata Motors reported a 9.7% decline in global sales to 73,524 units in August.
On the gaining side, BHEL, Wipro, Dr Reddy’s Labs, Sun Pharma, L&T and Infosys have gained between 0.3-1%.
The engineering and manufacturing major, Bharat Heavy Electricals will develop a 20 Mw solar power plant at Manamunda industrial estate in Boudh district. The stock s is the top Sensex gainer, up over 1%.
Larsen & Toubro said that its construction division has won new orders worth Rs 2050 crore across various business segments in August 2014 and September 2014.
Wipro Arabia, a subsidiary of India's third largest IT firm Wipro, has bagged a contract from Saudi-based Saudi Electricity Company (SEC) for implementing and rolling out plant maintenance and project system functionality of SAP ERP application.
The broader markets are outperforming the benchmark indices- BSE Midcap and Smallcap indices have surged between 0.5-1%.
The market breadth in BSE remains firm with 1,091 shares advancing and 378 shares declining.
By 9:30, the Sensex was lower by 7 points at 26,810 mark and the Nifty slipped by 5 points at 8,037 levels.
On macro front, India's merchandise exports registered a small increase of 2.35% at $26.95 billion in August 2014 over August 2013, data released by the government.
Further, Prime Minister Narendra Modi asked the finance ministry on Monday to hasten the process of resolving differences with and between states on the national goods and services tax (GST).
Meanwhile, RBI Governor Raghuram Rajan on Monday said that although the WPI has shrunk to a five-year low in August but there is no point in lowering interest rates to have inflation picking up again.
The provisional data released by the stock exchanges after trading hours on Monday showed that foreign portfolio investors (FPIs) sold shares worth a net Rs 74.59 crore on that day.
GLOBAL MARKETS
Wall Street had a mixed session on Monday after weekend data showed China's factory output in August grew at its slowest pace in nearly six years, raising fears the world's second-largest economy was losing momentum.
The Fed's Open Market Committee will begin its regular two-day policy meeting later on Tuesday, and investors will be scanning the outcome for clues on the timing of the first US rate hike in more than eight years.
Asian shares cautiously edged higher on Tuesday as investors awaited a US Federal Reserve meeting beginning later in the session, as expectations of a more hawkish Fed stance on monetary policy underpinned the dollar.
MSCI's broadest index of Asia-Pacific shares outside Japan.MIAPJ0000PUS was slightly higher in early trade.
Japan's Nikkei stock average shed 0.4%, catching up after Tokyo markets were closed for a local holiday on Monday.
SECTORS & STOCKS
BSE Realty and Healthcare indices have gained by almost 1% followed by counters like Consumer Durables, Capital Goods, IT, Power and Oil & Gas, all gaining marginally. However, sectors like Auto, Banks and Metal are trading marginally in negative zone.
The main losers on the Sensex are Hindalco, Sesa Sterlite, Tata Motors, Coal India, Tata Steel, M&M and HUL.
Tata Motors reported a 9.7% decline in global sales to 73,524 units in August.
On the gaining side, BHEL, Wipro, Dr Reddy’s Labs, Sun Pharma, L&T and Infosys have gained between 0.3-1%.
The engineering and manufacturing major, Bharat Heavy Electricals will develop a 20 Mw solar power plant at Manamunda industrial estate in Boudh district. The stock s is the top Sensex gainer, up over 1%.
Larsen & Toubro said that its construction division has won new orders worth Rs 2050 crore across various business segments in August 2014 and September 2014.
Wipro Arabia, a subsidiary of India's third largest IT firm Wipro, has bagged a contract from Saudi-based Saudi Electricity Company (SEC) for implementing and rolling out plant maintenance and project system functionality of SAP ERP application.
The broader markets are outperforming the benchmark indices- BSE Midcap and Smallcap indices have surged between 0.5-1%.
The market breadth in BSE remains firm with 1,091 shares advancing and 378 shares declining.
Abe's $35-bn promise to Modi has riders.
The Japanese government’s promise of investing $35 billion (3.5 trillion yen) into infrastructure projects in India comes with conditions.
The promise was made by Japan’s prime minister, Shinzo Abe, to his Indian counterpart Narendra Modi during the latter’s recent visit. However, the money will come only after Japanese investors find a better business environment, with projects coming up.
