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Market edges lower in early trade

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Capital Market
Last Updated : Apr 11 2015 | 12:01 AM IST

Key benchmark indices slipped into the red after opening slightly higher. The losses were small on the bourses. The barometer index, the S&P BSE Sensex was currently off 49.70 points or 0.17% at 28,835.51. The market breadth indicating the overall health of the market was positive. Realty stocks gained.

IndusInd Bank rose after the bank said it has entered into an agreement to acquire Royal Bank of Scotland's Diamond & Jewellery Financing business in India and related deposit portfolio.

Foreign portfolio investors (FPIs) bought shares worth a net Rs 193.81 crore yesterday, 9 April 2015, as per provisional data. Domestic institutional investors (DIIs) bought shares worth a net Rs 492.79 crore yesterday, 9 April 2015, as per provisional data.

In overseas markets, Asian markets rose after news that Greece had made a 450 million euro loan payment to the International Monetary Fund trimmed safety bids for US government debt.

At 9:32 IST, the S&P BSE Sensex was down 49.70 points or 0.17% at 28,835.51. The index gained 6.20 points at the day's high of 28,891.41 in early trade. The index fell 64.31 points at the day's low of 28,820.90 in early trade.

The CNX Nifty was down 14.35 points or 0.16% at 8,763.95. The index hit a low of 8,758.40 in intraday trade. The index hit a high of 8,778.30 in intraday trade.

The BSE Mid-Cap index was up 28.45 points or 0.26% at 11,078.70. The BSE Small-Cap index was up 17.23 points or 0.15% at 11,734.71. Both these indices outperformed the Sensex.

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The market breadth indicating the overall health of the market was positive. On BSE, 767 shares gained and 553 shares fell. A total of 44 shares were unchanged.

Cipla (down 1.49%), Hindalco Industries (down 1.39%) and HDFC (down 0.89%) edged lower from the Sensex pack.

IndusInd Bank rose 0.56% after the bank said during market hours it has entered into an agreement to acquire Royal Bank of Scotland's Diamond & Jewellery Financing business in India and related deposit portfolio. The bank simultaneously entered into partnership agreement with ABN AMRO Bank N.V. for cooperation in Diamond & Jewellery Financing.

The government will unveil industrial production data for February 2015 today, 10 April 2015.

Paris-based think tank Organisation for Economic Cooperation and Development (OECD), said yesterday, 9 April 2015, India's economic expansion continues to firm up even as growth is easing in the neighbouring China. The projection comes on a day when the country's credit rating outlook has been upgraded to 'positive' by global ratings agency Moody's.

The think tank's assessment is based on its Composite Leading Indicators (CLIs) that are designed to anticipate turning points in economic activity relative to trend.

In overseas markets, Asian markets rose today, 10 April 2015, after news that Greece had made a 450 million euro loan payment to the International Monetary Fund trimmed safety bids for US government debt. Key indices in China, South Korea, Taiwan, Singapore, and Hong Kong rose by 0.18% to 1.4%. Japan's Nikkei Average fell 0.09%. Indonesia's Jakarta Composite was flat.

The payment to the IMF secured extra emergency lending for Greek banks and helped improve global risk sentiment, though it remained unclear whether Athens could satisfy creditors who remain sceptical on the country's economic reforms.

China's consumer inflation stayed flat at 1.4% in March, while producer prices fell slightly less than projected, official data showed today, 10 April 2015, keeping pressure on profit margins at Chinese companies as Beijing struggles to stimulate growth. The producer price index (PPI) declined 4.6%, the National Bureau of Statistics (NBS) said today, 10 April 2015, extending a long-running factory deflation cycle that began in March 2012 to three years.

US stocks rose yesterday, 9 April 2015, helped by a rally in energy and health-care sectors.

On economic front, the US Labor Department said workers filing for first-time jobless benefits totalled 281,000 last week, fewer than what had forecast, and bringing the four-week average of claims to its lowest since 2000.

Meanwhile, Christine Lagarde, the managing director of the International Monetary Fund (IMF), warned yesterday, 9 April 2015, mediocre economic growth could become the "new reality," leaving millions stuck without jobs and increasing the risks to global financial stability. She had first warned in October the global economy could be stuck on a "new mediocre" growth path with high debt and unemployment, unless policymakers act.

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First Published: Apr 10 2015 | 9:25 AM IST

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