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Select NBFCs gain after applying for banking license

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Capital Market
Last Updated : Jul 02 2013 | 1:35 PM IST

Key benchmark indices hovered in red amid lackluster trade during early afternoon. The S&P BSE Sensex was down 26.38 points or 0.13%, off 38.13 points from the day's high and up 51.80 points from the day's low. The market breadth, indicating the overall health of the market, was negative. Shares of some non-banking finance companies (NBFCs) which have applied for banking license were in demand.

Key benchmark indices edged lower amid initial volatility as most Asian stocks were in red. The market moved in a narrow range in morning trade. A bout of volatility was witnessed as key benchmark indices cut losses after sliding to fresh intraday low in mid-morning trade. Key benchmark indices hovered in red amid lackluster trade during early afternoon

At 12:20 IST, the S&P BSE Sensex was down 26.38 points or 0.13% to 19,551.01. The index rose 11.75 points at the day's high of 19,589.14 in morning trade. The index lost 78.18 points at the day's low of 19,499.21 in mid-morning trade.

The CNX Nifty was down 12.50 points or 0.21% to 5,886.35. The index hit a high of 5,898.80 in intraday trade. The index hit a low of 5,869.35 in intraday trade.

The market breadth, indicating the overall health of the market, was negative. On BSE, 1,059 shares declined and 997 shares gained. A total of 132 shares were unchanged.

The total turnover on BSE amounted to Rs 836 crore by 12:20 IST compared to Rs 631 crore by 11:20 IST.

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Among the 30-share Sensex pack, 19 stocks declined and rest of them gained. Tata Power Company (down 1.53%), Tata Motors (down 1.48%) and SBI (down 1.02%) edged lower from the Sensex pack.

GAIL (India) (up 2.54%), Bhel (up 2.01%) and Sun Pharmaceutical Industries (up 1.18%) edged higher from the Sensex pack.

Coal India fell 2.22%. The company during market hours today said its coal production provisionally rose 0.4% to 102.87 million tonnes during April to June 2013 over the corresponding previous year period. Coal offtake rose 2% to 115.25 million tonnes.

MMTC was locked at 5% lower circuit at Rs 92.90, also its 52-week low, with the stock extending recent steep slide triggered by government concluding the divestment of 9.33% stake in the firm at a huge discount to the stock's ruling market price. On 13 June 2013, the Government of India (GoI) sold 9.33% stake in MMTC via Offer for Sale (OFS) through stock exchanges mechanism at an indicative price of Rs 60.86 per share, at a discount of 71.21% to the closing price of the stock of Rs 211.45 on 12 June 2013.

Shares of diamond jewellery maker Gitanjali Gems were locked at 5% lower circuit at Rs 213.50, also its 52-week low. The stock has witnessed a steep slide recently.

Future Retail surged 9.82% to Rs 103.45. The stock rose on high volume of 26.06 lakh shares on BSE.

Select non-banking finance companies (NBFCs) which have applied for banking licence were in demand. The Reserve Bank of India (RBI) said it has received 26 applications for new banking licences until Monday, 1 July 2013 the deadline for making a pitch.

Aditya Birla Nuvo (up 1.82%), Bajaj Finserv (up 2.04%), LIC Housing Finance (up 0.16%), Tourism Finance Corporation of India (up 2.74%), Magma Fincorp (up 2.35%), and IDFC (up 2.54%) gained.

Asian stocks were mostly lower on Tuesday, 2 July 2013, as anemic manufacturing data from China raised growth fears. Key benchmark indices in Hong Kong, Indonesia, Taiwan and South Korea were down 0.04% to 0.71%. Key benchmark indices in China, Singapore and Japan were up 0.06% to 1.78%.

The Reserve Bank of Australia (RBA) held interest rates steady at a record-low 2.75% Tuesday. The RBA last cut the cash rate on May 7 by a quarter-percentage point, while having kept the rate steady at the last meeting on June 4.

Trading in US index futures indicated that the Dow could gain 53 points at the opening bell on Tuesday, 2 July 2013. US stocks edged higher on Monday, 1 July 2013, after the Institute for Supply Management reported an increase in its US manufacturing index. The Institute for Supply Management reported its manufacturing index in the United States rose to 50.9% in June from 49% in May. Readings over 50% indicate expansion.

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First Published: Jul 02 2013 | 12:35 PM IST

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