Markets choppy ahead of inflation numbers

Mumbai: The markets are witnessing a choppy trade ahead of inflation numbers, which will be announced on Friday. Experts are expecting inflation around 9.93% for the week ended June 7 as against 8.75% in earlier week. Metal, realty, FMCG, pharma and banking stocks are trading in red while technology stocks are still holding some gains.

The Nifty is trading below 4500 mark. Huge shorts have generated for the next month futures. At 10:22 am, the Sensex was up 12 points at 15,100 and the Nifty down 8.4 points at 4495. The Nifty June Futures was trading at 19 points discount and July futures at 33 points discount.

Market breadth has weakened; about 1143 shares are advancing while 1628 shares declining. Nearly 355 shares are unchanged. Midcap and Small Cap indices are flat with negative bias.

Cairn India, Zee Entertainment, Sterlite Ind, Reliance Communications, JP Associates, Reliance Ind and Maruti Suzuki were major losers while ONGC, HDFC, Ambuja Cements and BPCL gainers.

Realty Index fell over 1% due to selling in Indiabulls Real, Sobha Developers, HDIL, Anant Raj Ind, DLF and Unitech.

Bankex was down 0.93%, Healthcare 0.67%, Metal 0.65%, Capital Goods and Power 0.47% each.

Most active shares on the bourses were Anus Labs, Ranbaxy Labs, Reliance Capital, Reliance Ind and L&T.

Markets @ 9:56 am: Markets flat in opening trade

The markets have bounced back in opening trade and managed to show some recovery after yesterday's sharp sell off but turned choppy a bit ahead of inflation figures. Technology, capital goods, realty and auto stocks are witnessing buying interest while other indices are flat.

At 9:56 am, the Sensex was up 60 points at 15,146 and the Nifty up 8 points at 4512. The Nifty June Futures was trading at 12 points discount and 25 points discount.

Market breadth is positive; 561 shares are advancing while 260 shares declining.

Amongst frontliners, Grasim, Reliance Infra, ONGC, Ranbaxy, BHEL, Grasim, HDFC, Ambuja Cements, NTPC, Infosys, Satyam, Wipro, TCS, ACC, L&T, DLF and Unitech have gained while ITC, Ranbaxy, Bharti, Reliance Industries, Cairn, Sterlite and Bharti lost ground.

Asian markets markets were trading mixed; Nikkei slipped 1.2%, Taiwan Weighted 0.7%, Kospi 0.4% and Jakarta Composite 0.20% while Shanghai was up 4.7%, Hang Seng 1.7% and Straits Times 0.89%.

US markets finally closed higher after bobbing up and down throughout the session as investors weighed oils retreat against a dismal manufacturing reading and a fresh wave of concerns about banks.

The Dow advanced 34.03 points, or 0.28%, to 12,063.09. The Standard & Poor's 500 index gained 5.02 points, or 0.38%, to 1,342.83, and the Nasdaq composite index rose 32.35 points, or 1.33%, to 2,462.06.

Market cues:

• Inflation data today; CNBC-TV18 poll sees inflation at 13-year high of 9.93%
• PM pushes for nuke deal, allies wary of polls
• FIIs net sell $111.5 mn in equity
• NSE F&O Open Interest down by Rs 137 crore at Rs 85,399 crore

F&O cues:

• Marketwide rollover at 11%, Nifty rollover at 15%
• Futures Open Int down by Rs 360 crore, Options Open Int up by Rs 222 crore
• Nifty June Fut add 14 lakh, July Futures add 21 lk shrs in Open Int
• Nifty June at 17-point discount, July at 31-point discount
• Nifty Open Int Put-Call ratio at 1.52 Vs 1.54
• Nifty Puts shed 3 lakh, Calls add 1.3 lakh shares in Open Int
• Nifty 4200 Put adds 2.87 lakh shares in Open Int
• Nifty 4500 Put sheds 4 lakh shares in Open Int
• Nifty 4500 Call adds 4.7 lakh shares in Open Int
• Nifty 4600 Call sheds 7.5 lakh shares in Open Int