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Market turns range bound

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Capital Market
Last Updated : Dec 26 2014 | 1:45 PM IST

Key benchmark indices were range bound in early afternoon trade. The S&P BSE Sensex was trading lower, while the CNX Nifty was flat. The barometer index, the S&P BSE Sensex was currently down 38.07 points or 0.14% at 27,170.54. The market breadth indicating the overall health of the market was positive. The BSE Mid-Cap index and the BSE Small-Cap index, both, outperformed the Sensex. Shares of public sector oil marketing companies fell on higher oil prices and weakening rupee. Most auto stocks declined.

Meanwhile, foreign portfolio investors (FPIs) sold shares worth a net Rs 2,808.27 crore on Wednesday, 24 December 2014, as per provisional data.

In the global market, Asian markets were mostly higher today, 26 December 2014, with some of the key bourses closed for the Christmas holidays.

In the foreign exchange market, the rupee edged lower against the dollar.

Brent crude futures held above $60 a barrel today, 26 December 2014.

At 12:18 IST, the S&P BSE Sensex was down 38.07 points or 0.14% at 27,170.54. The index jumped 162.02 points at the day's high of 27,370.63 at the onset of trading session. The index fell 110.76 points at the day's low of 27,097.85 in morning trade, its lowest level since 18 December 2014.

The CNX Nifty was flat at 8,174.25. The index hit a high of 8,234.55 in intraday trade. The index hit a low of 8,147.95 in intraday trade, its lowest level since 18 December 2014.

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The BSE Mid-Cap index was up 33.25 points or 0.33% at 10,107.77. The BSE Small-Cap index was up 19.41 points or 0.18% at 10,912.34. Both theses indices outperformed the Sensex.

The market breadth indicating the overall health of the market was positive. On BSE, 1,219 shares rose and 1,178 shares fell. A total of 116 shares were unchanged.

Most auto stocks declined. Maruti Suzuki India (down 1.23%), Tata Motors (down 0.87%), Mahindra & Mahindra (down 0.72%), Hero MotoCorp (down 0.64%), TVS Motor Company (down 0.45%), Bajaj Auto (down 0.41%) and Escorts (down 0.12%), edged lower. However, Eicher Motors (up 0.84%) and Ashok Leyland (up 0.3%), edged higher.

Shares of public sector oil marketing companies fell on higher oil prices and weakening rupee. HPCL (down 2.06%), BPCL (down 0.70%) and Indian Oil Corporation (down 0.60%), edged lower.

Increase in global crude oil prices will raise under-recoveries of PSU OMCs on domestic sale of LPG and kerosene at government controlled prices. A weak rupee also raises the cost of imports. The government has already freed pricing of petrol and diesel.

Cairn India rose 0.10% after crude oil prices edged higher today, 26 December 2014. Gains in crude oil prices would result in higher realizations from crude sales for oil exploration firms such as Cairn India.

Reliance Industries fell 0.28%. The company before market hours today, 26 December 2014 said it has signed shipping agreements with one of the world's largest and reputed shipping companies MITSUI O.S.K. Lines (MOL) for transporting liquefied ethane from North America to India. MOL will supervise the construction of six very large ethane carriers (VLECs), ordered by Reliance. MOL will also operate and manage the vessels after they are built and delivered.

In the foreign exchange market, the rupee edged lower against the dollar. The partially convertible rupee was hovering at 63.64 compared with its close of 63.5250 during the previous trading session.

Brent crude futures held above $60 a barrel today, 26 December 2014. Brent for February settlement was up 8 cents at $60.32 barrel. The contract fell $1.45 a barrel to close at $60.24 a barrel during the previous trading session.

Asian markets were mostly higher today, 26 December 2014, with some of the key bourses closed for the Christmas holidays. Key benchmark indices in Japan, China, South Korea and Taiwan were up 0.08% to 2.66%. However, Singapore's Straits Times was down 0.08%. Key benchmark indices in Hong Kong and Indonesia were closed for holiday.

Singapore's manufacturing output fell in November as most major sectors dragged and a tepid rise in the production of electronics failed to offset the decline. Output fell 2.8% on year in November, according to preliminary figures released by the government on Friday. That compared with the revised 0.2% contraction in October. Preliminary October data released last month had shown a 0.2% on year rise.

Japan's exports of cars, trucks and buses declined 11.5% on year in November for the fourth consecutive month, the Japan Automobile Manufacturers Association said Friday. Exports totaled 368,113 vehicles in November, down from 415,997 vehicles in the same month a year earlier, the association said.

Trading in US index futures indicated that the Dow could gain 31 points at the opening bell today, 26 December 2014. US markets remained shut on account of Christmas holiday on Thursday, 25 December 2014.

US stocks closed flat in a short session on Wednesday, 24 December 2014, as investors found few reasons to push major indexes to their sixth straight day of gains. The S&P 500 erased earlier gains and closed down less than a point at 2,081.88 in the Christmas holiday-shortened session, ending its five-day winning streak. But the Dow Jones Industrial Average eked out a 6-point gain to 18,030.21, closing at a record level.

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First Published: Dec 26 2014 | 12:25 PM IST

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