 "Benchmarks hover near day's low; Axis bank down 2.5%")
After being choppy in a narrow range key benchmarks are currently hovering near their day's low currently led by a sell-off in banking stocks.
At 1:05PM, the 30-share Sensex was down 48 points at 20681 levels and the 50-share Nifty was down almost 19 points at 6,156.
Larsen & Tourbro, Axis Bank down between 2.2-2.6%, ITC & ICICI Bank down 0.6% and State Bank of India (SBI) pulled the benchmark Sensex down and were also the major laggards at this hour.
“Nifty spot is trading in 2 ranges. On weekly charts, its range is 6350-6000. And on daily charts, its range is 6130-6225. Currently, Nifty is range bound in 6130-6225. Nifty has crucial resistance at 6225 levels. As long as Nifty spot trades below 6225 levels weakness may be continuing and target if 6130 may be seen. Closing below 6130 levels may take Nifty spot to 6000 levels. However, If Nifty start trading above 6230 levels then it may test 6350 again, ” said Puneet Kinra, Sr.Technical Analyst at Bonanza Portfolio.
India, facing the threat of a sovereign ratings downgrade due to worsening macro economic parameters, has got some respite from Moody's Investors Service. In its latest report, the rating agency said that the structure of the government debt has supported the current ratings given by it, even as macro economic factors have worsened.
Moody's, like its two other peers -- Standard & Poor's and Fitch -- assigned lowest investment rating to India and any downgrade will club the economy with junk grade countries.
In its report, titled 'India's Government Debt Structure Mitigates Credit Impact of Macro-Economic Imbalances', the rating agency said the structure of the government debt has mitigated the risks arising from the size of these borrowings as well as high fiscal deficit.
On the global front, Asian shares wavered on Thursday after a lacklustre performance on Wall Street overnight and ahead of a key U.S. jobs report due out the following day, while the dollar stood near a seven-week high against a basket of currencies.
Market reaction was muted to a slowdown in China's annual consumer inflation in December, which decelerated to 2.5% from the previous month's 3 percent, more than what the market had expected.
MSCI's broadest index of Asia-Pacific shares outside Japan slipped 0.2% after snapping a five-day losing streak on Wednesday.
China's annual consumer inflation slowed more sharply than expected to a seven-month low of 2.5% in December, easing market fears of tighter monetary policy rates although the central bank is tapping the brakes on bank liquidity.
Back home, the rupee is trading lower at 62.10 compared to its close of 62.07/08 on Wednesday, tracking broad gains in the dollar versus major currencies.
Foreign institutional investors (FIIs) bought shares worth a net Rs 79.68 crore on Wednesday as per provisional data from the stock exchanges.
On the sectoral front, Realty down 1.7%, is leading the fall in BSE sectoral indices followed by Capital Goods down 1.6%, banks, FMCG, consumer durables and auto were the other top losers. However, BSE Metal and oil & gas indices were up between 0.2%.
The main gainers on the Sensex at this hour include Sesa Sterlite up over 3%, NTPC, ONGC and Coal India all up over 2%, Dr Reddy’s Lab, Infosys, Tata Power and TCS were the other top Sensex gainers at this hour.
Among other shares, Suven Life Sciences has surged 6% to Rs 81.45 after the company announced that it has secured three products patents each from Australia, Sri Lanka and South Korea corresponding to the New Chemical Entities (NCEs) for the treatment of disorders associated with Neurodegenerative diseases.
Jubilant FoodWorks has dipped over 3% at Rs 1,225 after the Reserve Bank of India (RBI) barred buying by foreign institutional investors (FIIs) in shares of the company as the foreign shareholding in the company has reached the trigger limit.
The market breadth in BSE remains marginally positive with 1,098 shares advancing and 946 shares declining
At 1:05PM, the 30-share Sensex was down 48 points at 20681 levels and the 50-share Nifty was down almost 19 points at 6,156.
Larsen & Tourbro, Axis Bank down between 2.2-2.6%, ITC & ICICI Bank down 0.6% and State Bank of India (SBI) pulled the benchmark Sensex down and were also the major laggards at this hour.
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Technical analyst and market expert Devangshu Datta advices traders to keep Stop long positions at 6150 and stop loss short positions at 6250 and wait for a breakout. He sees no discernible trend currently.
“Nifty spot is trading in 2 ranges. On weekly charts, its range is 6350-6000. And on daily charts, its range is 6130-6225. Currently, Nifty is range bound in 6130-6225. Nifty has crucial resistance at 6225 levels. As long as Nifty spot trades below 6225 levels weakness may be continuing and target if 6130 may be seen. Closing below 6130 levels may take Nifty spot to 6000 levels. However, If Nifty start trading above 6230 levels then it may test 6350 again, ” said Puneet Kinra, Sr.Technical Analyst at Bonanza Portfolio.
India, facing the threat of a sovereign ratings downgrade due to worsening macro economic parameters, has got some respite from Moody's Investors Service. In its latest report, the rating agency said that the structure of the government debt has supported the current ratings given by it, even as macro economic factors have worsened.
Moody's, like its two other peers -- Standard & Poor's and Fitch -- assigned lowest investment rating to India and any downgrade will club the economy with junk grade countries.
In its report, titled 'India's Government Debt Structure Mitigates Credit Impact of Macro-Economic Imbalances', the rating agency said the structure of the government debt has mitigated the risks arising from the size of these borrowings as well as high fiscal deficit.
On the global front, Asian shares wavered on Thursday after a lacklustre performance on Wall Street overnight and ahead of a key U.S. jobs report due out the following day, while the dollar stood near a seven-week high against a basket of currencies.
Market reaction was muted to a slowdown in China's annual consumer inflation in December, which decelerated to 2.5% from the previous month's 3 percent, more than what the market had expected.
MSCI's broadest index of Asia-Pacific shares outside Japan slipped 0.2% after snapping a five-day losing streak on Wednesday.
China's annual consumer inflation slowed more sharply than expected to a seven-month low of 2.5% in December, easing market fears of tighter monetary policy rates although the central bank is tapping the brakes on bank liquidity.
Back home, the rupee is trading lower at 62.10 compared to its close of 62.07/08 on Wednesday, tracking broad gains in the dollar versus major currencies.
Foreign institutional investors (FIIs) bought shares worth a net Rs 79.68 crore on Wednesday as per provisional data from the stock exchanges.
On the sectoral front, Realty down 1.7%, is leading the fall in BSE sectoral indices followed by Capital Goods down 1.6%, banks, FMCG, consumer durables and auto were the other top losers. However, BSE Metal and oil & gas indices were up between 0.2%.
The main gainers on the Sensex at this hour include Sesa Sterlite up over 3%, NTPC, ONGC and Coal India all up over 2%, Dr Reddy’s Lab, Infosys, Tata Power and TCS were the other top Sensex gainers at this hour.
Among other shares, Suven Life Sciences has surged 6% to Rs 81.45 after the company announced that it has secured three products patents each from Australia, Sri Lanka and South Korea corresponding to the New Chemical Entities (NCEs) for the treatment of disorders associated with Neurodegenerative diseases.
Jubilant FoodWorks has dipped over 3% at Rs 1,225 after the Reserve Bank of India (RBI) barred buying by foreign institutional investors (FIIs) in shares of the company as the foreign shareholding in the company has reached the trigger limit.
The market breadth in BSE remains marginally positive with 1,098 shares advancing and 946 shares declining