Sensex extends losses even as global markets rise

In the broader market, the BSE Midcap fell 0.2%, while BSE Smallcap was little changed

The benchmark indices on Tuesday opened flat with negative bias even as Asian markets rose to 19-month highs as prospects of economic stimulus in the United States lifted the Wall Street to fresh record highs overnight. 

At 11:25 am, the S&P BSE Sensex was trading at 28,339, down 13 points, while the broader Nifty50 was ruling at 8,794, down 10 points. 

In the broader market, the BSE Midcap fell 0.7%, while BSE Smallcap slipped 0.3%. 

"Technically, Nifty is well placed above the 8,770 levels, which indicates strength and has a potential to test 8,840-8,870 levels in coming trading sessions. For Intraday support placed at 8770-8740 levels, as long as it sustain above the same, the bull rally is likely to continue its up trend," said brokerage Nirmal Bang in a technical note. 

Sectors and stocks

BSE Auto (down 1%) was the top sectoral loser, led by losses in Hero MotoCorp (down 2%), Bajaj Auto (down 1.5%) and Tata Motors (down 1.5%). 

Among individual stocks, HPCL shed nearly 4% to Rs 557 after the state run oil marketing company reported a 52.73% increase in its net profit to Rs 1,590 crore in the December quarter as compared to Rs 1,041 crore in the corresponding period last year. 

Among gainers, GVK Power & Infrastructure rose over 16% to hit its 52-week high of Rs 7.70 on news reports that the company has been finalised by Maharashtra's CIDCO to construct the upcoming Rs 16,000 crore Navi Mumbai International Airport, a greenfield project situated on the mainland. 

MMTC gained over 7% to Rs 67 after the state-run trading firm  reported a net profit of Rs 74 crore in the December quarter, much higher than the Rs 19.89 crore a year ago, on account of higher income. 

Earnings today 

Over 950 firms such as Sun Pharma, DLF, Jindal Steel & Power, Adani Ports, Adani Enterprises, IVRCL and SpiceJet are scheduled to report their quarterly earnings today. 

CPI falls to lowest in 2 years

The Consumer Price Index-(CPI) based inflation for the month of January 2017 plunged to 3.17%, the lowest in at least two years, primarily due to a marginal increase in food prices. The retail inflation was 3.41% in December and 5.69% in January last year.

Global markets

Asian shares inched to 19-month highs. MSCI's broadest index of Asia-Pacific shares outside Japan edged up 0.1%, trying for its fifth straight session of gains.

Japan's Nikkei eased 0.1% as it struggled with stiff chart resistance that has held since mid-December.

Stocks in Shanghai were barely changed, but Australia managed a 0.4% gain.

Wall Street indexes had hit historic peaks on Monday, with the benchmark S&P 500's market value topping $20 trillion as investors bet tax cuts promised by President Donald Trump would boost the economy.

(With inputs from Reuters)