Mumbai: Indian equity benchmarks closed with moderate loss amid extreme volatility on Thursday. The market remained in a consolidation mode since the morning trade and did not react to Wednesday's sharp fall in global markets on talks of credit rating downgrade in France, which commands AAA rating.
In the second half of trade today, European markets and US index futures rebounded sharply, rallying 2-3 per cent but they could not able to hold on to those gains. In reaction to that in the late trade, the 30-share BSE fell 71 points, to close at 17,059. The 50-share NSE Nifty lost 23 points, to end at 5,138.
Bruno Verstrate, CEO of Nautilus Invest is cautious on European markets. He is not a buyer of banks because, according to him, it is just a mater of time before the downgrade comes. 'At this stage, having had the downgrade of the US, many other AAA countries will be downgraded and that will create a big mess in the banks,' said Verstrate.
At 15:01 hours IST : Market slips into red; Tata Power, Axis Bank top losers
Volatility reigned supreme as markets turned marginally negative, trading on wafer thin volumes, ignoring promising cues from European markets and US futures.
The 50-share NSE Nifty was trading at 5,155, down 5 points and the 30-share BSE Sensex fell just 19 points to 17,111.
However, the Dow Jones futures rallied 161 points, indicating strong US opening today. NASDAQ futures surged 44 points.
France's CAC 40, Germany's DAX and Britain's FTSE 100 indices jumped 2-3 per cent. All hese markets butchered yesterday on fears of credit rating downgrade in France.
Back home, heavyweights Bharti Airtel, ICICI Bank, Axis Bank, Bajaj Auto and HCL Tech fell 2-3 per cent. Giving them company were TCS, SBI, L&T, Wipro and BHEL were down more than 0.5 per cent. Tata Power was down 4 per cent.
However, HDFC, NTPC, ITC, Kotak Mahindra Bank, Tata Motors, Cairn, Reliance Infrastructure, Reliance Communications and Reliance Capital gained 1-3 per cent.
At 14:15 hours IST : Nifty listless despite strong global cues; HDFC, RIL up
Indian equity benchmarks remained fence-sitters, unable to cash in on strong global cues. Every attempt to buy was counter by profit-booking, rendering the market rangebound. The 30-share BSE Sensex was trading at 17,173, up 42.5 points and the 50-share NSE Nifty went up 13 points to 5,174.
However, European markets like CAC, DAX and FTSE were trading 2-2.5 per cent higher. Nasdaq futures gained 44 points and Dow Jones went up 104 points.
In the largecap space, HDFC, NTPC, Coal India, Reliance Industries, Hindalco, Reliance Infra, HDFC, Kotak Mahindra Bank, Reliance Capital and Reliance Communications rallied 1-3 per cent.
However, Tata Power plunged over 4 per cent despite strong Q1 results on consolidated basis. Bharti Airtel, Maruti Suzuki, ICICI Bank, Bajaj Auto and HCL Tech slipped 1-3 per cent.
Midcaps like Tata Communications, Page Industries, Jain Irrigation, Cox & Kings and Blue Dart shot up 6-8 per cent. However, Hotel Leela, Financial Tech, Apollo Tyres, Persistent and Jubilant Foodworks fell 4-5 per cent.
Market breadth was mixed. About 1333 shares advanced as against 1362 shares declined on the Bombay Stock Exchange.
At 13:26 hours IST : Mild sell-off shaves Sensex gains; Bharti, ICICI Bank fall
BSE benchmark Sensex could not hold on to the recovery witnessed post strong Europe opening and handsome Dow & Nasdaq future gains. The 30-share BSE Sensex was trading at 17,154, up just 24 points and the 50-share NSE Nifty went up 8.5 points to 5,169.
Among European markets, France's CAC, Germany's DAX and Britain's FTSE were up 1.5-2 per cent each. Even crude oil prices were trending up after bullish inventory data; Brent crude gained $0.81 to $107.5 a barrel.
