After staging a strong intraday rebound in morning trade, key benchmark indices retained positive zone in mid-morning trade. The barometer index, the S&P BSE Sensex, retained the psychological 26,000 mark. Earlier, the Sensex had regained the the psychological 26,000 level after falling below that level in early trade. The Sensex was currently up 82.09 points or 0.32% at 26,114.47. The gains for the Nifty were higher in percentage terms than those for the Sensex. The Nifty was currently up 33.90 points or 0.43% at 7,914.60. The market breadth indicating the overall health of the market was strong. The BSE Small-Cap index was up 1.08%, outperforming the Sensex.
In overseas markets, Asian stocks edged higher after China's central bank cut its benchmark interest rate and reduced its reserve requirement ratio by 50 basis points. US index futures surged.
L&T gained after winning an overseas order. Most FMCG shares were trading higher. Most pharmaceuticals shares were in green.
Foreign portfolio investors (FPIs) sold shares worth a net Rs 2080.01 crore yesterday, 25 August 2015, as per provisional data released by the stock exchanges. Domestic institutional investors (DIIs) bought shares worth a net Rs 1963.09 crore yesterday, 25 August 2015, as per provisional data released by the stock exchanges.
Indian stocks may remain volatile in the near future as traders roll over positions in the futures & options (F&O) segment from the near month August 2015 series to September 2015 series. The near month August 2015 derivatives contracts are set to expire tomorrow, 27 August 2015.
At 11:17 IST, the S&P BSE Sensex was up 82.09 points or 0.32% at 26,114.47. The index rose 124.23 points at the day's high of 26,156.61 in morning trade. The index fell 344.69 points at the day's low of 25,687.69 in early trade.
The CNX Nifty was up 33.90 points or 0.43% at 7,914.60. The index hit a high of 7,930.05 in intraday trade. The index hit a low of 7,785.60 in intraday trade.
The BSE Mid-Cap index was up 75.93 points or 0.72% at 10,636.25. The BSE Small-Cap index was up 115.77 points or 1.08% at 10,810.44. Both theses indices outperformed the Sensex.
The market breadth indicating the overall health of the market was strong. On BSE, 1,372 shares rose and 804 shares fell. A total of 74 shares were unchanged.
L&T gained after winning an overseas order. The stock was up 0.66% at Rs 1,636.25. The company announced during trading hours today, 26 August 2015, that the Power Transmission and Distribution Business unit of the company has won an order valued at Rs 864 crore in the Middle East market from Qatar General Electricity & Water Corporation. The order encompasses the engineering, procurement and construction of two substation packages
Most FMCG shares were trading higher. Godrej Consumer Products (up 2.03%), Dabur India (up 1.63%), GlaxoSmithKline Consumer Healthcare (up 1.08%), Marico (up 0.48%), Jyothy Laboratories (up 0.38%), Tata Global Beverages (up 0.38%), Britannia Industries (up 0.37%) and Procter & Gamble Hygiene & Health Care (up 0.03%), edged higher. Colgate Palmolive (India) (down 0.42%), Nestle India (down 0.48%), Hindustan Unilever (down 0.53%) and Bajaj Corp (down 1.78%), edged lower.
Most pharmaceuticals shares edged higher. Divi's Laboratories (up 6.10%), Lupin (up 2.93%), GlaxoSmithKline Pharmaceuticals (up 1.74%), Wockhardt (up 1.64%), Cadila Healthcare (up 1.59%), Piramal Enterprises (up 1.51%), Glenmark Pharmaceuticals (up 0.87%), Sun Pharmaceutical Industries (up 0.61%), Aurobindo Pharma (up 0.25%) and Strides Arcolab (up 0.16%), edged higher. Cipla (down 0.59%), Dr. Reddy's Laboratories (down 0.76%) and IPCA Laboratories (down 1.19%), edged lower.
Meanwhile, according to a summary of the electronic consultation that the Reserve Bank of India (RBI) held with the Technical Advisory Committee on Monetary Policy in the run up to the monetary policy review on 4 August 2015, four out of seven external members of the committee recommended a cut in the repo rate at the 4 August policy review. Three of them suggested a reduction in repo rate by 25 basis points and one member suggested a 50 basis points reduction. Three members recommended a status quo in the repo rate, with one of them suggesting a reduction in the statutory liquidity ratio (SLR) by 50 basis points. The RBI kept the repo rate unchanged at the 4 August policy review.
Meanwhile, investors continue to watch the progress of the monsoon rains which will have a bearing on food prices and rural income. India's weather office, the India Meteorological Department (IMD), said in a daily report issued yesterday, 25 August 2015, that for the country as a whole, cumulative rainfall during this year's monsoon season was 11% below the Long Period Average (LPA) until 25 August 2015. Region wise, the rainfall was 20% below the LPA in South Peninsula, 14% below the LPA in Central India, 6% below the LPA in East & Northeast India and 5% below the LPA in Northwest India until 25 August 2015.
The June-September southwest monsoon is critical for the country's agriculture because a considerable part of the country's farmland is dependent on the rains for irrigation.
In overseas markets, Asian stocks edged higher today, 26 August 2015, after China's central bank cut its benchmark interest rate and reduced its reserve requirement ratio by 50 basis points. Key benchmark indices in Taiwan, Singapore, Japan and South Korea were up by 0.39% to 3.27%. Indonesia's Jakarta Composite was down 0.68%.
Chinese stocks edged higher in volatile trade after a sharp sell off in the past two trading sessions. In mainland China, the Shanghai Composite was up 3.43%. In Hong Kong, the Hang Seng index was up 0.72%. China's central bank, People's Bank of China (PBOC), yesterday, 25 August 2015, announced reduction in its one-year lending rate by 25 basis points (bps) to 4.6% effective from Wednesday, 26 August 2015. It also cut deposit rate by 25 bps to 1.75% effective from Wednesday, 26 August 2015, and cut banks' reserve requirement ratio by 50 bps effective 6 September 2015. The PBOC also removed its control over fixed bank deposits with more than one-year maturity. The announcement came after trading ended in Asian markets yesterday, 25 August 2015.
Trading in US index futures indicated that the Dow could surge 204 points at the opening bell today, 26 August 2015. In a dramatic reversal to a morning rally, US stocks relinquished all of their opening gains to finish with losses yesterday, 25 August 2015, as selling accelerated during the last one hour or so of the trading session. The latest economic data showed that new-home sales bounced back in July, while a separate report showed consumer confidence rising more than projected in August. The Conference Board, a private research group, said that its index of consumer confidence rose to 101.5 in August, bouncing back after a steep decline in July.
Powered by Capital Market - Live News
