 "Markets turn weak after double digit inflation in Feb")
Markets have erased early gains and have slipped into negative after higher than expected retail inflation numbers dashed hopes that the RBI would pause interest rate hikes.
Retail inflation moved up for the fifth consecutive month to 10.91% in February -- remaining in the double-digit terrain for third month in a row -- on account of higher prices of vegetables, edible oil, cereals and protein-based items.
It was 10.79% in January. The inflation crossed doubled digit mark in December at 10.56%, against 9.90% in November.
By 1200, Sensex plunged by 65 points at 19,584, and the Nifty down 27 points at 5,916 levels.
Meanwhile, Industrial production (IIP), which includes output at factories, mines and utilities, rose an annual 2.4% in January after unexpectedly falling 0.6% in December. It was 1% in the same month of last year.
On the sectoral front, BSE Consumer Durable index has plunged by nearly 2% followed by counters like Banks, IT, Power and Realty, all declining by nearly 1% each. Apart from FMCG, all the major BSE sectoiral indices are trading in red zone.
The main losers on the Sensex at this hour include Bharti Airtel, Bajaj Auto, Hero Moto, TCS, Tata Steel, Maruti Suzuki and HDFC Bank, all falling between 1-2%.
Meanwhile, BSE Midcap index has plunged by 0.42% whereas BSE Smallcap index is down 0.24%.
The market breadth in BSE remains unhealthy with 1,385 shares declining and 1,058 shares advancing.
Retail inflation moved up for the fifth consecutive month to 10.91% in February -- remaining in the double-digit terrain for third month in a row -- on account of higher prices of vegetables, edible oil, cereals and protein-based items.
It was 10.79% in January. The inflation crossed doubled digit mark in December at 10.56%, against 9.90% in November.
More From This Section
The food and beverages prices grew by 13.73% in January when fuel and light grew by 8.67% and clothing, bedding and footwear prices grew by 10.91%. The rate of increase in the prices of vegetables was as high as 21.29%. The prices of cereals and products went up by 17.04%.
By 1200, Sensex plunged by 65 points at 19,584, and the Nifty down 27 points at 5,916 levels.
Meanwhile, Industrial production (IIP), which includes output at factories, mines and utilities, rose an annual 2.4% in January after unexpectedly falling 0.6% in December. It was 1% in the same month of last year.
On the sectoral front, BSE Consumer Durable index has plunged by nearly 2% followed by counters like Banks, IT, Power and Realty, all declining by nearly 1% each. Apart from FMCG, all the major BSE sectoiral indices are trading in red zone.
The main losers on the Sensex at this hour include Bharti Airtel, Bajaj Auto, Hero Moto, TCS, Tata Steel, Maruti Suzuki and HDFC Bank, all falling between 1-2%.
Meanwhile, BSE Midcap index has plunged by 0.42% whereas BSE Smallcap index is down 0.24%.
The market breadth in BSE remains unhealthy with 1,385 shares declining and 1,058 shares advancing.