The announcement of $35-billion investment into India’s infrastructure over five years was the only substantial outcome of Modi’s visit to Japan on August 30-September 2.
The disbursement will be based on projects thrown up by the Indian government. It will be a mix of public and private money from Japan. The investment will be channelised through their agencies such as Japan Bank for International Cooperation, Japan International Cooperation Agency and Japan External Trade Organization.
Sources said the government had to abide by what was promised in terms of the creation of a special mechanism, a Japan Fast Track Channel, exclusively for Japanese investors.
“The money will be disbursed only when Japanese investors are assured that their money will be properly channelised and utilised. If the promises made by PM Modi are not kept, not a portion of the $35 billion can be expected to enter India,” an official, who did not want to be identified, told Business Standard.
The broad contours of the fast-track mechanism are being worked out by both governments. According to a declaration issued by both sides: “Prime Minister Modi underlined his determination to further improve the business environment in India, including through tax, administrative and financial regulations, in order to boost investment. The two prime ministers decided to further deepen bilateral economic and financial cooperation.”
The money can be also put in some of the ongoing projects such as the Delhi-Mumbai Industrial Corridor and the Chennai Bangalore Industrial Corridor. Apart from public and private investments, this amount would include Japanese Overseas Development Assistance at a concessional rate, sources said.
The Japanese government, it seems, has identified some infrastructure projects where it intends to put some portion of the money in the next couple of years. Still, this money will be released only when it gets an assurance from India regarding work on the commitments made by the Modi government to improve the country’s business and investment environment.
According to the declaration, Japan is keen to invest in next-generation infrastructure, connectivity, transport systems, smart cities, rejuvenation of the Ganga and other rivers, manufacturing, clean energy, skill development, water security, food processing and agro industry, agricultural cold chain and rural development.
Pre-market: Five stocks to watch out in trade today.
IndusInd Bank has become the first bank to reduce the interest rate on savings bank accounts, after it was deregulated by the Reserve Bank of India (RBI) in 2011.
Kotak Mahindra Bank's proposed Rs 459 croredeal to acquire 15 per cent stake in commodity bourse MCX on Monday got the approval of fair trade regulator CCI, making the financial sector conglomerate a major player in exchange business.
Hero MotoCorp Limited is likely to sign an MoU with the Andhra Pradesh government on Tuesday for setting up a motorcycle manufacturing plant in the state.
Bangalore-based Strides Arcolab and SeQuent Scientific, on Monday wrapped up two deals with global pharmaceutical major Gilead Sciences.
Tata Motors reported an 9.7% decline in global sales to 73,524 units in August.
L&T Construction said it has bagged orders worth Rs 2,050 crore across various business segments in August and September.
Wipro Arabia, a subsidiary of India's third largest IT firm Wipro, has bagged a contract from Saudi-based Saudi Electricity Company (SEC) for implementing and rolling out plant maintenance and project system functionality of SAP ERP application.
Kotak Mahindra Bank's proposed Rs 459 crore
Hero MotoCorp Limited is likely to sign an MoU with the Andhra Pradesh government on Tuesday for setting up a motorcycle manufacturing plant in the state.
Bangalore-based Strides Arcolab and SeQuent Scientific, on Monday wrapped up two deals with global pharmaceutical major Gilead Sciences.
Tata Motors reported an 9.7% decline in global sales to 73,524 units in August.
L&T Construction said it has bagged orders worth Rs 2,050 crore across various business segments in August and September.
Wipro Arabia, a subsidiary of India's third largest IT firm Wipro, has bagged a contract from Saudi-based Saudi Electricity Company (SEC) for implementing and rolling out plant maintenance and project system functionality of SAP ERP application.
Monday, 15 September 2014
Sensex plummets 262 points on disappointing IIP data, weak global cues
MUMBAI, SEPT 15:
The Sensex and the Nifty plunged nearly one per cent at the closing session on Monday on heavy selling by funds and retail investors due to weak industrial production data and weak global cues.
Brokers said selling pressure emerged as the country’s industrial production growth slowed to a four-month low of 0.5 per cent in July but easing retail inflation to 7.8 per cent in August from 7.96 per cent in July, and dip in WPI inflation to a five-year low of 5.74 per cent in August restricted the fall.
