 "Markets remain weak; Broader markets underperform")
Benchmark indices are trading lower in a tight range weighed down by financials, metal and oil shares.
By 12:55 pm, the Sensex was down by 59 points at 27,412 and the Nifty dipped by 26 points at 8,269.
The broader markets are underperforming the benchmark indices- BSE Midcap and Smallcap indices are down 0.4-0.53%. Market breadth is weak on the BSE with 1,553 shares declining and 921 shares advancing.
The top losers from the Sensex pack are Coal India, Bharti Airtel, Lupin, Reliance Inds and M&M, all falling between 1-2%.
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Updated at 11:35 am
After opening on a positive note, markets turned flat and now are trading in the negative territory dragged down by banking shares and index heavyweights such as RIL.
By 11:35 am, the Sensex was down by 15 points at 27,455 and the Nifty dipped by 13 points at 8,283.
Among broader markets, BSE Midcap and Smallcap indices are down by 0.4-0.5%. Markets breadth is weak with 1,438 shares declining and 856 shares advancing.
Meanwhile, the market is expected to remain volatile for the week ahead of derivatives expiry later this week.
Further, Chinese Central Bank’s move to cut interest rate for the sixth time in a year was welcomed by the world financial markets.
On the currency front, the rupee depreciated by 16 paise to 64.99 against the US currency in early trade today due to strong demand for the dollar from importers.
Also, crude oil prices remained weak on Monday as a slowing demand outlook implied oversupply will remain in place for months, prompting speculators to cut their bets on rising prices. Brent crude was 16 cents higher at $48.15 a barrel.
Q2 EARNINGS
HDFC, Entertainment Network, Inox Wind, UPL will unveil their second quarter earnings today.
SECTORS & STOCKS
Sectorally, BSE Auto and Capital Goods indices are up between 0.5-0.8% while BSE Metal and Consumer Durables indices are down between 0.3-0.6%
Telecom major Bharti Airtel today reported a Q2 net profit of Rs 1,523 crore, up 10.1% on an annual basis. However, the stock has dipped over 2% on account of profit booking.
From the metal pack, Vedanta and Hindalco have surged between 1-2% each after reports suggest that the government is planning to double the import duty on aluminium. Tata Steel has gained 0.75%
The auto pack is also rallying after September quarter earnings of Bajaj Auto and Hero Motocorp have beaten the street’s expectations. Bajaj Auto has gained over 2% while Hero Motocorp has gained over 1%. Tata Motors is also rallying nearly 1%.
HDFC is trading 0.4% down ahead of its Q2 earnings due later today.
Among other shares, shares of Eros International Media have tanked 19% to Rs 357 on the BSE after the exchange said that it has sought clarification from the company with reference to the news appeared in The Economic Times, Oct. 25, 2015 titled "Eros International under Wells Fargo's scanner, stock downgraded."
Asian Paints has dipped 5% to Rs 813 on the BSE after the company reported a lower than expected 15% year on year (YoY) rise in consolidated net profit at Rs 399 crore for the quarter ended September 30, 2015 (Q2), due to single digit growth in net sales. The company had profit of Rs 347 crore in a year ago quarter.
