 "Sensex drops 200 points; financials drag, TCS dips 2% ahead of Q2 nos")
Benchmark indices continued to trade lower amid weak Asian cues with financials and auto shares leading the decline.
By 10:30 am, the benchmark S&P Sensex was at 27,829 levels down 254 points while Nifty50 index fell 79 points to trade at 8,630 levels. Among broader markets, BSE Midcap and Smallcap indices are down 0.7%-0.8%.
Top losers from the Sensex pack are ICICI Bank, HDFC, Adani Ports, Tata Motors, Sun Pharma and TCS. TCS has dropped almost 2% ahead of its September quarter result today.
Sun Pharmaceutical Industries is recalling 31,762 bottles of bupropion hydrochloride extended-release tablets in America, used for treatment of major depressive disorder, due to ‘failed dissolution specifications’. The stock is down nearly 2%.
Among other shares, Gruh Finance hit a record high of Rs 370, up 4% on the BSE in intra-day trade, after the housing finance company has reported 20% year on year (YoY) rise in net profit at Rs 61.98 crore for the second quarter ended September 30, 2016 (Q2FY17).
Sunil Hitech Engineers has surged 11% to Rs 419, also its 52-week high on the BSE, in an otherwise weak market after its board approved issue of bonus shares in the ratio of 1:1.
*************************************
Updated at 9:35 am
Markets have commenced the session on a lower note mirroring weak trend among global peers with index heavyweights and rate-sensitive sectors leading the decline.
By 9:35 am, the benchmark S&P Sensex was at 27,853 levels down 229 points while Nifty50 index fell 68 points to trade at 8,640 levels. Among broader markets, BSE Midcap and Smallcap indices are down 0.6% each.
"Occurrence of 'Doji' post the pullback reaffirms the immediate movement to remain capped. The momentum indicator RSI also saw a pullback during the week & now seems resuming its movement towards the oversold zone. The overall setup reveals the upside to remain capped during the truncated week at 8,830 while the lower base could be around 8,550. Momentum traders could continue their shorts with a stop at 8,830," said Sacchitanand Uttekar, Equity Technical Analyst of Motilal Oswal Securities.
Quarterly results from blue-chips TCS and Infosys and announcement of macroeconomic data - IIP and inflation - will drive market sentiment in a holiday-shortened week, say experts.
Earnings season will commence from this week as Tata Consultancy Services is scheduled to announce its September quarter result today, and Infosys will announce its results tomorrow.
In the macro-economic front, monthly inflation data based on consumer price index (CPI) for September is due on Thursday and wholesale price index (WPI) on Friday.
Foreign portfolio investors (FPIs) sold shares worth a net Rs 547.26 crore on Monday, 10 October 2016, as per provisional data released by the stock exchanges.
GLOBAL MARKETS
Asian stocks stumbled to three-week lows and US stock futures and Treasury yields fell after China's September trade data showed a sharp decline in exports, raising fresh concerns about the health of the world's second biggest economy.
Risky assets have had a torrid start to the final quarter of 2016 after recent outperformance as concerns around the outcome of US elections, fallout from a "hard Brexit" and a struggling German banking sector spread turmoil in markets.
Early on Thursday, the mood soured after data showed Chinese imports in dollar terms were back in contractionary territory in September while exports dropped by a sharper-than-expected 10%.
The weak trade data fuelled a broader-risk off move. Some analysts said the soft data also raised concerns that China may pursue a weaker currency policy in the coming months, stoking deflationary pressures for the rest of the region at a time when corporate earnings' growth has slowed.
STOCK TRENDS & CORPORATE NEWS
Top losers from the Sensex pack are ICICI Bank, HDFC, RIL, GAIL, M&M and Tata Motors, all plunging between 1%-2%.
IndusInd Bank reported a 26% rise in net profit in the June-September quarter on the back of higher net interest income and other income. The stock has risen by 1%.
Tata Motors, India's biggest automobile company, said on Wednesday that it is desirous of offering the fifth series of its rated, listed, unsecured, redeemable, NCDs (non-convertible debentures) aggregating to Rs 500 crore. Shares of Tata Motors are down over 1.5%.
ICICI Bank has become the first Indian lender to complete a banking transaction using Blockchain technology. The stock has fallen around 2%.
HDFC announced that pursuant to the approval of the board of directors of the company at its meetings held previously, the company is contemplating, subject to market conditions, undertaking the fourth issuance of Rupee denominated bonds to overseas investors. The stock is down almost 2%.
GAIL (India) announced that it has received intimation from the Ministry of Petroleum and Natural Gas that the Cabinet Committee on Economic Affairs (CCEA) approved 40% capital grant (limited to Rs 5176 crore) of the estimated capital cost of Rs 12940 crore to GAIL (India) for execution Jagdishpur-Haldia/Bokaro-Dhamra gas pipeline (JHBDPL) project by 2020. Shares of GAIL have slipped over 1%.
Cipla was trading higher by 3% to Rs 596 after the drug maker on Wednesday said that it has received Establishment Inspection Report (EIR) from the US Food and Drug Administration (USFDA) for its Indore facility indicating formal closure of the US FDA inspection conducted in July/August, 2015.
