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Nifty trades below 11,900 mark; auto shares tumble

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Capital Market
Last Updated : Jun 12 2019 | 3:50 PM IST

The market hovered in narrow range near day's low in early afternoon trade. At 12:25 IST, the barometer index, the S&P BSE Sensex, was down 262.29 points or 0.66% at 39,688.17. The Nifty 50 index was down 77.15 points or 0.64% at 11,888.45.

Negative global cues triggered profit booking in domestic shares after three straight days of gains. Washington's rigid stance on the trade talks with China dragged global shares lower.

Among secondary barometers, the BSE Mid-Cap index was down 0.58%. The BSE Small-Cap index was down 0.34%.

The market breadth, indicating the overall health of the market, was negative. On BSE, 912 shares rose and 1276 shares fell. A total of 147 shares were unchanged.

Realty stocks were mixed. Indiabulls Real Estate (down 2.86%), DLF (down 1.85%), Prestige Estates Projects (down 1.66%), Brigade Enterprises (down 0.86%), Godrej Properties (down 0.69%) and Phoenix Mills (down 0.55%) declined. While, Sobha (up 1.41%), Mahindra Lifepace Developers (up 0.56%) and Oberoi Realty (up 0.5%), increased.

Auto shares tumbled amid slump in domestic automobile sales. TVS Motor Company (down 1.81%), Bajaj Auto (down 1.74%), Hero MotoCorp (down 1.62%), Escorts (down 1.02%), Mahindra & Mahindra (down 0.81%), Ashok Leyland (down 0.71%), Eicher Motors (down 0.39%) and Tata Motors (down 0.06%), edged lower.

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Maruti Suzuki India was down 1.12% after foreign brokerage reportedly maintained hold rating on the car major, but slashed price target to Rs 6,325 from Rs 6,450 earlier.

Eros International Media hit a lower circuit of 10% at Rs 33.25, extending recent slump. Moody's Investors Service downgraded the corporate family ratings to B2 from B1. It also changed the outlook to negative from stable.

In derivatives market on the NSE, the Nifty June 2019 futures was at 11901.35, a premium of 20.40 points compared with the Nifty's value in the spot market.

The NSE's India VIX, a gauge of market's expectation of volatility over the near term, was down 1.06% to settle at 14.33.

On the options front, maximum call open interest (OI) for 27 June 2019 expiry stood at 12500 strike price with 22.19 lakh contracts. Maximum put OI for the expiry was seen at 11500 strike price with 34 lakh contracts.

All eyes will be on consumer inflation (CPI) numbers for May and industrial production (IIP) numbers for April which will release today, 12 June 2019.

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First Published: Jun 12 2019 | 12:24 PM IST

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