HDFC, NTPC, Reliance Industries and ITC, which gained 1-3 per cent, were quite supportive. Now Infosys too joined them with moderate gains.
However, consistent selling in Bharti Airtel, ICICI Bank, SBI, TCS, BHEL, L&T and DLF, which fell 0.5-1.5 per cent, were putting pressure.
At 12:39 hours IST : Sensex rebounds on strong European opening
Equity benchmarks bounced back in afternoon trade reacting to strong European cues. France's CAC, Germany's DAX and Britain's FTSE gained 2-3 per cent in the opening trade. These markets had fallen anywhere between 3 and 5 per cent yesterday on rumours that France may be on the way to lose its prized top AAA credit rating.
The 30-share BSE Sensex rose 59 points to 17,189 and the 50-share NSE Nifty went up 17 points to 5,178.
Heavyweights like Reliance Industries, HDFC, NTPC and ITC gained 1.5-3 per cent. Kotak Mahindra Bank surged nearly 4 per cent.
Among other largecaps, Sterlite, Sun Pharma, Reliance Communications, Ambuja, Reliance Infrastructure, Hindalco and Reliance Capital were up 1-2 per cent.
However, Bharti Airtel, TCS, BHEL, ICICI Bank, Tata Motors, Maruti, ONGC, L&T, DLF and SBI were on sellers' radar.
At 11:47 hours IST : Dow futures rally fail to enthuse Sensex; HDFC, NTPC gain
A 190-point rally in Dow Jones Futures have failed to enthuse Indian equities, which were trading moderately lower. Even Asian markets were trading mixed, devoid of a sharp recovery. The 30-share BSE Sensex was trading at 17,082, down 48 points and the 50-share NSE Nifty fell 13 points to 5,147.
Largecaps HDFC, NTPC and Kotak Mahindra Bank rallied 2 per cent each. Heavyweights Reliance Industries and ITC gained nearly 1 per cent.
Anil Dhirubhai Ambani Group companies' shares like Reliance Communications, Reliance Power, Reliance Infrastructure and Reliance Capital were up 1 per cent.
However, the sell-off continued in technology, capital goods, realty and auto companies' shares.
Midcaps like Page Industries, Tata Communications, 3M India, Jindal PolyFilm and Chambal Fertiliser gained 3-8 per cent. However, Financial Tech, Hotel Leela, KGN Industries, Rei Agro and India Infoline lost 5-6 per cent.
Smallcaps like aurionPro Solutions surged 18 per cent. Halonix, Reliance Broadcast, Kirloskar Brothers and OM Metals Infra were up 5.5-7 per cent while Nahar Spinning, AK Capital, Signet Inds, Asian Star and SV Electricals fell 5-8 per cent.
At 11 hours IST : Mkt settles for rangebound trade; SBI, ICICI Bank active
In the absence of a trigger, Indian benchmarks as well as broader indices were trading close to their earlier levels amid moderate loss. It appears the market is waiting for a trigger to move decisively on either direction.
The 30-share BSE Sensex was trading at 17,084, down 47 points and the 50-share NSE Nifty was trading at 5,147, down 14 points. Ambareesh Baliga, chief operating officer (COO) of Way2Wealth sees Nifty trading in the 5,000-5,200 range for sometime.
Among largecaps, Tata Power plunged 4 per cent post Q1 results. DLF, Bharti Airtel, Tata Motors, HCL Tech and Maruti Suzuki were down 2 per cent each.
However, HDFC, NTPC, Sun Pharma, ITC, Coal India, Kotak Mahindra Bank and Ambuja Cements were top gainers, rising 0.6-1.6 per cent.
Most active shares on exchanges were SBI, Inventure Growth, Prestige Estate, Tata Steel, AIA Engineering, ICICI Bank, Bharti Airtel and Tata Motors.
