Mumbai: The market snapped five-day winning streak on Tuesday, weighed down by capital goods, metals, auto stocks and heavyweights Bharti, Infosys & SBI. However, buying in oil & gas and private banks limited the downside. The Nifty closed below the 5350 level, falling 26.5 points to 5,335.15. Meanwhile, the Sensex dropped 85.11 points, to close at 17,622.20.
Devangshu Datta, Consulting Editor at Outlook feels the market is not likely to drop below 5300. "If it stays above 200 DMA (5225) there is no real cause for immediate concern," he says.
Even European markets were down with moderate gains as Greece missed another deadline for debt deal yesterday. Adrian Foster of Rabobank doesn't think there will be a very tidy conclusion to the Greek situation soon.
According to him, liquidity is going to continue to be a positive backdrop for equity markets, for risky assets around the world.
At 2:59 pm: Nifty below 5350 amid volatility; oil & gas outperforms
The Nifty dropped below the 5350 level following fall in European markets. France's CAC, Germany's DAX and Britain's FTSE lost 0.4-0.8 per cent. Capital goods, metals stocks, and heavyweights like Infosys and SBI weighed down the market. The BSE benchmark was down 82 points at 17,625 and the NSE benchmark fell 26 points to 5,335.35 amid choppy trade.
Shares of Bharti Airtel, Tata Steel, M&M and BHEL tanked 3-3.6 per cent. L&T, Infosys, HDFC, HUL, Sterlite, Jindal Steel, Hindalco and NTPC were down 1-2 per cent.
Among banks, shares of country's largest lender SBI too was under pressure, falling 0.7 per cent while private banks outperformed. ICICI Bank and HDFC Bank were up 0.5 per cent.
However, Reliance Industries, ONGC and ITC were playing a positive role, rising more than a percent. TCS too gained 0.8 per cent.
The market breadth remained in favour of declines; about 1087 shares advanced while 1728 shares declined on the BSE.
In the second line shares, Jet Airways, Pantaloon Retail, TTK Prestige, Central Bank and Jagran Prakashan rallied 6-14 per cent whereas Manappuram Finance was locked at 20 per cent lower circuit. India Infoline, Zydus Wellness, Sterlite Tech and Indian Hotels slipped 6-9 per cent.
At 2:18 pm: Sensex flat amid seesaw trade; capital goods, Bharti down
The market continued to hover around its previous closing value due to lack of global cues. Though Greece debt deal has not happened yet, global markets were mixed. The Sensex was down 55.4 points at 17,651.91 and the Nifty fell 14.35 points to 5,347.30.
Capital goods majors L&T and BHEL were down 1.4 per cent & 2.6 per cent, respectively. Shares of Bharti, Tata Steel and GAIL fell over 2 per cent.
Major largecaps like Infosys and HDFC dropped 0.6 per cent. HUL, M&M, Sun Pharma, Sterlite, NTPC and DLF slipped over 1 per cent.
However, Reliance Industries retained its top position in the buying list, rising 1.5 per cent. ICICI Bank and ITC rose 1 per cent each. HDFC Bank, TCS, ONGC, JSPL, Wipro and Hero Motocorp gained 0.5-0.9 per cent.
Even the market breadth was negative; about 1204 shares advanced while 1557 shares declined on the BSE.
Airline stocks spiked after EGOM approved direct import of aviation turbine fuel by airline companies. Kingfisher Airlines, Jet Airways and SpiceJet surged 12-14 per cent.
Arjuna Mahendran, managing director and head of investment strategy (Asia) at HSBC Private Bank (Suisse) says that he is not too worried about the Greek situation at the moment. He says that liquidity into emerging markets will continue driving equities. European markets were flat.
He expects returns from EMs, including India, to the tune of another 10-15 per cent.
At 12:56 pm: Nifty in narrow range; Cairn tops buy list
The Nifty was moving in a tight range of 5355-5380 since morning trade after a rally seen in previous five sessions. Banks and index heavyweight Reliance Industries continued to support the market while infrastructure and Bharti Airtel weighed down. The BSE benchmark rose 11 points to 17,718 and the Nifty gained 4.5 points at 5,366.15.
Among largecaps, shares of Cairn India topped the buying list, rising 3.5 per cent post crude hit 6-month high yesterday to USD 116.5 a barrel.
ACC, Jindal Steel, Reliance Industries, Kotak Mahindra Bank, Hero Motocorp, ICICI Bank and ITC climbed 1-2 per cent.
However, Bharti Airtel was the biggest loser among largecaps, falling 2.5 per cent. Sun Pharma, BHEL, HUL and GAIL fell nearly 2 per cent.
In the midcap space, Puravankara Project, South Indian Bank, Central Bank of India, Birla Corp and Madras Cements shot up 5.5-11 per cent while Manappuram Finance plunged 16 per cent. Zydus Wellness, India Infoline, KSK Energy Ventures and Muthoot Finance slipped 5-7 per cent.
