Key indices continued to trade with weakness near the day's low in mid-morning trade. At 11:15 IST, the barometer index, the S&P BSE Sensex, was down 396.22 points or 1.16% at 33,637.74. The Nifty 50 index was down 123.20 points or 1.2% at 10,101.55. Metal and mining stocks fell as copper prices declined in global commodity markets. Realty stocks dropped. Negative Asian stocks impacted sentiment on the domestic bourses.
The Sensex was currently trading below the psychological 34,000 level after sliding below that level in opening trade. Trading for the day began on a weak note as the key benchmark indices saw a gap-down opening on negative Asian stocks. Stocks extended slide in morning trade on selling pressure in index pivotals.
The S&P BSE Mid-Cap index was down 1.33%. The S&P BSE Small-Cap index was down 1.52%. Both these indices underperformed the Sensex.
The market breadth, indicating the overall health of the market, was weak. On the BSE, 521 shares rose and 1508 shares fell. A total of 95 shares were unchanged.
Trading could be volatile as traders roll over positions in the F&O segment from the near month October 2018 series to November 2018 series. The October 2018 F&O contracts expire today, 25 October 2018.
Metal and mining stocks fell as copper prices declined in global commodity markets. Vedanta (down 2.93%), JSW Steel (down 0.78%), Tata Steel (down 1.49%), Steel Authority of India (Sail) (down 1.7%), National Aluminium Company (down 1.26%), Hindustan Zinc (down 0.74%), Jindal Steel & Power (down 1.16%), Hindalco Industries (down 2.48%), NMDC (down 1.82%) and Hindustan Copper (down 1.36%) edged lower.
Copper edged lower in the global commodities market. High Grade Copper for December 2018 delivery was currently off 0.94% at $2.7315 per pound on the COMEX.
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Realty stocks dropped. DLF (down 2.39%), Housing Development and Infrastructure (down 2.84%), D B Realty (down 4.64%), Unitech (down 0.5%), Sobha (down 1.78%), Godrej Properties (down 3.35%), Prestige Estates Projects (down 1.36%) and Oberoi Realty (down 3.76%) declined.
Indiabulls Real Estate lost 4.97%. On a consolidated basis, Indiabulls Real Estate's net profit rose 20.08% to Rs 75.89 crore on 121% increase in net sales to Rs 1040.42 crore in Q2 September 2018 over Q2 September 2017. The result was announced after trading hours yesterday, 24 October 2018.
Overseas, Asian stocks declined as concerns mount that corporate profits and economic growth are peaking amid rising borrowing costs. US stocks dropped yesterday, 24 October 2018 as mixed corporate earnings and weak housing data fueled anxiety that rising prices will crimp economic growth.
China's recent stock market troubles and political drama in Europe surrounding Italy's budget row with the European Union as well as Britain's efforts to exit from the EU also have combined to hurt investor sentiment.
On the US data front, the flash reading of IHS Markit's manufacturing purchasing managers index rose to a five-month high of 55.9 in October from 55.6, while the flash services PMI rose to a two-month high of 54.7 from 53.5 in September. A reading of at least 50 indicates improving conditions.
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