At 10:22 hours IST : Sensex extends fall amid volatility; banks, tech decline
Sell-off in technology, financials, capital goods, realty and auto stocks gained momentum which marginally pushed the Sensex down. Asian markets like Hang Seng, Nikkei and Straits Times were down 1-1.7 per cent. Taiwan fell over 0.5 per cent while Kospi gained 0.5 per cent.
The 30-share BSE Sensex fell 64 points to 17,066 and the 50-share NSE Nifty slipped 18 points to 5,412. Even the market breadth moved closer towards declines; about 430 shares advanced against a decline of 765 shares.
However, buying in ITC, HDFC, NTPC, Reliance Industries, Sterlite, ACC, Ambuja Cements, Tata Steel and Reliance Communications has limited the downside.
At 9:45 hours IST : Sensex settles on recovery hopes; HDFC, ITC, HDFC Bk up
BSE benchmark Sensex and the 50-stock NSE Nifty have, so far, resisted deep cuts. Both indices stayed in green briefly and then slipped marginally to trade at 17,098 (down 32 points ) and 5,152 (down 8 points) respectively. The consolidation in market suggests what the experts have been saying -- that the sell-off was overdone and a recovery is on cards.
Philip Roth, Chief Technical Analyst at Miller Tabak told CNBC-TV18 that “the selling seen post US debt downgrade by S&P seems to be winding up." He expects a temporary rebound with less volume and less volatility.
Defensive sectors like healthcare and FMCG were seeing buying interest. Even select financial stocks like HDFC, HDFC Bank, Kotak, Mahindra Bank and PNB gained 0.5-1 per cent.
Heavyweights Reliance Industries and SBI too were quite supportive.
However, technology, auto, realty and select metal stocks were putting pressure on the market.
Even the market breadth started improving – about 532 shares advanced as against 558 shares declined on National Stock Exchange.
At 9:18 hours IST : Sensex sees moderate cut despite bloodbath in US
Indian benchmark indices witnessed a moderate cut despite a severe sell-off in the US. The 30-share BSE Sensex slipped 41 points to 17,089 and the 50-share NSE Nifty lost just 15 points to trade at 5,146. Technology, metal and banks are in stress in the morning trade. Global benchmarks indices retreated post rumours that there may be downgrade in France, which commands AAA rating.
Among technology stocks, Wipro, HCL Tech, Infosys and TCS were down 1-1.5 per cent.
Tata Motors, which rallied 6 per cent yesterday, fell 1.5 per cent on profit booking.
Metal stocks like Hindalco, Tata Steel, Sesa Goa and SAIL too were on sellers' radar.
Heavyweights SBI, Bharti Airtel, HDFC Bank, L&T and Reliance Industries slipped 0.5-1 per cent.
However, Reliance Capital, Reliance Communications and Kotak Mahindra Bank were marginally in the green. Cipla gained 1 per cent.
The CNX Midcap declined 21 points at 7,624. About 212 shares advanced as against 497 shares declined on National Stock Exchange.
Global cues:
Asian markets were quite volatile. Hang Seng, Nikkei and Straits Times fell 1-1.5 per cent. However, Shanghai and Kospi gained 0.4-0.7 per cent. Taiwan was flat.
Global markets slid again on Wednesday on talks of debt downgrade in France, which command AAA rating.
European banking index plunged 6.5 per cent. Euro lost 1.3 per cent to $1.4190. Gold futures surged to a record above $1,800/ounce.
Nicolas Sarkozy, the French president, will come up with new measures to cut France’s debt burden within one week.
US markets faced selling pressure post sell-off in Europe with banking hit the most. There were rumours about bank capital levels and exposure to Europe intensified selling with bank index losing 7 per cent.
The Dow Jones Industrial Average plummeted 520 points or 4.6 per cent at 10,720. NASDAQ Composite was down 101 points or 4 per cent at 2,381 and S&P 500 Index down 52 points or 4.4 per cent at 1,121.
Comments
0 comment