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Benchmarks trade with modest losses

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Capital Market
Last Updated : Sep 16 2019 | 2:50 PM IST

Barometers traded with modest loss in mid-afternoon trade. The Nifty hovered near 11,000 level. At 14:22 IST, the barometer index, the S&P BSE Sensex, was down 273.11 points or 0.73% at 37,111.88. The Nifty 50 index was down 81.25 points or 0.73% at 10,994.65.

The S&P BSE Small-Cap index was up 0.39%. The S&P BSE Mid-Cap index was down 0.35%.

The market breadth was positive. On the BSE, 1243 shares rose and 1136 shares fell. A total of 175 shares were unchanged.

On the domestic front, wholesale inflation remained at 1.08% in August, the same level as the previous month, government data showed on Monday.

Tata Power was up 0.08% at Rs 64.35. The firm announced that its subsidiary Tata Power Renewable Energy, commissioned 150 MW solar capacity in Village Chhayan, Tehsil Pokharan, Rajasthan. The sale of power from this solar plant has been tied up under a 25 year 'power purchase agreement' with Maharashtra State Electricity Distribution Company.

Tours and travel company, Thomas Cook (India) announced that it launched 'Undiscovered Antarctica' tour package in association with National Geographic Expeditions. The tour is priced at Rs 10 lakh comes with a cruise ride of 12 nights-13 days. Thomas Cook was trading 1.72% lower at Rs 148.3.

In the commodities market, Brent crude for November 2019 settlement was up $5.28 at $65.50 a barrel, following drone attack on Saudi Arabia's oil facilities forcing the kingdom to cut its oil output by half. The reported strike by 10 drones at Saudi Aramco's Abqaiq and Khurais oil facilities have disrupted more than half of Saudi Arabia's oil capacity or 5.7 million barrels per day (mbpd).

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India is heavily dependent on oil imports for satisfying its domestic demand. A high crude price directly maps into a high trade deficit and in turn a high current account deficit (CAD). At the same time, being an important input for the aggregate economy, a crude price shock also leads to a spike in domestic inflation.

Meanwhile, the yield on 10-year benchmark federal paper rose to 6.7% at 14:17 IST compared with 6.631% at close in the previous trading session.

In the foreign exchange market, the rupee edged lower against the dollar. The partially convertible rupee was hovering at 71.465, compared with its close of 70.9225 during the previous trading session.

In the commodities market, MCX Gold futures for 4 October 2019 settlement rose 1.02% at Rs 37,907.

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First Published: Sep 16 2019 | 2:25 PM IST

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