The 30-share BSE index Sensex plunged 261.61 points to end at 26,799.43 and the 50-share NSE index Nifty fell 68.95 points to end at 8,036.55.
Among BSE sectoral indices, metal index fell the most by 1.87 per cent, oil & gas 1.08 per cent and capital good 1.01 per cent. Only healthcare index was up 0.21 per cent.
Cipla, Hero MotoCorp, HDFC Bank, Dr Reddy's and SBIN were the major Sensex gainers, while the major losers were Hindalco, Tata Steel, ONGC, HDFC and TCS.
Rajesh Agarwal, Head-Research Eastern Financiers, earlier in the day said in a report: "The markets are expected to start the week on a subdued note on the back of weak IIP data declared during the week-end. Although Consumer Price Index (CPI) was at a comfortable zone, markets would be keenly watching the Wholesale Price Inflation (WPI) data for August scheduled to be released on Monday. Further, stock-specific action could be seen after second instalment of advance tax payments by corporates start trickling in.''
European shares fell after disappointing macroeconomic data from China raised concerns about the pace of economic growth in the world's second-biggest economy.
Week-end data showed China's factory output grew at the weakest pace in nearly six years in August, while growth in other key sectors also cooled, increasing fears that the world's second-largest economy may be at the risk of a sharp slowdown unless Beijing takes fresh stimulus measures.
The Stoxx Europe 600 Index slipped less than 0.1 percent to 344.06 at 9.27 a.m. in London, while the basic resources index fell 0.4 per cent, tracking two-year low crude oil prices and three-month low copper prices.
Standard & Poor’s 500 Index futures declined 0.2 per cent, while the MSCI Asia Pacific Index retreated 0.7 per cent.
SOURCE :- thehindubusinessline
The Sensex and the Nifty plunged nearly one per cent at the closing session on Monday on heavy selling by funds and retail investors due to weak industrial production data and weak global cues.
Brokers said selling pressure emerged as the country’s industrial production growth slowed to a four-month low of 0.5 per cent in July but easing retail inflation to 7.8 per cent in August from 7.96 per cent in July, and dip in WPI inflation to a five-year low of 5.74 per cent in August restricted the fall.
The 30-share BSE index Sensex plunged 261.61 points to end at 26,799.43 and the 50-share NSE index Nifty fell 68.95 points to end at 8,036.55.
Among BSE sectoral indices, metal index fell the most by 1.87 per cent, oil & gas 1.08 per cent and capital good 1.01 per cent. Only healthcare index was up 0.21 per cent.
Cipla, Hero MotoCorp, HDFC Bank, Dr Reddy's and SBIN were the major Sensex gainers, while the major losers were Hindalco, Tata Steel, ONGC, HDFC and TCS.
Rajesh Agarwal, Head-Research Eastern Financiers, earlier in the day said in a report: "The markets are expected to start the week on a subdued note on the back of weak IIP data declared during the week-end. Although Consumer Price Index (CPI) was at a comfortable zone, markets would be keenly watching the Wholesale Price Inflation (WPI) data for August scheduled to be released on Monday. Further, stock-specific action could be seen after second instalment of advance tax payments by corporates start trickling in.''
European shares fell after disappointing macroeconomic data from China raised concerns about the pace of economic growth in the world's second-biggest economy.
Week-end data showed China's factory output grew at the weakest pace in nearly six years in August, while growth in other key sectors also cooled, increasing fears that the world's second-largest economy may be at the risk of a sharp slowdown unless Beijing takes fresh stimulus measures.
The Stoxx Europe 600 Index slipped less than 0.1 percent to 344.06 at 9.27 a.m. in London, while the basic resources index fell 0.4 per cent, tracking two-year low crude oil prices and three-month low copper prices.
Standard & Poor’s 500 Index futures declined 0.2 per cent, while the MSCI Asia Pacific Index retreated 0.7 per cent.
SOURCE :- thehindubusinessline
LME stocks Copper -100 Aluminium -9000 Nickel 1008 Zinc -300 Lead -25 Tin 85
LME stocks Copper -100 Aluminium -9000 Nickel 1008 Zinc -300 Lead -25 Tin 85
French Consumer Price Index (CPI) grew by 0.4 percent in August as against a decline of 0.3 percent in July.
French Consumer Price Index (CPI) grew by 0.4 percent in August as against a decline of 0.3 percent in July.
