Key equity benchmarks reversed gains and hit an intraday low in afternoon trade. At 13:30 IST, the barometer index, the S&P BSE Sensex was down 57 points or 0.15% at 38,449.09. The Nifty 50 index was down 3.95 points or 0.03% at 11,424.35.
The S&P BSE Mid-Cap index was down 0.28%. The S&P BSE Small-Cap index rose 0.16%.
The market breadth was positive. On the BSE, shares 1,168 rose and 987 shares fell. A total of 182 shares were unchanged.
On the macro front, India's trade deficit narrowed 27.4% to seven month low of $10.86 billion in September 2019 from $14.95 billion in September 2018. Oil imports declined 18.3% to $8.98 billion, while the non-oil imports dipped 12.3% to $27.91 billion in September 2019 over September 2018. The share of oil imports in total imports was 24.3% in September 2019, compared with 25.7% in September 2018.
The International Monetary Fund (IMF) has reduced India's growth forecast for FY20 by 90 basis points to 6.1%, down from the 7% estimated in July. Meanwhile, the growth forecast for FY21, which stood at 7.2% in July, was slashed by 20 bps to 7%. The downward revision in India's growth forecast by the IMF reflects a weaker-than-expected outlook for domestic demand. Monetary policy easing and the recent corporate tax rate cuts are to support growth with a lag, the IMF said. Government programs to support rural consumption will also aid growth, it added.
Bajaj Auto was up by 0.98% after the two-wheeler company launched a Bajaj Chetak Chick, which is the first ever all-electric scooter of the company and would be sold under its Urbanite brand that will solely sell electric vehicles (EVs).
Zee Entertainment Enterprises (up 5.29%), BPCL (up 5.12%) and Grasim Industries (up 3.43%) advanced.
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Hindalco Industries (down 2.70%), Hero MotoCorp (down 2.33%) and Vedanta (down 2.08%) declined.
IT major Wipro advanced 2.22%. The company's consolidated net profit rose 6.91% to Rs 2,552.70 crore on a 1.98% rise in total income to Rs 15,875.40 crore in Q2 September 2019 compared with Q1 June 2019. The result was announced after trading hours yesterday, 15 October 2019.
ONGC gained 0.18%. ONGC Videsh, a wholly-owned subsidiary of ONGC, has recorded discoveries of oil in its onshore exploration block CPO-5, Colombia in the Llanos basin and major gas in the deep offshore exploration block BM-SEAL4, Brazil in the Sergipe Alagoas Basin. The announcement was made after trading hours yesterday, 15 October 2019.
Ultratech Cement rose 1.40%. The company, on 16 October 2019, announced that it has allotted 1.39 crore equity shares to the shareholders of the firm in the ratio of 1:8 for every share held (face value, Rs 10) in Ultratech Cement as on the record date on 14 October 2019.
Overseas, European stocks edged lower Wednesday as investors looked for cues on the likelihood of an imminent Brexit deal between the U.K. and the EU.
Asian shares traded higher. South Korea's central bank cut its interest rate for the second time in three months on Wednesday, following its first cut in July.
US stocks gained on Tuesday on strong US corporate results and a possible deal to avoid a disorderly British exit from the European Union.
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