Market extends losses

Key benchmark indices extended losses in morning trade. At 10:15 IST, the barometer index, the S&P BSE Sensex was down 53.52 points or 0.19% at 27,997.36. The Nifty 50 index was currently down 17.50 points or 0.2% at 8,660.40. The Sensex was currently trading below the psychologically important 28,000 level after falling below that level in early trade.

The Sensex lost 73.11 points or 0.26% at the day's low of 27,977.77 in morning trade. The barometer index rose 80.19 points or 0.28% at the day's high of 28,131.07 in early trade, its highest level since 10 October 2016. The Nifty lost 20.45 points or 0.23% at the day's low of 8,657.45 in morning trade. The index rose 20.85 points or 0.24% at the day's high of 8,698.75 in early trade, its highest level since 10 October 2016.

In overseas stock markets, Asian stocks edged higher tracking overnight gains in US stock markets. In mainland China, the Shanghai Composite was currently up 0.12%. In Hong Kong, the Hang Seng was currently down 0.12%. Latest data showed that China's gross domestic product (GDP) rose 6.7% in the third quarter from a year earlier. Another data showed that China's industrial output increased 6.1% in September 2016, from a year earlier. US stocks registered modest gains yesterday, 18 October 2016, helped by stronger-than-expected quarterly reports and after mixed inflation data.

Meanwhile, reports suggested that a four-tier structure for Goods and Services Tax (GST) comprising a lower rate of 6%, two standard rates of 12% and 18%, and a higher rate of 26% with an additional cess for luxury and demerit goods were proposed in the third meeting of GST Council held yesterday, 18 October 2016. The higher rate for services under the indirect tax regime is proposed to be 18%, while essential services such as transportation are proposed to be taxed at 6% or 12%, as per reports.

Closer home, the market breadth indicating overall health of the market was strong. On BSE, 1,328 shares rose and 707 shares declined. A total of 104 shares were unchanged. The BSE Mid-Cap index was currently down 0.05%. The decline in this index was lower than Sensex's decline in percentage terms. The BSE Small-Cap index was currently up 0.47%, outperforming the Sensex.

Cement stocks edged higher. UltraTech Cement (up 0.37%), Ambuja Cements (up 0.34%) and ACC (up 0.15%) rose.

Grasim Industries was up 0.57%. Grasim has exposure to cement sector through its holding in UltraTech Cement.

IT stocks were mixed. TCS (down 1.04%), Tech Mahindra (down 0.89%) and HCL Technologies (down 0.75%) edged lower. Wipro (up 1.76%), Oracle Financial Services Software (up 0.46%) and Infosys (up 0.18%) edged higher.

Sterling Tools jumped 10.56% at Rs 973 after the company scheduled a board meeting on 5 November 2016, to consider stock-split proposal.

Powered by Capital Market - Live News