India's WPI inflation eases to 3.74 percent in August from 5.19 percent in July. Forecast : 4.5 percent Impact - Positive for the Indian Rupee.
India's WPI inflation eases to 3.74 percent in August from 5.19 percent in July. Forecast : 4.5 percent Impact - Positive for the Indian Rupee.
Inflation and IIP data show economic recovery still 'uneven': Raghuram Rajan
The Reserve Bank of India Governor Raghuram Rajan said India's macroeconomic indicators are improving and inflation has been coming down consistent with the central bank's forecast, but Asia's third-largest economy needs investment growth to pick up.
Rajan, however, said Friday's industrial output and inflation data suggested that recovery was "uneven."
Output from mines, utilities and factories grew by a much slower-than-expected 0.5 percent year-on-year, government data showed on Friday, down from June's revised 3.9 percent rise.
Retail inflation, which the central bank tracks for setting lending rates, edged down marginally to 7.8 percent in August from 7.96 percent a month earlier.
Rajan said it's time the government start to de-regulate diesel prices as global crude oil prices are falling.
On recent bank-related scandals, the central bank governor called for better internal evaluation of lending process and said banking must become more engaged and informed.
Friday, 12 September 2014
Market remain rangebound; Sun Pharma down 3%
Markets remained range bound in early trades as investors adopted cautious stance ahead of August CPI and July industrial production data to be released later today.
At 9:40AM, the 30-share Sensex was up 52 points at 27,048 and the 50-share Nifty was up 11 points at 8,097.
The Indian rupee was trading marginally lower at Rs 60.97 against the US dollar compared to the previous close of Rs 60.92.
Further, foreign funds were net buyers in Indian equities worth Rs 433.55 crore on Thursday, as per provisional stock exchange data.
Meanwhile, India recorded its heaviest spell of monsoon rains in 2014 in the past week, logging in surplus for the second straight week, raising hopes of a delayed retreat of the four-month season.
Asian markets are trading mixed on the final trading day of the week, following an uninspiring US lead. The Nikkei extended gains and was up 0.4% while Straits Times and Shanghai Composite were up 0.1% each. However, shares in Hong Kong witnessed profit taking after sharp gains recently. The benchmark Hang Seng was down 0.4%.
ITC which had corrected after media reports that the government might announce stringent measures on cigarettes was up nearly 1%.
IT majors Infosys and TCS were also among the Sensex gainers up 0.6% each.
ONGC which had corrected yesterday on government's plan to divest partial stake in the company was up nearly 1%.
In the capital goods segment L&T and BHEL were marginally up ahead of July IIP data.
Sun Pharma extended losses and was the top Sensex loser after the USFDA conducted a surprise inspection at its Halol unit in Gujarat. Further, is the company is looking to get shareholders' approval to raise qualified institutional placement (QIP) worth Rs 12,000 crore at its 27th annual general meeting to be held by the end of September.
Other Sensex losers include, Reliance Ind and private banks such as Axis Bank, HDFC Bank and ICICI Bank.
In the broader market, the BSE Mid-cap and Small-cap indices were up 0.4-0.6% each.
Market breadth was strong with 1,400 gainers and 488 losers on the BSE.
At 9:40AM, the 30-share Sensex was up 52 points at 27,048 and the 50-share Nifty was up 11 points at 8,097.
The Indian rupee was trading marginally lower at Rs 60.97 against the US dollar compared to the previous close of Rs 60.92.
Further, foreign funds were net buyers in Indian equities worth Rs 433.55 crore on Thursday, as per provisional stock exchange data.
Meanwhile, India recorded its heaviest spell of monsoon rains in 2014 in the past week, logging in surplus for the second straight week, raising hopes of a delayed retreat of the four-month season.
Asian markets are trading mixed on the final trading day of the week, following an uninspiring US lead. The Nikkei extended gains and was up 0.4% while Straits Times and Shanghai Composite were up 0.1% each. However, shares in Hong Kong witnessed profit taking after sharp gains recently. The benchmark Hang Seng was down 0.4%.
ITC which had corrected after media reports that the government might announce stringent measures on cigarettes was up nearly 1%.
IT majors Infosys and TCS were also among the Sensex gainers up 0.6% each.
ONGC which had corrected yesterday on government's plan to divest partial stake in the company was up nearly 1%.
