 "Markets trading flat; HDFC and ITC down over 1%")
Benchmark indices continue to remain flat with a positive bias with gains in Axis Bank and SBI helped offset losses in ITC and HDFC Group shares.
At 2.30 PM Sensex is trading at 26,418 with a gain of 34 points and Nifty is flat at 7,833.
In the broader market, both BSE Mid Cap and Small Cap indices have outperformed the benchmark indices with gains of around 0.3% each.
Meanwhile, WPI inflation has come around 2.38% for the month of September compared to 3.74% in August, lowest in 33 months. With better than expected figures on retail inflation too, analysts expect RBI to be able to meet its 2016 target of 6% of retail inflation by mid-2015 itself and adopt a dovish stance on policy rates soon.
On the back of low retail inflation the rupee had hit a high of 60.90 in early trades against US Dollar, its highest since September 23, 2014. However, it later reversed direction and is currently trading at 61.22 against US Dollar.
Global Markets
NIkkei declined sharply by 2.4% on global growth concerns and a strong Yen while Chinese stocks recovered slightly with mainland investors heartened by easier money conditions and Hong Kong gained after a crackdown on protestors.
Paring early gains both Shanghai and Hang Seng indices are trading with loss of 0.2% and 0.4% respectively.
Global markets continue to struggle on account of weak data from Japan and Europe plus lingering growth concerns about China. Continued fall in global crude prices has further dampened investor sentiments. The crude prices will see further decline as OPEC countries have refused to cut-down output despite excessive supply in the international market and weak demand from Europe and China.
European markets have opened weak with FTSE 100, DAX and CAC 40 losing in the range of 0.3% to 0.5%.
Sectors and Stocks
BSE Bankex, Power and Metal indices are the major sectorial gainers with advances around 1%. Other gainers are BSE Capital Goods and Health Care indices with advances around 0.5%.
Positive inflation data has uplifted certain rate sensitive stocks such as SBI and Axis Bank which gained 2-3 each while ICICI Bank firmed up 0.4%.
Reliance Industries was up nearly 1% after it beat analysts’ expectations during the July-September quarter, with its profit increasing 1.7 per cent over the year-ago period. At Rs 5,972 crore, however, its net profit was 1.7 per cent higher than Rs 5,873 crore in the same period last year.
Among the defensive stocks, HUL is trading with a gain around 2%.
Baja Auto has gained more than 2% after the stock was upgraded to ‘buy’ by Bank of America-Merrill Lynch citing higher volume and average selling prices, and increased contribution from dirt-bike making affiliate KTM.
Shares of Tata Steel rebounded In late noon trade and have posted gains around 0.5%. Tata Steel has reported sales of 2.11 million tonnes in India for the quarter ended September 30, 2014 against 2.04 million tonnes of sales in the same period previous fiscal.
BHEL continues to surge after the company recently bagged a contract worth 7,800 crores from Tamil Nadu Generation and Distribution Corporation Ltd (TANGEDCO) for a 1320 mega watt (MW) plant near Chennai.
Coal India has also recovered and is currently gaining around 1%. On Monday, its stocks were upgraded by HSBC to "overweight" from "neutral.”Coal India will be the main beneficiary of India's increased focus on domestic coal production, HSBC said in a note.
Pharma majors are trading with marginal gains. Cipla has gained around 1%, Sun Pharma 0.3% while Dr Reddys Lab is flat.
Among major declines, cigarette maker and Index heavyweight ITC has lost 1.5% on concerns regarding weaker sales and profits from the cigarette division and HDFC Group shares have declined up to 1.2%
.
Profit booking has kept IT stocks subdued with TCS losing as much as 0.8% while Infosys and Wipro have lost around 0.2%.
Sesa Sterlite pared losses and is currently down around 1%. Earlier the stock fell as much as 12.4% on the Supreme Court reiterating a prior ruling that all iron ore mined in Goa before 2007 belonged to the State.
Among other shares, DLF has slumped around 26% to Rs 114 after SEBI barred the real estate major and six of its top executives, including Chairman K P Singh, from accessing the capital market for three years.
Sintex Industries extended gains from yesterday with a 4.5% uptick on the back of robust second quarter earnings in early morning trades. Its stocks later pared gains and are currently trading with a loss of 0.5%.
United Phosphorus Limited (UPL) has gained around 5% on BSE after RBI allowed foreign investors to hold up to 74% in paid up capital in the company under Portfolio Investment Scheme (PIS) as the prescribed limit has gone below threshold.
SpiceJet surged in today's trade with gains of over 6% as the budget carrier’s operating performance improved with higher revenue per seat amid reduced capacity.
Dion Global solutions gained around 5% on BSE during early morning trades after the company announced the launch of a new module within its NOVA suite to support the Shanghai - Hong Kong Stock Connect scheme. Later the stocks pared gains and are currently trading with a gain of 0.7%.
IL&FS Engineering and Construction Company has gained around 16% after the company said it has won a Rs
1,232 crore order from National Highways Authority of India (NHAI) for widening the 127 km Patna-Gaya-Dobhi
section of NH 83 in Bihar.
