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Markets have erased early gains and have slipped into negative zone weighed down by auto, financials and index heavyweight shares like ITC and Infosys.
At 13:42PM, the 30-share Sensex was down 91 points at 27,398 and the 50-share Nifty was down 34 points at 8,294.
The top losers on the Sensex are Bharti Airtel, M&M, Cipla, NTPC and Coal India.
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Updated at 12:43
Benchmark indices are trading in a narrow zone as the losses in select financials and index heavyweight stocks have diluted the gains in metal, oil and select capital goods stocks.
At 12:43PM, the 30-share Sensex was up 43 points at 27,321 and the 50-share Nifty was up 6 points at 8,338.
In the broader market, both the BSE Midcap and Smallcap indices, up 0.5% and 0.3% each have performed better than the front-liners. Market breadth in BSE is positive with 1,262 advances against 1,161 declines.
Buzzing Stocks
Four out of 12 sectoral indices of BSE are trading lower. BSE Metal and Capital Goods indices up 2 % and 0.6% each are the top gainers followed by BSE Oil & Gas and Healthcare indices, up 0.4% and 0.2% each.
IT shares were trading mixed after US-based Cognizant reported 9.7% growth in net profit for the quarter to $382.9 million compared with the corresponding period last year. TCS and Wipro are up 1.7-0.7% each. However, Infosys is trading lower by over 1%.
The ministry of finance has cut export duty on iron ore (for 58% fe grade and below) from 30% to 10% from June 1, 2015. Tata Steel and Vedanta have gained nearly 5% each.
Hindalco is up nearly 3%. According to reports the company need not apply for fresh environment clearances (EC) for four blocks allotted to them in the recent auction as the government has transferred to them the approvals granted to the earlier allottees.
Sun Pharma’s subsidiary Taro Pharma hiked prices of its two products Enalapril Maleate and Econazole nitrate cream in US. Both drugs together could add incremental sales of $20-25 million. The move can boost Taro's current run-rate of sales by 3 per cent and EBITDA by 4 per cent. Sun Pharma is up over 1%..
ONGC has extended its yesterday’s rally and is up 3.1% on reports that the government will foot the entire subsidy bill that oil marketing companies incur on selling LPG and kerosene below market prices in FY2016. So far, ONGC, Oil India and Gail had to share a part of their profits to finance the subsidy burden of downstream firms such as Indian Oil, BPCL and HPCL.
Engineering and construction giant Larsen & Toubro (L&T) has made a renewed bid to secure mining rights over Sijimali and Kutrumali bauxite deposits across Kalahandi and Rayagada districts after the enforcement of the Mines & Minerals (Development & Regulation) Act, MMDR Act, 2015. The stock has risen over 1%.
Top four mobile carriers including Bharti Airtel have reduced roaming charges for their subscribers effective April 30, 2015. Bharti Airtel is down nearly 2%.
Auto shares are trading mixed after gaining yesterday on the back of good sales numbers. While Tata Motors has gained nearly 1%, Bajaj Auto and Hero Motocorp have gained nearly 1.5% each.
