Sensex down 150 points, Nifty trades around 7,850

 

Markets continue to trade lower amid volatile trades weighed down by index heavyweights like ITC, Infosys and HDFC, all slumping by 1% each.

At 13:20 pm, the S&P BSE Sensex was down 172 points at 25,601 and the Nifty50 was down 39 points at 7,848. Broader markets are outperforming- BSE Midcap index is up 0.1% while Smallcap index is marginally down.

BHEL, SBI, Dr Reddy’s Labs, Tata Motors and Bharti are down 1.5%-2%. On the gaining side, Axis Bank, L&T, Maruti Suzuki, NTPC and Asian Paints are up 1%-2%.

Among other shares,  Future Retail was locked in lower circuit of 5% at Rs 19 on the BSE after the stock was traded ex-demerger of its retail business undertaking. On Tuesday, the stock had closed at Rs 151 on the BSE.

Greaves Cotton was trading higher by 4% to Rs 146, extending its 7% rally in the past two trading sessions on the BSE, after the company‘s EBITDA (earnings before interest, taxes, depreciation, and amortisation) margin expanded by 500 basis points to 17% in March 31, 2016 quarter (Q4FY16) from 12% in Q4FY15.

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Updated at 13:20

Markets have again turned weak as worries over the amended Mauritius tax treaty resurfaced. Losses in Index heavyweights have dragged the indices lower.

 

Meanwhile, investors brace up ahead of the key macrodata- IIP and CPI numbers due to be unveiled tomorrow.

At 13:20 pm, the S&P BSE Sensex was down 255 points at 25,518 and the Nifty50 was down 67 points at 7,821.

Top five gainers in the Sensex pack are Asian Paints, Axis Bank and Maruti Suzuki are up between 0.1%-1.3%. On the flip side, ITC, Infosys, HDFC, HDFC Bank and ICICI are trading lower between 1%-2%.

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(Updated at 11:25 pm)

Markets are trading almost flat in the late morning trades as participants remain concerned regarding the foreign fund inflows after the country decided to begin imposing capital gains taxes on investments coming from Mauritius starting next year.

Meanwhile, investors brace up ahead of the key macrodata- IIP and CPI numbers due to be unveiled tomorrow.

At 11:25 am, the S&P BSE Sensex was down 46 points at 25,727 and the Nifty50 was down 7 points at 7,881.

Top five gainers in the Sensex pack are Hindalco, Axis Bank, NTPC, Maruti Suzuki and Tata Steel up between 0.7%-3%. On the flip side, Dr Reddy’s Lab, Adani Ports, ONGC, Coal India and ITC are losing sheen and are trading lower between 1%-2%.

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(upadted at 10:30 am)
 

Benchmark share indices further trimmed losses after gains in NTPC and Zee Entertaiment helped offset most of the losses in financial. Earlier, markets had opened over 1% lower after India and Mauritius on Tuesday signed a protocol for amendment of the double taxation avoidance in which the Indian government will impose capital gains tax arising in Mauritius from sale of shares in Indian companies on or after April 1, 2017.

At 10:30am, the S&P BSE Sensex was down 79 points at 25,693 and the Nifty50 was down 18 points at 7,870. In the broader market, the BSE Midcap and Smallcap were trading with marginal gains. Market breadth was weak with 1017 losers and 826 gainers on the BSE.

NTPC was up 1.5% after the company said that consequent upon testing and commissioning, 200 MW capacity (4X50 MW) of NP Kunta Ultra Mega Solar Power Project Stage-I at Anantapuram is declared on commercial operation w.e.f. 00:00 Hrs of May 09, 2016.

Zee Entertainment was up nearly 5% after the company reported 13% year on year (YoY) jump in consolidated net profit at Rs 261 crore for the fourth quarter ended March 31, 2016 (Q4FY16), on back of double digit growth in operational revenues.

Metal shares staged a recovery after losses in the previous session. Hindalco was up 2.4% and Tata Steel edged 0.5% higher.

Maruti Suzuki, Axis Bank and Hero MotoCorp were among the other Sensex gainers.

Among other shares, Parrys Sugar Industries was locked in lower circuit of 5% at Rs 55.55 on the BSE after the board of directors of the company approved the scheme of amalgamation of Parrys Sugar Industries with EID Parry. Parrys Sugar is a listed subsidiary of EID Parry.
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(Updated at 9:30am)
Markets came off their early lows and were trading with marginal losses. India will start imposing capital gains tax on investments from Mauritius starting next year.
 
At 9:30am, the S&P BSE Sensex was down 164 points or 0.6% at 25,608 and the Nifty50 was down 49 points or 0.6% at 7,839.

"Despite Monday’s vertical rise, yesterday’s commentary did discuss oscillators’ signals calling for either a short turn lower or a deeper correction. The upper extremity of the 7885-7939 discussed yesterday’s almost held to perfection, and a turn lower there of is anticipated today.  While early bias is likely to be negative, volatility is likely to step up later on, as long as inside the 7540-7780 region, which is also seen as a region for accumulation from a medium term – uptrend point of view," Geojit BNP Paribas Financial Services said in a technical note. 

Foreign institutional investors were net buyers in equities to the tune of Rs 329 crore, as per provisional stock exchange data.  

STOCKS

Tata Motors extended losses and was down 2% on the back of moderating domestic sales.

HDFC Bank was down nearly 1%. Reports suggest that the private lender wants to accelerate its growth in the credit card segment and capture further market share by aiming to offer 0.4 million credit cards every month, almost double of the number they issue currently. HDFC was down 0.9%.

Among others, ICICI Bank and SBI were down nearly 1% each.

Other Sensex losers include ITC and Bharti Airtel among others.

GLOBAL MARKETS

Most Asian markets were trading lower as investors turned cautious and booked profits. The Nikkei was up 0.5% on the back of weaker yen while China's Shanghai was up 0.3%. Hong Kong's Hang Seng and Singapore's Straits Times were trading with marginal losses.

US stocks ended higher tracking on the back of the proposed stimulus by the Chinese government and gains in oil prices. The Dow Jones ended up 200 points at 17,928, S&P 500 gained 26 points at 2,048 and Nasdaq ended up 60 points at 4,810.