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Market slips on mixed Asian cues

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Capital Market
Last Updated : Jul 02 2018 | 9:31 AM IST

Key benchmark indices were trading lower in early trade, tracking mixed leads from Asian market. At 9:20 IST, the barometer index, the S&P BSE Sensex, was down 41.35 points or 0.12% at 35,382.13. The Nifty 50 index was down 17.30 points or 0.16% at 10,697.

Among secondary barometers,the BSE Mid-Cap index was up 0.22%. The BSE Small-Cap index was up 0.30%. Both these indices outperformed the Sensex.

The market breadth, indicating the overall health of the market, was positive. On BSE, 529 shares rose and 258 shares fell. A total of 38 shares were unchanged.

Overseas, Asian stocks were trading mixed, with trade tensions between the US and its trading partners still a key concern for investors.

China's official manufacturing Purchasing Managers' Index (PMI) declined to 51.5 for the month of June. The figure still came in above the 50-point level indicating growth.

In Japan, confidence among large manufacturers weakened for the second straight quarter in three months to June amid growing concerns about the potential impact of trade friction on the global economy. The main index measuring large manufacturers' sentiment was at plus 21 in the April-June period, compared with plus 24 in the previous survey in March, according to the Bank of Japan's quarterly tankan survey.

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US stocks closed higher Friday, 29 June 2018, led by energy and materials sectors. Financials also rose earlier after several banks announced plans to return capital to shareholders late Thursday after the Federal Reserve released results of its annual stress test. However, financials finished in the red as investors pocketed profits toward the closing bell.

On the US data front, the personal-consumption expenditures index, the Federal Reserve's preferred inflation gauge, rose 0.2% as did the core rate that strips out food and energy. The rate of inflation over the past 12 months rose to 2.3%, the fastest pace since March 2012.

Chicago PMI climbed to a reading of 64.1 in June, up from 62.7, the fastest reading since January and the highest level in six month. Any reading above 50 indicates improving conditions. The final University of Michigan consumer sentiment index for June came in at 98.2. Thursday's data showed first-quarter growth for the US economy was trimmed to 2% from 2.2%.

Back home, Maruti Suzuki India was up 0.77%. The company said that its total sales rose 36.3% to 1.44 lakh units in June 2018 over June 2017. The announcement was made on Sunday, 1 July 2018.

Mahindra & Mahindra's (M&M) was up 0.73%. The company's total auto sales rose 26% to 45,155 units in June 2018 over June 2017. The announcement was made on Sunday, 1 July 2018.

Endurance Technologies was up 2.03%. The company said that the company plans to consolidate the manufacturing operations at its Manesar plant. Towards this, the company has decided to discontinue manufacturing activities at its plant situated at Manesar with effect from 31 August 2018. The announcement was made on Saturday, 30 June 2018.

Thermax was up 1.96%. The company has concluded an order of Rs 340 crore from a leading Indian steel manufacturer for a specially designed boiler, electric turbo generators and ancillary equipment for their production facility in Maharashtra. The announcement was made after market hours on Friday, 29 June 2018.

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First Published: Jul 02 2018 | 9:21 AM IST

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