 "Sensex records worst monthly fall since November 2011; Q1 GDP eyed")
Benchmark share indices ended lower with the Sensex recording its worst monthly since November 2011, amid weak global cues, as investors booked profits in index heavyweights while the weak rupee also weighed on market sentiment.
The 30-share Sensex ended down 109 points at 29,283 and the 50-share Nifty closed 31 points lower at 7,971. For August, the S&P BSE Sensex recorded its worst monthly fall an over three-and-half years amid worries over slowdown in Chinese economy and prospects of a rate hike by the US Fed. The S&P BSE Sensex shed 6.5%, its sharpest monthly fall since November 2011 when the benchmark had declined 8.9% in a single month. In May 2012, the benchmark index had dropped 6.4%.
In the broader markets, the BSE Mid-cap index and Small-cap index ended down 0.2% each. Market breadth ended weak with 1,490 losers and 1,169 gainers on the BSE.
The Indian rupee continued to trade weak against the US dollar down 23 paise at 66.38 compared to its Friday close amid demand for the US currency from importers while weakness in domestic equities also weighed on sentiment.
Meanwhile, the government will release GDP data for the first quarter ended June 30, 2015 later today.
Further, foreign institutional investors turned buyers after net equity purchases of Rs 56 crore on Friday, as per provisional stock exchange data.
GLOBAL MARKETS
Weakness was seen across Asian and Europe as investors shunned riskier assets because of slowing growth in China and expectations of a rate hike by the US Fed.
Major Asian stock markets ended lower with the Nikkei ended down 1.3% while Shanghai Composite ended 0.8% lower and Straits Times eased 0.75%. However, Hong Kong's benchmark index Hang Seng eded up 0.3%.
European shares were trading lower with shares in France and Germany trading over 1% lower while FTSE-100 was trading 0.9% higher.
SECTORS & STOCKS
Among the index heavyweights, Reliance Industries and Infosys were down over 1.2% each.
Select financials also witnessed profit taking after gains in the previous session. ICICI Bank, HDFC Bank and HDFC were down 0.5-1% each.
Bharti Airtel was down 2.5% while Idea Cellular is marginally up. Both the telecom majors have hiked charges for their post-paid users by around 20% in various circles including the national capital.
Export-led pharma majors were among the top gainers on expectations that the weakness in the rupee would help boost revenues. Lupin, Sun Pharma, Dr Reddy's Labs and Cipla were up 1-2% each.
ONGC was up 0.7%. Reports suggest that the state-owned oil explorer and its partners plans to invest about $24 billion in producing natural gas from a giant field off Mozambique and converting it into liquefied natural gas (LNG) for export to consumers like India. Among other stocks, GAIL was up 3%.
Among other shares, IDBI Bank gained 3.5% after the board approved foreign currency borrowing limit upto $7.5 billion including borrowing under IDBI Bank's $5 billion MTN Programme listed on the Singapore Stock Exchange.
Punj Lloyd ended up 6% after the company said it has received a turnkey contract for the EPCC package 2 at Haldia refinery worth Rs 1,094 crore from Indian Oil Corporation.
Godrej Consumer Products ended up 2.8% after RBI approve hike in FII investment limit in the company to 40% from 35% earlier.
Bharti Infratel surged 8% after Compassvale Investments Pte Ltd, an arm of Temasek, sold shares of the telecom tower company, worth Rs 660 crore, through the open market.
Gillette India surged 3% after the company reported nearly two-fold jump in operating profit at Rs 52.72 crore for the fourth quarter ended June 30, 2015 (Q4). The personal products maker had posted operating profit of Rs 26.92 crore in a year-ago quarter.
The 30-share Sensex ended down 109 points at 29,283 and the 50-share Nifty closed 31 points lower at 7,971. For August, the S&P BSE Sensex recorded its worst monthly fall an over three-and-half years amid worries over slowdown in Chinese economy and prospects of a rate hike by the US Fed. The S&P BSE Sensex shed 6.5%, its sharpest monthly fall since November 2011 when the benchmark had declined 8.9% in a single month. In May 2012, the benchmark index had dropped 6.4%.
In the broader markets, the BSE Mid-cap index and Small-cap index ended down 0.2% each. Market breadth ended weak with 1,490 losers and 1,169 gainers on the BSE.
More From This Section
"Markets are getting volatile on concerns that are going on globally and global stocks continue to remain weak. There are no near term catalysts for the markets to go either way and traders are unwilling to extend their positions in light of volatility," said Vaibhav Sanghavi, Managing Director, Ambit Investment Advisors.
The Indian rupee continued to trade weak against the US dollar down 23 paise at 66.38 compared to its Friday close amid demand for the US currency from importers while weakness in domestic equities also weighed on sentiment.
Meanwhile, the government will release GDP data for the first quarter ended June 30, 2015 later today.
Further, foreign institutional investors turned buyers after net equity purchases of Rs 56 crore on Friday, as per provisional stock exchange data.
GLOBAL MARKETS
Weakness was seen across Asian and Europe as investors shunned riskier assets because of slowing growth in China and expectations of a rate hike by the US Fed.
Major Asian stock markets ended lower with the Nikkei ended down 1.3% while Shanghai Composite ended 0.8% lower and Straits Times eased 0.75%. However, Hong Kong's benchmark index Hang Seng eded up 0.3%.
European shares were trading lower with shares in France and Germany trading over 1% lower while FTSE-100 was trading 0.9% higher.
SECTORS & STOCKS
Among the index heavyweights, Reliance Industries and Infosys were down over 1.2% each.
Select financials also witnessed profit taking after gains in the previous session. ICICI Bank, HDFC Bank and HDFC were down 0.5-1% each.
Bharti Airtel was down 2.5% while Idea Cellular is marginally up. Both the telecom majors have hiked charges for their post-paid users by around 20% in various circles including the national capital.
Export-led pharma majors were among the top gainers on expectations that the weakness in the rupee would help boost revenues. Lupin, Sun Pharma, Dr Reddy's Labs and Cipla were up 1-2% each.
ONGC was up 0.7%. Reports suggest that the state-owned oil explorer and its partners plans to invest about $24 billion in producing natural gas from a giant field off Mozambique and converting it into liquefied natural gas (LNG) for export to consumers like India. Among other stocks, GAIL was up 3%.
Among other shares, IDBI Bank gained 3.5% after the board approved foreign currency borrowing limit upto $7.5 billion including borrowing under IDBI Bank's $5 billion MTN Programme listed on the Singapore Stock Exchange.
Punj Lloyd ended up 6% after the company said it has received a turnkey contract for the EPCC package 2 at Haldia refinery worth Rs 1,094 crore from Indian Oil Corporation.
Godrej Consumer Products ended up 2.8% after RBI approve hike in FII investment limit in the company to 40% from 35% earlier.
Bharti Infratel surged 8% after Compassvale Investments Pte Ltd, an arm of Temasek, sold shares of the telecom tower company, worth Rs 660 crore, through the open market.
Gillette India surged 3% after the company reported nearly two-fold jump in operating profit at Rs 52.72 crore for the fourth quarter ended June 30, 2015 (Q4). The personal products maker had posted operating profit of Rs 26.92 crore in a year-ago quarter.