Smallcap stocks like JSW Holdings, Mangalam Cement, Numeric Power, Nalwa Sons and Manaksia gained 10-17 per cent whereas Bliss GVS, NCC, Su-raj Diamonds, Midvalley Entertainment and Kama Holdings tanked 5-10 per cent.
The market breadth remained neutral.
At 11:36 am: Falling GDP growth expectations move Nifty, bank steady
The Sensex added more than 100 points just before advanced GDP data was announced, but it could not sustain the gains for long. The market turned back to the choppy movements after the government data indicated a gloomy GDP outlook.
The BSE benchmark climbed just 43 points to 17,750.40 and the NSE benchmark rose 11.5 points to 5,373.10.
Advance gross domestic product (GDP) for financial year 2011-12 came in at 6.9 per cent as against 8.4 per cent in the previous year, which was lower than expected. CNBC-TV18 poll saw it at 7.1 per cent.
During the year, growth in construction, manufacturing and agriculture was lower as compared to previous year. However, mining growth was in negative due to ban in some major mines in 2011.
Index heavyweight Reliance Industries continued to support the market, gaining over 2 per cent. Private banks like ICICI Bank and HDFC Bank climbed more than a percent while SBI rose just 0.4 per cent.
Shares of ITC, TCS, Hero Motocorp, Tata Motors, Wipro, Hindalco and Coal India gained 0.4-1.3 per cent.
However, HUL, Bharti Airtel and Sun Pharma tumbled 2per cent each; GAIL and M&M were down over 1.5 per cent. NTPC and BHEL dropped 1 per cent. HDFC was down 0.5 per cent.
The market breadth was neutral and even the broader markets were flat.
In the second line shares, Puravankara Project, Central Bank of India, South Indian Bank, DB Realty and Syndicate Bank moved up 5-12 per cent. However, Manappuram Finance tanked 12 per cent. Zydus Wellness, India Infoline, KSK Energy Ventures and Muthoot Finance slipped 4-6 per cent.
At 10:28 am: Volatile Sensex trades higher; Reliance leads
The market continued to trade flat after hitting a six-month high by crossing the 5400 mark. It seemed to be in a consolidation mode after a rally in the previous five sessions. Banks, auto (two-wheeler) stocks, and Reliance and TCS were supporting the market while capital goods stocks, and Bharti, HDFC and ONGC limited the upside. The Sensex was up 50 points at 17,757 and the Nifty rose 14 points to 5,375.45.
Sushil Kedia, president at ATMA says that the market is clearly overbought and the RSI (relative strength index) is now making a lower high while the underlying prices continue to make a higher high. "That becomes a warning signal for this rally to gear on, lose momentum and a change in trend is anticipated to begin anytime now," he says.
He says that another 100 pts upmove is warranted, but a correction is likely within the next four-five days.
Index heavyweight Reliance Industries was quite supportive for the market, rising 1.8 per cent as sources claimed that the company declined to withdraw arbitration against government.
Among banks, HDFC Bank and ICICI Bank gained 0.6 per cent; SBI rose 0.3 per cent.
Shares of ITC, TCS, Tata Motors, Jindal Steel, Hero Motocorp, Bajaj Auto, Wipro, Cipla and Coal India among other largecaps climbed 0.7-1.5 per cent.
However, shares of Bharti Airtel and HUL fell nearly 2 per cent. L&T and Infosys were marginally lower.
HDFC, M&M (ahead of results today), Sun Pharma, ONGC, GAIL, NTPC, BHEL and DLF slipped 0.4-1 per cent.
Market breadth was slightly positive; about 1188 shares advanced while 951 shares declined on the BSE.
At 9:19 am: Nifty turns flat after hitting 5400 in early trade
The Nifty touched the 5,400 mark - first time since August 4, 2011 - in the early trade, while the Sensex added more than 100 points. However, the market could not hold those gains for long due to profit booking and immediately turned flat with positive bias. Though Greece missed another deadline for debt deal, global markets were mixed.
The Sensex was up 41 points at 17,748.08 and the Nifty rose 8 points to 5,369.45.
Frontliners like Sesa Goa, Hindalco, SAIL, Jindal Steel, JP Associates, TCS, ICICI Bank, SBI, HDFC Bank, PNB and Coal India were supporting the market.
However, ONGC, BPCL, HUL, Bharti, L&T and ACC were under pressure in the early trade.
The market breadth was 4:1 on the National Stock Exchange.
In the second line shares, Voltas, S Kumars Nationwide, Orchid Chemical, IOB, JK Lakshmi Cement, Shree Renuka Sugars, SKS Microfinance, Dena Bank, India Cements, VIP Industries (ahead of Q3 numbers today) gained 1.5-3 per cent.
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