With Reuters inputs
By 10:30 am, the benchmark S&P Sensex was at 27,829 levels down 254 points while Nifty50 index fell 79 points to trade at 8,630 levels. Among broader markets, BSE Midcap and Smallcap indices are down 0.7%-0.8%.
Top losers from the Sensex pack are ICICI Bank, HDFC, Adani Ports, Tata Motors, Sun Pharma and TCS. TCS has dropped almost 2% ahead of its September quarter result today.
Sun Pharmaceutical Industries is recalling 31,762 bottles of bupropion hydrochloride extended-release tablets in America, used for treatment of major depressive disorder, due to ‘failed dissolution specifications’. The stock is down nearly 2%.
Among other shares, Gruh Finance hit a record high of Rs 370, up 4% on the BSE in intra-day trade, after the housing finance company has reported 20% year on year (YoY) rise in net profit at Rs 61.98 crore for the second quarter ended September 30, 2016 (Q2FY17).
Sunil Hitech Engineers has surged 11% to Rs 419, also its 52-week high on the BSE, in an otherwise weak market after its board approved issue of bonus shares in the ratio of 1:1.
*************************************
Updated at 9:35 am
Markets have commenced the session on a lower note mirroring weak trend among global peers with index heavyweights and rate-sensitive sectors leading the decline.
By 9:35 am, the benchmark S&P Sensex was at 27,853 levels down 229 points while Nifty50 index fell 68 points to trade at 8,640 levels. Among broader markets, BSE Midcap and Smallcap indices are down 0.6% each.
"Occurrence of 'Doji' post the pullback reaffirms the immediate movement to remain capped. The momentum indicator RSI also saw a pullback during the week & now seems resuming its movement towards the oversold zone. The overall setup reveals the upside to remain capped during the truncated week at 8,830 while the lower base could be around 8,550. Momentum traders could continue their shorts with a stop at 8,830," said Sacchitanand Uttekar, Equity Technical Analyst of Motilal Oswal Securities.
Quarterly results from blue-chips TCS and Infosys and announcement of macroeconomic data - IIP and inflation - will drive market sentiment in a holiday-shortened week, say experts.
Earnings season will commence from this week as Tata Consultancy Services is scheduled to announce its September quarter result today, and Infosys will announce its results tomorrow.
In the macro-economic front, monthly inflation data based on consumer price index (CPI) for September is due on Thursday and wholesale price index (WPI) on Friday.
Foreign portfolio investors (FPIs) sold shares worth a net Rs 547.26 crore on Monday, 10 October 2016, as per provisional data released by the stock exchanges.
GLOBAL MARKETS
Asian stocks stumbled to three-week lows and US stock futures and Treasury yields fell after China's September trade data showed a sharp decline in exports, raising fresh concerns about the health of the world's second biggest economy.
Risky assets have had a torrid start to the final quarter of 2016 after recent outperformance as concerns around the outcome of US elections, fallout from a "hard Brexit" and a struggling German banking sector spread turmoil in markets.
Early on Thursday, the mood soured after data showed Chinese imports in dollar terms were back in contractionary territory in September while exports dropped by a sharper-than-expected 10%.
The weak trade data fuelled a broader-risk off move. Some analysts said the soft data also raised concerns that China may pursue a weaker currency policy in the coming months, stoking deflationary pressures for the rest of the region at a time when corporate earnings' growth has slowed.
STOCK TRENDS & CORPORATE NEWS
Top losers from the Sensex pack are ICICI Bank, HDFC, RIL, GAIL, M&M and Tata Motors, all plunging between 1%-2%.
IndusInd Bank reported a 26% rise in net profit in the June-September quarter on the back of higher net interest income and other income. The stock has risen by 1%.
Tata Motors, India's biggest automobile company, said on Wednesday that it is desirous of offering the fifth series of its rated, listed, unsecured, redeemable, NCDs (non-convertible debentures) aggregating to Rs 500 crore. Shares of Tata Motors are down over 1.5%.
ICICI Bank has become the first Indian lender to complete a banking transaction using Blockchain technology. The stock has fallen around 2%.
HDFC announced that pursuant to the approval of the board of directors of the company at its meetings held previously, the company is contemplating, subject to market conditions, undertaking the fourth issuance of Rupee denominated bonds to overseas investors. The stock is down almost 2%.
GAIL (India) announced that it has received intimation from the Ministry of Petroleum and Natural Gas that the Cabinet Committee on Economic Affairs (CCEA) approved 40% capital grant (limited to Rs 5176 crore) of the estimated capital cost of Rs 12940 crore to GAIL (India) for execution Jagdishpur-Haldia/Bokaro-Dhamra gas pipeline (JHBDPL) project by 2020. Shares of GAIL have slipped over 1%.
Cipla was trading higher by 3% to Rs 596 after the drug maker on Wednesday said that it has received Establishment Inspection Report (EIR) from the US Food and Drug Administration (USFDA) for its Indore facility indicating formal closure of the US FDA inspection conducted in July/August, 2015.
With Reuters inputs