 "Markets trim early gains, auto & banks weigh")
Benchmark indices have trimmed early gains led by selling among banking and auto shares. However, Infosys and pharma shares have helped the markets to hold on to their gains.
At 11:30AM, the 30-share Sensex was up 58 points at 20,006 and the 50-share Nifty was up 18 points at 5,991.
According to Ravi Nathani, technical analyst, Nsetoday.com, “Buy on dips would be the best trading strategy to trade, with a strict stoploss of 5900 as per closing basis. Stiff resistance is expected around 6040 & 6120”.
Regional tech-related stocks were hurt by US Intel Corp's dismal annual revenue forecast and capital spending cuts, citing softer personal computer sales and weakness in China, one of its biggest markets.
Back home, the rupee weakened on Thursday after the dollar gained modestly after Federal Reserve Chairman Ben Bernanke said the central bank would be flexible about its US monetary stimulus.
The RBI lets the exchange rate be market determined but intervenes to smooth volatility and prevent disruptions to macro-economic stability, Reserve Bank of India Governor Duvvuri Subbarao said in a speech in London on Wednesday.
On the sectoral front, BSE Healthcare, Realty, TECk, Capital Goods, Consumer Durables, IT, Oil & gas and FMCG indices are up 1%. However, BSE Auto and Bankex indices are down by nearly 1%.
The main gainers on the Sensex at this hour include ONGC, BHEL, Hindalco, Bharti Airtel, Infosys and JSPL.
Hindustan Unilever (HUL) has trimmed early gains after rallying 5% to Rs 718 in early trades, extending its previous day’s 10% surge, on reports that the FTSE and MSCI indices raised their investable weightage on the stock following the completion of the cash open offer by Unilever in the company and updation of foreign ownership information.
On the losing side, M&M, ICICI Bank, Sterlite, Coal India and Tata Motors have declined between 1-3%.
TCS is down by nearly 1% ahead of its results later today. As per consensus brokerage expectations, TCS’ revenues are pegged at Rs 17,575 crore translating into 6.97 per cent sequential growth. Its net profit is seen at Rs 3722 crore, up 3.48 per cent over the March 2013 quarter.
This is in contrast to the net profit de-growth posted by Infosys. The company is likely to post volume growth of 4 per cent with 1 per cent dip in realisations. Thanks to the wage hikes and visa related costs, TCS’ EBITDA margins are likely to be under pressure.
Among other shares, R S Software has surged 10% to Rs 136 after reporting 20% quarter-on-quarter (qoq) growth in its consolidated net profit at Rs 10.19 crore for the first quarter ended June 30, 2013. The small-cap IT software products maker had a profit of Rs 8.48 crore in March quarter.
Neuland Laboratories is locked in upper circuit for third day in a row, up 10% at Rs 232 on BSE with no sellers on the counter. The stock currently trading nears to its record high of Rs 243 touched in December 2004.
The market breadth in BSE remains marginally weak with 935 shares declining and 885 shares advancing.
At 11:30AM, the 30-share Sensex was up 58 points at 20,006 and the 50-share Nifty was up 18 points at 5,991.
According to Ravi Nathani, technical analyst, Nsetoday.com, “Buy on dips would be the best trading strategy to trade, with a strict stoploss of 5900 as per closing basis. Stiff resistance is expected around 6040 & 6120”.
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On the global front, Asian shares fell on Thursday, as concerns over financing available to property developers weighed on Chinese markets, although overall sentiment was supported by Federal Reserve Chairman Ben Bernanke's pledge to keep monetary policy easy for the foreseeable future.
Regional tech-related stocks were hurt by US Intel Corp's dismal annual revenue forecast and capital spending cuts, citing softer personal computer sales and weakness in China, one of its biggest markets.
Back home, the rupee weakened on Thursday after the dollar gained modestly after Federal Reserve Chairman Ben Bernanke said the central bank would be flexible about its US monetary stimulus.
The RBI lets the exchange rate be market determined but intervenes to smooth volatility and prevent disruptions to macro-economic stability, Reserve Bank of India Governor Duvvuri Subbarao said in a speech in London on Wednesday.
On the sectoral front, BSE Healthcare, Realty, TECk, Capital Goods, Consumer Durables, IT, Oil & gas and FMCG indices are up 1%. However, BSE Auto and Bankex indices are down by nearly 1%.
The main gainers on the Sensex at this hour include ONGC, BHEL, Hindalco, Bharti Airtel, Infosys and JSPL.
Hindustan Unilever (HUL) has trimmed early gains after rallying 5% to Rs 718 in early trades, extending its previous day’s 10% surge, on reports that the FTSE and MSCI indices raised their investable weightage on the stock following the completion of the cash open offer by Unilever in the company and updation of foreign ownership information.
On the losing side, M&M, ICICI Bank, Sterlite, Coal India and Tata Motors have declined between 1-3%.
TCS is down by nearly 1% ahead of its results later today. As per consensus brokerage expectations, TCS’ revenues are pegged at Rs 17,575 crore translating into 6.97 per cent sequential growth. Its net profit is seen at Rs 3722 crore, up 3.48 per cent over the March 2013 quarter.
This is in contrast to the net profit de-growth posted by Infosys. The company is likely to post volume growth of 4 per cent with 1 per cent dip in realisations. Thanks to the wage hikes and visa related costs, TCS’ EBITDA margins are likely to be under pressure.
Among other shares, R S Software has surged 10% to Rs 136 after reporting 20% quarter-on-quarter (qoq) growth in its consolidated net profit at Rs 10.19 crore for the first quarter ended June 30, 2013. The small-cap IT software products maker had a profit of Rs 8.48 crore in March quarter.
Neuland Laboratories is locked in upper circuit for third day in a row, up 10% at Rs 232 on BSE with no sellers on the counter. The stock currently trading nears to its record high of Rs 243 touched in December 2004.
The market breadth in BSE remains marginally weak with 935 shares declining and 885 shares advancing.