After a bout of initial volatility, key benchmark indices languished in red in morning trade. The losses were small. The barometer index, the S&P BSE Sensex, was currently down 50.13 points or 0.18% at 27.156.61. The market breadth indicating the overall health of the market was positive. IT stocks rose as rupee edged lower against the dollar. Asian stocks were mixed.
Asian stocks were mixed after a preliminary reading of China's manufacturing sector showed activity making a surprise improvement this month while the subindexes for the flash manufacturing Purchasing Managers' Index (PMI) report painted a mixed picture. US stocks closed sharply lower yesterday, 22 September 2014, on concerns about global growth amid falling commodity prices.
Earlier, key indices had alternately swung between positive and negative zone after a higher opening.
Brent crude oil prices rebounded from a one-week low after a survey showed China's factory activity unexpectedly picked up in September.
In the foreign exchange market, the rupee edged lower against the dollar.
At 10:14 IST, the S&P BSE Sensex was down 50.13 points or 0.18% at 27.156.61. The index lost 59.04 points at the day's low of 27,146.90 in morning trade. The index rose 50.13 points at the day's high of 27,256.87 in early trade, its highest level since 9 September 2014.
The CNX Nifty was down 14.45 points or 0.18% at 8,131.85. The index hit a low of 8,125.95 in intraday trade. The index hit a high of 8,159.75 in intraday trade.
The market breadth indicating the overall health of the market was positive. On BSE, 1,117 shares gained and 982 shares fell. A total of 82 shares were unchanged.
The BSE Mid-Cap index was up 5.86 points or 0.06% at 9,890.70. The BSE Small-Cap index was up 28.16 points or 0.25% at 11,276.85. Both these indices outperformed the Sensex.
IT stocks rose as rupee edged lower against the dollar. A weak rupee boosts revenue of IT firms in rupee terms as the sector derives a lion's share of revenue from exports. HCL Technologies (up 1.66%), Tech Mahindra (up 1.54%), TCS (up 1.37%), Infosys (up 0.49%) and Wipro (up 1.49%) gained.
L&T declined 0.84% to Rs 1,520.85. L&T during market hours today, 23 September 2014, said that the company has launched and priced an accelerated offering of foreign currency convertible bonds (FCCBs) to raise $200 million. The bonds carry a coupon of 0.675%m payable semi-annually with a tenor of 5 years and 1 day and initial conversion price of Rs 1,916.50 per share.
Engineers India rose 1.27% after the company said it has secured a consultancy contract from Assam Petrochemicals for a proposed 500 tones per day (TPD) methanol plant and 200 TPD acetic acid plant at Namrup, Assam. EIL's scope under the contract involves license, engineering, procurement and construction management services for methanol ISBL plant & integrated OSBL plant of 500 TPD for methanol & 200 TPD acetic acid plant, with a completion schedule of 36 months.
Indian stocks may remain volatile this week as traders roll over positions in the futures & options (F&O) segment from the near month September 2014 series to October 2014 series. The near-month September 2014 F&O contracts expire on Thursday, 25 September 2014.
The provisional data released by the stock exchanges after trading hours on Monday, 22 September 2014, showed that foreign portfolio investors (FPIs) sold shares worth a net Rs 186.41 crore on that day.
In the foreign exchange market, the rupee edged lower against the dollar. The partially convertible rupee was hovering at 60.905, compared with its close of 60.825 during the previous trading session.
Brent crude oil prices rebounded from a one-week low after a survey showed China's factory activity unexpectedly picked up in September, helping brighten the demand outlook in a market that has been weighed by a supply glut. Brent for November settlement was up 38 cents at $97.35 a barrel. The contract had fallen $1.1 a barrel or 1.12% to settle at $96.97 a barrel yesterday, 22 September 2014, the lowest close since 15 September 2014.
Lower crude oil prices will help India in containing its fiscal deficit, current account deficit and fuel price inflation. India imports 80% of its crude oil requirement.
Prime Minister Narendra Modi is scheduled to launch the ambitious 'Make in India' campaign on Thursday, 25 September 2014. The initiative is one of the several steps which government has announced in order to improve ease of doing business in India and attract investments to boost manufacturing in the country. In his maiden independence day address, Modi invited the global business community to set up manufacturing facilities in India, giving the slogan 'come, make in India'.
Asian stocks were mixed today, 23 September 2014, after a preliminary reading of China's manufacturing sector showed activity making a surprise improvement this month while the subindexes for the flash manufacturing Purchasing Managers' Index (PMI) report painted a mixed picture. Key benchmark indices in Indonesia, Taiwan, Japan and South Korea were off 0.08% to 0.6%. Key benchmark indices in Hong Kong, China and Singapore were up 0.02% to 0.66%.
A Chinese manufacturing gauge unexpectedly increased this month, suggesting export demand is helping the economy withstand a property slump. The preliminary Purchasing Managers' Index from HSBC Holdings Plc and Markit Economics was at 50.5, up from August's final reading of 50.2. The data was released today, 23 September 2014. Subindexes for the flash PMI report painted more of a mixed picture, however, with new export orders and overall new orders both showing gains at a faster rate than in August, but with the employment subindex falling at a faster rate. Likewise, prices for both inputs and outputs saw further weakness. HSBC chief China economist Hongbin Qu said in remarks accompanying the PMI data that economic activity in the manufacturing sector showed signs of stabilization in September. However, overall, the data still point to modest expansion, he said.
Trading in US index futures indicated that the Dow could gain 3 points at the opening bell on Tuesday, 23 September 2014. US stocks closed sharply lower on Monday, 22 September 2014, with the S&P 500 index suffering its biggest one-day decline since early August, as the latest housing data came in much weaker than expected, raising new concerns about the rate of growth in the economy. Sales of existing homes unexpectedly declined in August, for the first time in five months, the National Association of Realtors (NAR) reported. NAR attributed the drop to fewer all-cash sales to investors.
Powered by Capital Market - Live News
