Key benchmark indices remained weak with moderate losses in mid-afternoon trade. At 14:20 IST, the barometer index, the S&P BSE Sensex, was down 115.92 points or 0.39% at 29,527.56. The Nifty 50 index was down 23.85 points or 0.26% at 9,175.20.
Sentiment was subdued after domestic data showed that industrial production contracted in February and consumer price inflation edged up in March. Weak global cues also weighed on market sentiment.
Key indices had extended losses in afternoon trade after hovering within a narrow range in negative terrain till early afternoon trade.
The BSE Mid-Cap index was up 0.22%. The BSE Small-Cap index was up 0.51%. Both these indices outperformed the Sensex.
The breadth, indicating the overall health of the market, was positive. On the BSE, 1,481 shares rose and 1,289 shares fell. A total of 156 shares were unchanged.
FMCG stocks were mixed. Tata Global Beverages (down 0.1%), Marico (down 0.84%), Britannia Industries (down 0.54%), Procter & Gamble Hygiene and Health Care (down 0.84%), Dabur India (down 0.07%), Colgate Palmolive India (down 0.58%), and Nestle India (down 1.29%) gained. Hindustan Unilever (HUL) (up 0.1%), GlaxoSmithkline Consumer Healthcare (up 0.15%), Jyothy Laboratories (up 3.23%), Bajaj Corp (up 2.47%) and Godrej Consumer Products (up 0.39%) gained.
Pharma stocks bucked weak trend. Sun Pharmaceutical Industries (up 2.07%), Aurobindo Pharma (up 0.02%), Lupin (up 0.57%), Wockhardt (up 0.41%), Dr Reddy's Laboratories (up 0.56%), Divi's Laboratories (up 0.23%), and Glenmark Pharmaceuticals (up 0.19%) gained. Cipla (down 0.06%) and Cadila Healthcare (down 0.31%) declined.
IOL Chemicals & Pharmaceuticals was locked at 10% upper circuit at Rs 66.30 after the company announced it received EUGMP Certification from National Institute of Pharmacy and Nutrition, Hungary, for its product Ibuprofen, Lamotrigine, Metformin Hydrochloride confirming compliance with principals of Good Manufacturing Practices as provided by European Union Legislation.
This will facilitate the company to expand its product portfolio in the European market, IOL Chemicals & Pharmaceuticals said. The announcement was made after market hours yesterday, 12 April 2017.
Kamdhenu rose 0.57% after the company said that a meeting of the board of directors of the company is scheduled to be held on Thursday, 20 April 2017, to consider issue of warrants convertible into equity shares on preferential/ private placement basis. The announcement was made after market hours yesterday, 12 April 2017.
On macroeconomic data front, industrial production declined 1.2% in February 2017 over February 2016, snapping 3.3% growth recorded in January 2017. The manufacturing sector's production dipped 2% in February 2017, mainly contributing to the dip in industrial production.
The inflation based on consumer price index (CPI) increased to 3.81% in March 2017 (new base 2012=100), compared with 3.65% in February 2017. The corresponding provisional inflation rate for rural area was 3.75% and urban area 3.88% in March 2017 as against 3.67% and 3.55% in February 2017. The core CPI inflation rose marginally to 4.79% in March 2017 from 4.75% in February 2017. The CPI and IIP data was announced after market hours yesterday, 12 April 2017.
Overseas, European stocks edged lower as investors digested US President Donald Trump's comments that he would prefer the Federal Reserve to keep interest rates low and suggested the dollar is too strong.
Meanwhile, Germany's inflation rate dropped notably in March, as expected, because of easing increases of energy and food prices. The annual inflation rate, measured by harmonized European Union standards, fell to 1.5% after hitting a 4 1/2-year high of 2.2% in February, the statistics office said.
Asian stocks were mixed. China's exports rose 14.8% in the first quarter from a year earlier in yuan terms, extending an 11% increase in the first two months, official data showed. Imports in the January to March period increased 31.1% in yuan terms from a year earlier, compared with a 34.2% rise in the first two months, the General Administration of Customs said in a release.
China's trade balance returned to a surplus in March, helped by renewed strength in exports after a surprise deficit in February. The balance between exports and imports came to a surplus of $23.93 billion in March, compared with a deficit of $9.15 billion in February, the General Administration of Customs said. Exports rose 16.4% in March from a year earlier, following a 1.3% drop in February. Imports continued to expand rapidly, growing 20.3% in March compared with February's 38.1% increase.
US stocks closed modestly lower yesterday, 12 April 2017 led by industrial and materials companies on another day of subdued trading ahead of the long Easter holiday weekend.
Meanwhile, US Secretary of State Rex Tillerson met with the Russian counterpart Sergei Lavrov to discuss the civil war in Syria and nuclear capabilities of North Korea. In recent days, the trading mood has been dented by heightened geopolitical tensions.
Powered by Capital Market - Live News
Disclaimer: No Business Standard Journalist was involved in creation of this content
