 "GDP downward revision makes market see red")
Key benchmark indices slid in the red zone reacting sharply to revised growth estimates by Prime Minister's economic panel while broader markets continue to be firm.
At 11:25am, the BSE Sensex was down by 31 points trading at 19,750 levels while NSE Nifty gained by 6 points at 5,844 levels. Broader markets remain firm; BSE Mid cap and small cap are up in the range of 0.3-0.5%.
Prime Minister's Economic Advisory Council (PMAEC) has pegged India's Gross Domestic Product (GDP) growth at 5.3% for the current financial year. This is way down from their earlier estimates of 6.4% but higher than sub-5% growth projected by various brokerage firms and independent economists.
BSE IT and FMCG indices have declined by nearly 1% each. However, BSE Capital Goods, PSU, Power and Realty indices have gained by 1% each.
The main losers on the Sensex at this hour include Wipro, HDFC Bank, HDFC, Bharti Airtel, ITC, Maruti Suzuki and Infosys, all declining between 1-3%.
Capital goods shares remain positive on announcement of better-than-expected July factory output data. Index of industrial production (IIP) rose by 2.6% in July on a y-o-y basis after falling for 2 consecutive months.
While mining output continued to contract, both manufacturing and electricity output rebounded sharply and grew by 3.0% and 5.2% respectively in July.
L&T and BHEL have gained between 1.6-2%.
Among other shares, Jyoti Structures soared 10% on Friday amidst reports that the Aion Capital Partners have invested Rs 300 crore in the company.
McNally Bharat stock zoomed 5.4% in early trade after the company announced that it won an order worth Rs. 144.32 crores.
The market breadth in BSE remains positive with 1,114 shares advancing and 671 shares declining.
The rupee weakened in morning trade and breached the Rs 64 per dollar due to dollar demand by importers. At 11:14am, the rupee was trading at Rs. 63.85 compared with previous close of Rs 63.54 per dollar. The rupee weakened in opening trade on Friday tracking weakness in offshore non-deliverable forwards but better-than-expected factory output data may limit a very sharp fall.
Gold On Multi Commodity Exchange opened flat due to depreciation in the rupee. Gold internationally is currently trading flat, but last night saw a 3.4% fall. However, gold is now trading with a negative bias due tracking yesterday's fall. Gold on MCX is trading at Rs 30,047, per 10 grams, flat on MCX. However, it hit a low of Rs 29,994 per 10 grams in early trade.
Wholesale price inflation data, due on Monday, will be the next key trigger for markets.
On the global front, Asian shares fell on Friday and the dollar held to overnight losses against the yen as investors fretted over not whether but by how much the U.S. Federal Reserve will cut its monthly stimulus at next week's monetary meeting.
At 11:25am, the BSE Sensex was down by 31 points trading at 19,750 levels while NSE Nifty gained by 6 points at 5,844 levels. Broader markets remain firm; BSE Mid cap and small cap are up in the range of 0.3-0.5%.
Prime Minister's Economic Advisory Council (PMAEC) has pegged India's Gross Domestic Product (GDP) growth at 5.3% for the current financial year. This is way down from their earlier estimates of 6.4% but higher than sub-5% growth projected by various brokerage firms and independent economists.
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C Rangarajan, Chairman of PMEAC said in a press conference that controlling CAD remains a major concern for the government and pegged FY14 CAD at $70 bn or 3.8% of GDP.
BSE IT and FMCG indices have declined by nearly 1% each. However, BSE Capital Goods, PSU, Power and Realty indices have gained by 1% each.
The main losers on the Sensex at this hour include Wipro, HDFC Bank, HDFC, Bharti Airtel, ITC, Maruti Suzuki and Infosys, all declining between 1-3%.
Capital goods shares remain positive on announcement of better-than-expected July factory output data. Index of industrial production (IIP) rose by 2.6% in July on a y-o-y basis after falling for 2 consecutive months.
While mining output continued to contract, both manufacturing and electricity output rebounded sharply and grew by 3.0% and 5.2% respectively in July.
L&T and BHEL have gained between 1.6-2%.
Among other shares, Jyoti Structures soared 10% on Friday amidst reports that the Aion Capital Partners have invested Rs 300 crore in the company.
McNally Bharat stock zoomed 5.4% in early trade after the company announced that it won an order worth Rs. 144.32 crores.
The market breadth in BSE remains positive with 1,114 shares advancing and 671 shares declining.
The rupee weakened in morning trade and breached the Rs 64 per dollar due to dollar demand by importers. At 11:14am, the rupee was trading at Rs. 63.85 compared with previous close of Rs 63.54 per dollar. The rupee weakened in opening trade on Friday tracking weakness in offshore non-deliverable forwards but better-than-expected factory output data may limit a very sharp fall.
Gold On Multi Commodity Exchange opened flat due to depreciation in the rupee. Gold internationally is currently trading flat, but last night saw a 3.4% fall. However, gold is now trading with a negative bias due tracking yesterday's fall. Gold on MCX is trading at Rs 30,047, per 10 grams, flat on MCX. However, it hit a low of Rs 29,994 per 10 grams in early trade.
Wholesale price inflation data, due on Monday, will be the next key trigger for markets.
On the global front, Asian shares fell on Friday and the dollar held to overnight losses against the yen as investors fretted over not whether but by how much the U.S. Federal Reserve will cut its monthly stimulus at next week's monetary meeting.