Markets have slipped further ahead of the WPI numbers owing losses in technology shares as the rupee rebounds from key 64 level coupled with weakness in the global markets.
Disappointing quarterly results, controversial MAT levy and delay in the ambitious indirect tax (GST) and land reforms amid a subdued monsoon forecast continue to prevail.
Top 5 losers on the Sensex are Wipro, Infosys, HDFC, Vedanta and TCS down between 1-2%.
After a weak start, markets have trimmed some of its early losses but continue to trade in the negative territory as concerns related to the disappointing quarterly results, controversial MAT levy and delay in the ambitious indirect tax (GST) and land reforms amid a subdued monsoon forecast continue to prevail. Further, weakness among the global peers as investors remain wary of rising bond yields coupled with weaker-than-expected US retail data has dampened the sentiments.
Caution prevails as market participants keenly await for the wholesale price inflation (WPI) data for the month of April due later in the day today.
In the broader market, BSE Moidacp and Smallcap indices are outperforming the large counterparts and are trading higher between 0.5-1%.
Further, foreign portfolio investors (FPIs) sold shares worth a net Rs 71 crore yesterday, as per provisional data as per provisional data released by the stock exchanges.
RUPEE
The rupee ticked up 9 paise to 63.91 against the dollar in early trade today at the Interbank Foreign Exchange after the American currency weakened overseas on disappointing retail sales report.
GLOBAL MARKET
Overnight, US stocks surrendered early gains to end the session on a flat note as some investors stood on the sidelines waiting for the next round of economic data at the end of earnings season. The Dow Jones declined by 7 points to 18,060, while the Nasdaq Composite added 5 points to 4,981.
Further, European market reversed earlier gains to end lower with investors reacting to weaker-than-expected US retail data, corporate earnings and new economic data from the Eurozone. Germany's Dax tumbled, after its economic growth figures missed expectations.
On the Asian front, Japan's Nikkei 225 index was trading 0.6% lower at 19630, Hong Kong's Hang Seng index was trading marginally lower at 27,238 and China's Shanghai index was trading 0.6% lower at 4,347 on Thursday.
KEY STOCKS
On the sectoral front, all sectoral indices are trading lower with BSE FMCG, IT, Auto, Bankex, Realty indices leading the decline and are down up to 1.5%.
Lupin has announced the acquisition of Brazil's Medquimica Industria Farmaceutica SA, marking its foray into the Latin American nation, according to reports. The drug-maker reported a net profit of Rs 547 crore for the March quarter compared to Rs 553 crore in the corresponding quarter of last financial year. The stock is down over 3%.
Ashoka Buildcon reported a over two-fold increase in consolidated net profit at Rs 37.80 crore for the quarter ended March 31, 2015. The stock is up over 8%.
Emami posted a 24.5% year-on-year growth in its net profit for the quarter ended March at Rs 138 crore on the back of a similar growth in sales and increased market share. The stock is nearly 1% lower.
Reliance Industries-BP joint venture, Excelerate Energy of US and Japan's Mitsui are in the race to establish a Rs 2,740 crore floating LNG import terminal at Mumbai. RIL is trading nearly 1% lower.
Rate sensitive stocks which rose yesterday on hopes of rate-cut have slipped in red on account of profit booking. HDFC twins, Tata Motors, Axis Bank, Maruti Suzuki, Hero Motocorp down up to 2%.
The technology pack is trading lower on the back of depreciating rupee. Infosys, Wipro and TCS are down between 1-2%.
The Cabinet Committee on Economic Affairs (CCEA), led by Prime Minister Narendra Modi, on Wednesday approved the disinvestment department’s plan to sell stakes in Indian Oil and NTPC as part of the Centre’s Rs 41,000-crore divestment target for public sector undertakings. NTPC is up over 2.5%.
GAIL (India) announced after market hours yesterday that IndianOil Corporation and GAIL (India) have signed memorandum of understanding (MoU) with Dhamra LNG Terminal (DLTPL), a company owned by Adani Enterprises. GAIL is down up to 1%.
Ranbaxy Laboratories is accused in a lawsuit of conspiring with a web of lawyers and consultants to manipulate the US Food and Drug Administration (FDA) and block competition in the generic drug business. Sun Pharma which has acquired Ranbaxy are trading lower by 1%.
Bharti Airtel plans to begin 4G services in Chennai. The stock is up nearly 1%.
Aditya Birla Nuvo, Amtek Auto, Arvind, Jubilant FoodWorks, Indian Bank, MCX, Oriental Bank of Commerce, P C Jeweller are some of the companies due to announce their March quarter results today.
The market breadth is strong with 1,064 advances and 745 declines on the BSE.
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