The stock market closed the lackluster trading session with modest losses. The barometer index, the S&P BSE Sensex fell 113.23 points or 0.33% at 34,082.71, as per the provisional closing data. The Nifty 50 index declined 21.55 points or 0.21% at 10,476.70, as per the provisional closing data. Market opened with modest to strong gains on bargain hunting after a recent slide but failed to hold-on to the gains as the day's session progressed. Mixed Asian stocks also failed to boost investors' risk appetite as domestic indices struggled for direction.
Among key developments, the Reserve Bank of India (RBI), at the conclusion of its two-day Monetary Policy Committee (MPC) meeting today, 7 February 2018, left the policy repo rate under the liquidity adjustment facility (LAF) unchanged at 6%, on the expected lines. Consequently, the reverse repo rate under the LAF remains at 5.75%, and the marginal standing facility (MSF) rate and the Bank Rate at 6.25%.
The decision of the MPC is consistent with the neutral stance of monetary policy in consonance with the objective of achieving the medium-term target for consumer price index (CPI) inflation of 4% within a band of +/- 2%, while supporting growth.
Back to market, key indices opened the session on a positive note on higher global stocks after witnessing a slide in the previous six trading sessions. Indices trimmed intraday gains in mid-morning trade. Indices slipped into the negative zone in early afternoon trade. Key indices bounced back from in early afternoon trade and later languished near the flat line till late trade. A bout of volatility was witnessed as indices extended intraday losses toward the close of the session.
Among secondary indices, the S&P BSE Mid-Cap index provisionally rose 0.43%. The S&P BSE Small-Cap index provisionally advanced 1.95%. Both these indices outperformed the Sensex.
The broad market depicted strength. There were more than two gainers against every loser on the BSE. 1,974 shares advanced and 795 shares declined. A total of 99 shares were unchanged.
Also Read
The total turnover on BSE amounted to Rs 4382.22 crore, compared with the turnover of Rs 5349.37 crore registered during the previous trading session.
Realty stocks advanced. Godrej Properties (up 3.21%), Unitech (up 4.1%), Sobha (up 1.42%), Oberoi Realty (up 2.28%), HDIL (up 1.88%), Indiabulls Real Estate (up 1.76%) and Prestige Estates Projects (up 0.26%) gained. D B Realty (down 4.98%) and DLF (down 0.33%) edged lower.
Cipla rose 0.73% after consolidated net profit rose 4.81% to Rs 403.45 crore on 7.3% growth in total income from operations to Rs 3913.82 crore in Q3 December 2017 over Q3 December 2016. The result was announced during market hours today, 7 February 2018.
Umang Vohra, MD and Global CEO, Cipla, said that this has been one of company's better quarters. Key performance metrics look healthy and are inline with the internal targets company set for itself. The company is stepping up investments in R&D which has resulted in approvals for differentiated products in the US.
Eicher Motors advanced 1.24% after consolidated net profit rose 24.46% to Rs 520.50 crore on 9.53% growth in total revenue from operations to Rs 2269.01 crore in Q3 December 2017 over Q3 December 2016. The result was announced during market hours today, 7 February 2018.
Hero MotoCorp advanced 0.77% after net profit rose 4.3% to Rs 805.43 crore on 14.8% growth in net sales to Rs 7305.49 crore in Q3 December 2017 over Q3 December 2016. The result was announced after market hours yesterday, 6 February 2018.
Hero MotoCorp's chairman, managing director and chief executive officer, Pawan Munjal, said that the company grew on all key performance parameters including revenue, PAT and earnings before interest, taxes, depreciation and amortization (EBITDA) during the quarter, bucking the severe headwinds on the commodities front. With an enhanced focus on the premium segment and scooters, the company is confident of carrying the growth momentum forward, Munjal added.
India's stock market fell for the seventh straight trading session today, 7 February 2018, weighed down by a combination of domestic and global factors.
The introduction of the long term capital gains (LTCG) tax on equities exceeding Rs 1 lakh at 10% in the Budget 2018, worries of higher retail inflation and subsequent hike in interest rates by the central bank going forward amid slipping fiscal targets, increase in minimum support prices (MSPs) for agriculture crops, rising global crude oil and commodity prices coupled with the concerns of inflation going northwards in the advanced economies like US, especially after a stronger-than-expected jobs report from US for the month of January, whacked investors' sentiment across the globe.
Overseas, European stocks edged higher after recent global markets turmoil. Asian stocks closed mixed. US stocks closed higher yesterday, 6 February 2018, albeit with wild swings witnessed in the day's trading, after two huge sell-offs in a row. The wild moves were attributed to a combination of factors like interest-rate fears, computer-driven trading and the obscure volatility funds that use leverage.
Powered by Capital Market - Live News
Disclaimer: No Business Standard Journalist was involved in creation of this content