In the capital goods segment L&T and BHEL were marginally up ahead of July IIP data.
Sun Pharma extended losses and was the top Sensex loser after the USFDA conducted a surprise inspection at its Halol unit in Gujarat. Further, is the company is looking to get shareholders' approval to raise qualified institutional placement (QIP) worth Rs 12,000 crore at its 27th annual general meeting to be held by the end of September.
Other Sensex losers include, Reliance Ind and private banks such as Axis Bank, HDFC Bank and ICICI Bank.
In the broader market, the BSE Mid-cap and Small-cap indices were up 0.4-0.6% each.
Market breadth was strong with 1,400 gainers and 488 losers on the BSE.
Wednesday, 10 September 2014
Sensex drops 208 points to end below 27,100
Markets retreated for the second straight day from record highs on concerns that foreign funds may start trimming their exposure to emerging markets if the US Federal Reserve hikes interest rates sooner-than-expected. Further, the weak rupee also weighed on market sentiment.
The 30-share Sensex ended down 208 points at 27,057 and the 50-share Nifty closed 59 points lower at 8,094.
In broader markets, the BSE Mid-cap index ended flat while Small-cap index closed 0.6% higher.
Market breadth ended strong with 1,739 advances and 1,278 declines on the BSE.
Asian Markets:
Asian shares ended lower barring Japan’s Nikkei on concerns the the Federal Reserve would raise interest rates earlier than expected. Nikkei ended up 0.25% while Hang Seng lost 2%, Shanghai Composite finished 0.4% lower and Straits Times ended the session with marginal losses.
Rupee:
The Indian rupee was trading lower at Rs 60.90 against the US dollar compared to the previous close of Rs 60.60. The rupee weakened to its lowest in nearly a month on Wednesday tracking falls in emerging markets due to worries the US Federal Reserve would raise interest rates earlier than expected, although exporters' dollar sales capped broader falls.
Meanwhile, overseas investors bought Indian shares worth 4.79 billion rupees ($79 million) on Tuesday, exchange data showed.
Sectors & Stocks:
On the sectoral front, Consumer Durables index was the biggest loser down 1.6% followed by FMCG, Capital Goods, IT and Oil and Gas indices which lost between 1-1.5%. Bankex ended marginally lower. However, Realty and Power indices ended in the positive territory up between 0.1-0.7%.
Shares of IT majors ended down on profit taking while Tuesday's losses in technology shares on the Nasdaq also dampened sentiment. IT major Infosys lost 1.8%. Following the tandem TCS and Wipro lost between 0.7-1%.
Oil and Gas stocks which gained in the recent trading sessions on decline in crude oil prices ended lower today. RIL was down 1.7%, ONGC dipped over 1% and GAIL shed 0.5%.
Cigarette maker ITC lost nearly 2% on media reports that the government may ban the sale of loose cigarettes among other measures. On similar lines, shares of other cigarette companies including Godfrey Phillips India and VST Industries also ended lower. FMCG major HUL ended with marginal losses.
Among the Auto shares, Hero Motocorp, M&M and Tata Motors finished lower between 0.5-2% whereas Maruti Suzuki inched down.
Shares of SUV maker M&M were under pressure today after Kotak Institutional Equities downgraded the stock.
In the financial segment, SBI, HDFC twins and Axis Bank edged lower between 0.3-2%. However,ICICI Bank gained 1% after the board announced stock split of equity share of face value Rs 10 each into five equity shares of face value Rs 2 each.
Shares of Coal India ended lower by 2%. Centre wants Coal India to take over active mines if all blocks are cancelled or firms be allowed to continue production until these are re-auctioned.
In the Capital Goods space, L&T and BHEL dipped over 1%.
On the flip side, power and metal shares which were trading lower in the previous trading session have rebounded today. The Supreme Court on Tuesday reserved its final order on whether 218 illegal coal block allocations should be de allocated. Tata Power, Sesa Sterlite and Tata Steel gained between 0.5-2% while Hindalco ended with marginal gains.
Bharti Airtel, Baja Auto and Cipla were some of the prominent names in green.
Among other shares, BL Kashyap and Sons ended firm for second day in a row, up 20% at Rs 12.96 on BSE after HDFC Mutual Fund bought 1.42 million shares at Rs 9.20 per share in a bulk deal on Tuesday, 9 September 2014.
