Sensex slips over 300 points; metal & realty shares drop

Broader markets down over 2.5% each, in line with largecaps

The markets continue to languish in red on the account of heavy Profit booking with Hindalco being the biggest loser. The 30-share Sensex is down 384 points and  the 50-share Nifty was down 116 points  at 25,194 and 7,534  level, respectively.

 

The broader markets have also declined in tandem with their Largecap counterparts. BSE Mid-cap and BSE Small-cap lost 2.8% and 3.4%, respectively.

 

Asian Markets:
 

Asian stocks gained in the late noon trades after opening in red amid concerns about violence in Iraq and caution before key Chinese data.  Japan’s Nikkie rose 0.8% on Jiji news agency reports that Prime Minister Shinzo Abe will  announce the policy regarding a cut in the corporate tax rate later during the day. Following the tandem, Straits Times Index is up 0.01%, Hong Kong'Hang Seng Index surged 0.6% and Shanghai Composite Index gained 0.9%

 

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The rupee is currently trading at 59.5 against the US dollar tracking weak global cues following tensions in Iraq and downbeat U.S. economic data.

 

Sectors & Stocks:

IT stocks declined on negative economic data in US since US is the biggest outsourcing market for the Indian IT firms.  TCS and Wipro were down 0.7%. In contrast, Infosys, surged 5% to Rs 3,215 on Wednesday, is continuing its momentum and is up 0.1%

 

Metal shares such as Hindalco which gained 2.34% to Rs 166.40 after the company's US subsidiary Novelis successfully cast the first production-sized ingot at its 200 million Euro aluminium recycling and casting center in Nachterstedt, Germany, is the biggest loser of this hour and has lost 5.5%. Among the lot, Tata Steel, Sesa sterlite and Coal India have shed 0.4%-3.9%, each

 

The Pharma stocks are experiencing an upsurge due to strong performance, increase in free cash flows, bright outlook, particularly in the US market with Sun Pharma  and Dr Reddy’s Lab gaining 0.5% and 0.3%, respectively

 

Following the formation of a stable government at the Centre, and strong IIP data, the Auto stocks which gained massively have plunged during the late noon trades on the account of heavy profit booking with Tata Motors, Baja Auto and Maruti Suzuki down 0.05%-1.5%, each. In contrast, its peer Hero Motocorp and M&M are up 0.6% and 0.3% each

 

Financial stocks such as ICICI Bank, Axis Bank and HDFC have lost 1.4%-2.3%, each. On the other hand, HDFC bank has gained 0.07%

 

Crude oil hovered near nine-month highs early on Friday as escalating civil war in Iraq hit risk appetite. As a result of which oil and gas stocks such as ONGC,GAIL and Reliance have lost 1.6%-2.6%, each

 

Among Capital Good stocks, BHEL and Larson have lost 3% and 2%, respectively on the account of profit booking
 

Amid unpredictable monsoons, FMCG sector is facing trouble with HUL and ITC down 0.5% and 0.03%

 

Among other shares, DF Foods has soared 8% to Rs 64, extending its previous day’s 12% rally, after the company said its promoters have increased their stake in the company by more than 4 percentage points through open market transaction.

 

City Union Bank has rallied 9% to Rs 78.95, hitting its record high, after a huge block deal executed in the counter on the Bombay Stock Exchange (BSE).