 "Profit booking drags Nifty below 8,900; Sensex falls 200 points")
Benchmark indices continue to trade near day’s low on account of profit booking mainly in the rate-sensitive sectors and weakness among global cues.
By 11:05 am, the S&P BSE Sensex was down by 216 points at 28,829 and the Nifty50 slipped 74 points at 8,879. Among broader markets, BSE Midcap and the Smallcap indices are down between 0.4%-1%.
The rupee on Friday lost 13 paise to 66.55 against the US dollar in early trade at the Interbank Foreign Exchange market on increased demand for the American unit from importers and banks.
Top losers from the Sensex pack are Hero MotoCorp, HDFC, ICICI Bank, Bajaj Auto and ITC, all slumping between 1.5%-3%.
Jindal Steel & Power fell over 3% after the company reported consolidated net loss of Rs 1082.15 crore in Q1 June 2016, higher than net loss of Rs 542.42 crore in Q1 June 2015.
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Updated at 10:10 AM
Markets have retreated from 18- month high and have opened lower on account of profit booking at higher levels. Weakness among global peers also persisted after ECB holds rates, keeps March date for ending asset buys.
By 10:10 am, the S&P BSE Sensex was down by 193 points at 28,852 and the Nifty50 slipped 64 points at 8,888. Among broader markets, BSE Midcap index is down 0.2% while the Smallcap index is up 0.1%.
On Thursday, drugmakers and consumer companies advanced, outweighing declines in software makers, as investors sought safety of defensive shares amid a rally that lifted benchmark index to an 18-month high.
“Fresh breakout from the continuation pattern on the weekly scale indicates a beginning of a fresh impulse wave with price target placed at 9180. Weekly RSI is yet to witness an overbought situation & lack of any RSI-Price divergence on the weekly scale supports the current bullish trend to remain intact. The ongoing momentum could be distorted incase Nifty dips below 8820 & hence serves as a trial stop for longs,” adds Sacchitanand Uttekar, Equity Technical Analyst, Motilal Oswal.
In overseas stock markets, Asian stocks edged lower after the European Central Bank (ECB) surprised markets by deciding not to extend the deadline of its bond-buying program after the conclusion of its monetary policy meeting yesterday.
Also, reports on earthquake in North Korea possibly due to an explosion from a nuclear test in that nation weighed on sentiment. US stocks closed lower yesterday, as the outcome of ECB's latest monetary policy meeting suggested that central banks have little left to spur up demand.
Back home, foreign portfolio investors (FPIs) bought shares worth a net Rs 111.41 crore yesterday as per provisional data released by the stock exchanges.
Among corporate news, YES Bank on Thursday said it has deferred its $1 billion equity raising plan because of “misinterpretation of guidelines” amid sharp drop in its stock price. Shares of YES Bank are down 3%.
From the Sensex 30 pack, Hero MotoCorp, HDFC, ICICI Bank, Tata Motors and Axis Bank are down between 0.9%-1.4%.
ICICI Prudential Life Insurance Company has got approval of the Securities and Exchange Board of India (Sebi) for an initial public offering (IPO), the first by a life insurance company.
Tata Motors' management and the registered employee union have been unable to agree over two months over a new wage agreement, its tenure, payment of dearness allowance (DA) and retirement age.
State-run Oil and Natural Gas Corporation (ONGC) has posted a 21.1 per cent decline in net profit for the June quarter to Rs 4,233 crore against Rs 5,368 crore in the year-ago period, owing to a drop in production. The stock has gained around 2%.
Steel Authority of India’s net loss for the June quarter widened to Rs 535 crore, mainly on account of an exceptional item after the company paid Rs 54.2 crore towards voluntary retirement compensation during the period. The stocks has slipped almost 5%.
With Capital Market input
By 11:05 am, the S&P BSE Sensex was down by 216 points at 28,829 and the Nifty50 slipped 74 points at 8,879. Among broader markets, BSE Midcap and the Smallcap indices are down between 0.4%-1%.
The rupee on Friday lost 13 paise to 66.55 against the US dollar in early trade at the Interbank Foreign Exchange market on increased demand for the American unit from importers and banks.
Top losers from the Sensex pack are Hero MotoCorp, HDFC, ICICI Bank, Bajaj Auto and ITC, all slumping between 1.5%-3%.
Jindal Steel & Power fell over 3% after the company reported consolidated net loss of Rs 1082.15 crore in Q1 June 2016, higher than net loss of Rs 542.42 crore in Q1 June 2015.
***************************************
Updated at 10:10 AM
Markets have retreated from 18- month high and have opened lower on account of profit booking at higher levels. Weakness among global peers also persisted after ECB holds rates, keeps March date for ending asset buys.
By 10:10 am, the S&P BSE Sensex was down by 193 points at 28,852 and the Nifty50 slipped 64 points at 8,888. Among broader markets, BSE Midcap index is down 0.2% while the Smallcap index is up 0.1%.
On Thursday, drugmakers and consumer companies advanced, outweighing declines in software makers, as investors sought safety of defensive shares amid a rally that lifted benchmark index to an 18-month high.
“Fresh breakout from the continuation pattern on the weekly scale indicates a beginning of a fresh impulse wave with price target placed at 9180. Weekly RSI is yet to witness an overbought situation & lack of any RSI-Price divergence on the weekly scale supports the current bullish trend to remain intact. The ongoing momentum could be distorted incase Nifty dips below 8820 & hence serves as a trial stop for longs,” adds Sacchitanand Uttekar, Equity Technical Analyst, Motilal Oswal.
In overseas stock markets, Asian stocks edged lower after the European Central Bank (ECB) surprised markets by deciding not to extend the deadline of its bond-buying program after the conclusion of its monetary policy meeting yesterday.
Also, reports on earthquake in North Korea possibly due to an explosion from a nuclear test in that nation weighed on sentiment. US stocks closed lower yesterday, as the outcome of ECB's latest monetary policy meeting suggested that central banks have little left to spur up demand.
Back home, foreign portfolio investors (FPIs) bought shares worth a net Rs 111.41 crore yesterday as per provisional data released by the stock exchanges.
Among corporate news, YES Bank on Thursday said it has deferred its $1 billion equity raising plan because of “misinterpretation of guidelines” amid sharp drop in its stock price. Shares of YES Bank are down 3%.
From the Sensex 30 pack, Hero MotoCorp, HDFC, ICICI Bank, Tata Motors and Axis Bank are down between 0.9%-1.4%.
ALSO READ: YES Bank defers $1 bn QIP
ICICI Prudential Life Insurance Company has got approval of the Securities and Exchange Board of India (Sebi) for an initial public offering (IPO), the first by a life insurance company.
Tata Motors' management and the registered employee union have been unable to agree over two months over a new wage agreement, its tenure, payment of dearness allowance (DA) and retirement age.
State-run Oil and Natural Gas Corporation (ONGC) has posted a 21.1 per cent decline in net profit for the June quarter to Rs 4,233 crore against Rs 5,368 crore in the year-ago period, owing to a drop in production. The stock has gained around 2%.
Steel Authority of India’s net loss for the June quarter widened to Rs 535 crore, mainly on account of an exceptional item after the company paid Rs 54.2 crore towards voluntary retirement compensation during the period. The stocks has slipped almost 5%.
With Capital Market input