At 2.30 PM Sensex is trading at 26,418 with a gain of 34 points and Nifty is flat at 7,833.
In the broader market, both BSE Mid Cap and Small Cap indices have outperformed the benchmark indices with gains of around 0.3% each.
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The market breadth is marginally weak with 1457 declines against 1337 advances on the BSE.
Meanwhile, WPI inflation has come around 2.38% for the month of September compared to 3.74% in August, lowest in 33 months. With better than expected figures on retail inflation too, analysts expect RBI to be able to meet its 2016 target of 6% of retail inflation by mid-2015 itself and adopt a dovish stance on policy rates soon.
On the back of low retail inflation the rupee had hit a high of 60.90 in early trades against US Dollar, its highest since September 23, 2014. However, it later reversed direction and is currently trading at 61.22 against US Dollar.
Global Markets
NIkkei declined sharply by 2.4% on global growth concerns and a strong Yen while Chinese stocks recovered slightly with mainland investors heartened by easier money conditions and Hong Kong gained after a crackdown on protestors.
Paring early gains both Shanghai and Hang Seng indices are trading with loss of 0.2% and 0.4% respectively.
Global markets continue to struggle on account of weak data from Japan and Europe plus lingering growth concerns about China. Continued fall in global crude prices has further dampened investor sentiments. The crude prices will see further decline as OPEC countries have refused to cut-down output despite excessive supply in the international market and weak demand from Europe and China.
European markets have opened weak with FTSE 100, DAX and CAC 40 losing in the range of 0.3% to 0.5%.
Sectors and Stocks
BSE Bankex, Power and Metal indices are the major sectorial gainers with advances around 1%. Other gainers are BSE Capital Goods and Health Care indices with advances around 0.5%.
Positive inflation data has uplifted certain rate sensitive stocks such as SBI and Axis Bank which gained 2-3 each while ICICI Bank firmed up 0.4%.
Reliance Industries was up nearly 1% after it beat analysts’ expectations during the July-September quarter, with its profit increasing 1.7 per cent over the year-ago period. At Rs 5,972 crore, however, its net profit was 1.7 per cent higher than Rs 5,873 crore in the same period last year.
Among the defensive stocks, HUL is trading with a gain around 2%.
Baja Auto has gained more than 2% after the stock was upgraded to ‘buy’ by Bank of America-Merrill Lynch citing higher volume and average selling prices, and increased contribution from dirt-bike making affiliate KTM.
Shares of Tata Steel rebounded In late noon trade and have posted gains around 0.5%. Tata Steel has reported sales of 2.11 million tonnes in India for the quarter ended September 30, 2014 against 2.04 million tonnes of sales in the same period previous fiscal.
BHEL continues to surge after the company recently bagged a contract worth 7,800 crores from Tamil Nadu Generation and Distribution Corporation Ltd (TANGEDCO) for a 1320 mega watt (MW) plant near Chennai.
Coal India has also recovered and is currently gaining around 1%. On Monday, its stocks were upgraded by HSBC to "overweight" from "neutral.”Coal India will be the main beneficiary of India's increased focus on domestic coal production, HSBC said in a note.
Pharma majors are trading with marginal gains. Cipla has gained around 1%, Sun Pharma 0.3% while Dr Reddys Lab is flat.
Among major declines, cigarette maker and Index heavyweight ITC has lost 1.5% on concerns regarding weaker sales and profits from the cigarette division and HDFC Group shares have declined up to 1.2%
.
Profit booking has kept IT stocks subdued with TCS losing as much as 0.8% while Infosys and Wipro have lost around 0.2%.
Sesa Sterlite pared losses and is currently down around 1%. Earlier the stock fell as much as 12.4% on the Supreme Court reiterating a prior ruling that all iron ore mined in Goa before 2007 belonged to the State.
Among other shares, DLF has slumped around 26% to Rs 114 after SEBI barred the real estate major and six of its top executives, including Chairman K P Singh, from accessing the capital market for three years.
Sintex Industries extended gains from yesterday with a 4.5% uptick on the back of robust second quarter earnings in early morning trades. Its stocks later pared gains and are currently trading with a loss of 0.5%.
United Phosphorus Limited (UPL) has gained around 5% on BSE after RBI allowed foreign investors to hold up to 74% in paid up capital in the company under Portfolio Investment Scheme (PIS) as the prescribed limit has gone below threshold.
SpiceJet surged in today's trade with gains of over 6% as the budget carrier’s operating performance improved with higher revenue per seat amid reduced capacity.
Dion Global solutions gained around 5% on BSE during early morning trades after the company announced the launch of a new module within its NOVA suite to support the Shanghai - Hong Kong Stock Connect scheme. Later the stocks pared gains and are currently trading with a gain of 0.7%.
IL&FS Engineering and Construction Company has gained around 16% after the company said it has won a Rs
1,232 crore order from National Highways Authority of India (NHAI) for widening the 127 km Patna-Gaya-Dobhi
section of NH 83 in Bihar.