Markets settle flat in a choppy session; PowerGrid up over 4%

IndusInd Bank was down nearly 1% even after it reported a 21% rise in its fourth-quarter profit

Benchmark indices settled the day flat, swinging between gains and losses throughout the day, as investors remain cautious on muted corporate earnings. Globally, geopolitical tensions rising between US and North Korea and US President Donald Trump’s call for reviewing H1-B visa programme kept the Street wary and uncertain.
 
The S&P BSE Sensex settled the day at 29,336, up 17 points, while the broader Nifty50 ended at 9,103, down 8 points.
 
The broader market was outperforming benchmark indices with the S&P BSE Midcap and S&P BSE Smallcap gaining 0.7% and 0.8% respectively.
 

"Mid & small cap outperformed irrespective of their valuation while broader market is trading in range bound due to weakness in global market & tepid start to the earnings season. FIIs are in selling mode, a reason for investors to stay on the back foot. A Normal monsoon forecast has not been taken positively by the market given more clarity needed on the El Nino effect," said Vinod Nair, Head of Research, Geojit Financial Services in a note.

The market breadth was positive, but narrow, as just 1,574 shares against a decline of 1,246 shares, while 176 shares were unchanged.
 
Sectors and Stocks
 
Power Grid, Adani Ports, NTPC and Asian Paints were the top gainers on BSE Sensex, while SBI, HeroMoto Corp, HUL and ONGC lost the most.
 
Private sector lender IndusInd Bank was down 0.68% even after it reported a 21% rise in its fourth-quarter profit on higher interest income, while its bad-loan ratio eased sequentially. The bank’s net profit was at Rs 751.6 crore and net interest income at Rs 1,667.4 crore for the quarter ended March 2017.

 
TCS, pared all morning gains to end flat after the company yesterday reported 1% quarter on quarter (QoQ) growth in its constant currency revenues — lower than analysts’ expectations of 1.5 to 2%. The stock lost around 2.5% from its intra-day high of Rs 2348.
 
National Aluminium Company (Nalco) dipped nearly 8% to Rs 67.65 on BSE after the government stake sale of up to 10% in the aluminium company through an offer for sale (OFS) begins today. The company has fixed floor price of Rs 67 for the OFS. The floor price is 8.8% lower against Tuesday closing price of Rs 73.45 on BSE. 

 
Global Markets
 
Stocks flatlined and gold fell on Wednesday as investors continued to question the 'reflation' trades that had lifted markets since the election of US president Donald Trump in November, while sterling basked in the glow of a six-month high following Tuesday's surprise news of a snap UK election.
 
Safe-haven bonds dipped slightly but largely held onto most of their recent gains before presidential elections in France and on escalating tensions between the United States and North Korea.
 
European stocks were flat in early trade, following the 0.6% fall in Asian equities outside Japan to a one-month low, while E-mini futures for the S&P 500 were all but flat too.

 
Germany's DAX was unchanged at around the 12,000-point mark, and Britain's FTSE 100 fell a further 0.2% following Tuesday's 2.5% slide, its biggest fall since June last year.
 
Earlier in Asia Japan's Nikkei closed a smidgen higher at 18,432 points, but Shanghai extended its recent retreat with a drop of 0.8%. The Chinese market has fallen for four straight sessions on concerns over tighter regulations on June8. MSCI's broadest index of Asia-Pacific shares outside Japan fell 0.6% to their lowest since mid-March.
 
Japan's Nikkei managed to steady for the moment, but Shanghai extended its recent retreat with a drop of 1%. The Chinese market has fallen for four straight sessions on concerns over tighter regulations.