Shares of Lanco Infratech closed higher by 8% at Rs 8.76 on reports that the company plans to sell some of its power assets with a view to reduce its debt burden.
Shares of companies engaged in shipbuilding business rallied by up to 13% on reports that the government is said to be looking at several options to boost ship building in the country. ABG Shipyard rallied 13% to Rs 257 on back of heavy volumes and Bharati Shipyard was locked in upper circuit of 10% at Rs 39 on NSE with no sellers on the counter.
Markets open lower; Sensex down over 100 points
Markets opened lower,amid weak global cues, with metal stocks among the top losers after the Supreme Court late Tuesday reserved its order on coal block allocations.
At 9:17AM, the 30-share Sensex was down 108 points at 27,157 and the 50-share Nifty was down 30 points at 8,123.
SBI, Hindalco, BHEL, Tata Steel, Infosys, HDFC Bank were among the top Sensex losers.
Asian markets were trading lower tracking overnight losses on Wall Street. The benchmark Nikkei was down 0.4%. Shanghai Composite and Hang seng were trading 0.5-1.8% lower. Straits Times was trading 0.3% down.
US markets ended lower on Tuesday on concerns that the US Fed may raise interest rates sooner than expected while losses in Apple shares also weighed on market sentiment.
The Dow Jones Industrial Average ended down 0.6% at 17,014 and the S&P 500 ended down 0.7% at 1,988 and the Nasdaq ended down 0.9% at 4,552.
Except for Healthcare Index all other sectoral indices were in the red on the BSE.
Metal stocks are down after the Supreme Court on Tuesday reserved its order on coal block allocations. While the government didn’t press the court to favour a few blocks, industry representatives pleaded for a committee to select and exempt the blocks, allocations of which didn’t involve any criminality.
Lanco Infratech was up 7% on plans to sell 3,000 Mw of capacity to raise Rs 5,000 crore. The funds raised will be used to reduce the company’s debt, currently about Rs 35,000 crore.
BL Kashyap was locked in 20% upper circuit after HDFC Mutual Fund has bought 14.2 lakh shares of real-estate company on Tuesday.
Biocon was up 1.1%. India's largest publicly held biotechnology company, has said that it is buying back the 7.69% stake held by GE Capital in Biocon's research arm Syngene for Rs 215.38 crore, valuing the research arm at around Rs 2,800 crore.
The broader market was trading with marginal losses.
Market breadth was strong with 746 gainers and 620 losers on the BSE.
At 9:17AM, the 30-share Sensex was down 108 points at 27,157 and the 50-share Nifty was down 30 points at 8,123.
SBI, Hindalco, BHEL, Tata Steel, Infosys, HDFC Bank were among the top Sensex losers.
Asian markets were trading lower tracking overnight losses on Wall Street. The benchmark Nikkei was down 0.4%. Shanghai Composite and Hang seng were trading 0.5-1.8% lower. Straits Times was trading 0.3% down.
US markets ended lower on Tuesday on concerns that the US Fed may raise interest rates sooner than expected while losses in Apple shares also weighed on market sentiment.
The Dow Jones Industrial Average ended down 0.6% at 17,014 and the S&P 500 ended down 0.7% at 1,988 and the Nasdaq ended down 0.9% at 4,552.
Except for Healthcare Index all other sectoral indices were in the red on the BSE.
Metal stocks are down after the Supreme Court on Tuesday reserved its order on coal block allocations. While the government didn’t press the court to favour a few blocks, industry representatives pleaded for a committee to select and exempt the blocks, allocations of which didn’t involve any criminality.
Lanco Infratech was up 7% on plans to sell 3,000 Mw of capacity to raise Rs 5,000 crore. The funds raised will be used to reduce the company’s debt, currently about Rs 35,000 crore.
BL Kashyap was locked in 20% upper circuit after HDFC Mutual Fund has bought 14.2 lakh shares of real-estate company on Tuesday.
Biocon was up 1.1%. India's largest publicly held biotechnology company, has said that it is buying back the 7.69% stake held by GE Capital in Biocon's research arm Syngene for Rs 215.38 crore, valuing the research arm at around Rs 2,800 crore.
The broader market was trading with marginal losses.
Market breadth was strong with 746 gainers and 620 losers on the BSE.