The BSE Sensex and NSE Nifty fell for the fourth straight session on Monday as cigarette maker ITC declined over 6 per cent in its biggest fall in nine months due to worries about a “sin” tax, while oil producers fell after OPEC left output targets unchanged. Sensex closed 108 points down at 25,530.11, while Nifty closed 16.50 points down at 7765.40.
In the 50-share index, Asian Paints, Sun Pharma, HUL, Tech Mahindra and Lupin gained between 1.50 per cent and 4.45 per cent. On the other hand, ITC, Cairn India, Coal India, Reliance and ONGC slid between 1.60 per cent and 6.85 per cent.
Sectorwise, the BSE FMCG index slid the most — 2.45 per cent, followed by BSE Metal index (down 0.77 per cent, BSE Oil & Gas index (down 0.46 per cent) and BSE Auto index (down 0.20 per cent). The BSE Healthcare and BSE Realty index gained 0.77 per cent and 0.50 per cent on Monday.
Gaurav Jain, director, Hem Securities, said, “Markets made a strong opening in line with Asian markets traded after strong US jobs data which strengthened expectations of Fed rate hike later this month. But shed all the day’s gains during mid-trade on the back of continued sell-off by foreign portfolio investors. Further, continued fall in crude prices has increased the fears of global economic slowdown.”
Overall market breadth for the day remained positive and advances to declines ratio for Nifty stood at 27:21 for the day. Share price of Hindalco in the Nifty50 index remained unchanged.
Traders also remained concerned ahead of the US Federal Reserve’s meeting next week, where it is widely expected to raise rates for the first time in about a decade.
The GST continued impacting the market movement throughout the day, with the cigarette manufacturers suffered sharp cuts. ITC slumped 6.5 per cent, VST Industries fell 2.85 per cent and Godfrey Philips declined around 5 per cent after the government-appointed Arvind Subramanian panel recommended a steep 40 per cent tax on tobacco products.
On the other hand good demand was seen in logistics companies such as Aegis Logistics, Allcargo Logistics, Blue Dart, Container Corp, Gateway Distriparks and Gati, as they would be direct beneficiary of the implementation of GST.
Asian equity markets ended mostly in green on Monday following a positive US jobs report which showed that 2,11,000 jobs were created by the US economy in November beat market expectations, which cleared the way for the US Federal Reserve to raise interest rates next week for the first time since 2006. Although some gains were tempered by low oil prices and caution ahead of a slew of Chinese data due this week.
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Markets through the day
3.30 pm: Sensex closed 108 points down at 25,530.11, while Nifty closed 16.50 points down at 7765.40.
3.04 pm: Sensex was down 105 points at 25,532.95. Nifty was down 16.90 points at 7,765. Traders were seen piling position in Realty, Bankex and Consumer Durables stocks while selling was witnessed in FMCG, PSU and Metal sector stocks.
2.45 pm: European shares started the week strongly on Monday, buoyed by gains on Wall Street and a weaker euro, while the dollar rose after upbeat jobs data on Friday bolstered investor confidence in the strength of the US economy.
2.43 pm: Shares of oil producers fell after OPEC left output targets unchanged. Reliance Industries was trading 1.07 per cent down at Rs 955.45, ONGC was down 1.54 per cent at Rs 224.10 and Cairn India was trading 2.80 per cent down at Rs 135.40. Sensex was down 97.03 points at 25,541.03. Nifty was down 15.15 points at 7,766.75.
2.31 pm: GMR Infra shares surged as much as 8.7 per cent intraday on media reports that the GMR Group was in talks with PE firms for investment in its GMR Airports business. The scrip was trading 4.21 per cent up at Rs 16.10.
2.13 pm: Share price of Neyveli Lignite fell over 1 per cent after the company informed BSE that it received a rainfall of around 408 mm in 8 hours on November 09, 2015, the highest rainfall since inception of the company in the year 1956 and there has been almost persistent rain since November 08, 2015 resulting in flooding of mines and suspension of mining operations and lower in power generation. However, maximum possible power generation have been taken up. Necessary action has been taken to make the shortfall in production and power generation to the extent possible. The power generation in Thermal Power Station in Barsingsar, Rajasthan and in Tuticorin power project of NLC Tamilnadu Power Limited, the subsidiary company are operating as usual.
2.07 pm: Share price of Manali Petrochemicals (MPL) fell over 5 per cent after the company informed BSE that the production at both the plants of the company remains affected since December 02, 2015 due to flooding and the resultant power disruptions. The plant operations are expected to recommence shortly in a phased manner subject to resumption of normalcy in power supply, material movements, etc. Consequently the overall operations for the quarter and the year will be impacted significantly. The scrip was trading 5.26 per cent down at Rs 31.55. MPL operates two production facilities at Manali near Chennai to manufacture Propylene Oxide (PO), Propylene Glycols (PG) and Polyols.
1.57 pm: Share price of ITC was down 6.48 per cent at Rs 313.85. Sensex was down 123 points at 25,514. The BSE FMCG index slid the most in the sectoral indices. The index was down 2.53 per cent at 7,639.70.
1.55 pm: The BSE Smallcap index was up 0.23 per cent at 11,584. In the smallcap space, the share price of Sharp India surged 20 per cent to Rs 49.80 and hit upper circuit on Monday.
1.51 pm: Meanwhile, Anuh Pharma received Good Manufacturing Practice (GMP) certificate from COFEPRIS (Health Authority of Mexico) for two products. These products are Chloramphenicol and Chloramphenicol Palmitate. Shares of Anuh Pharma were trading 2.04 per cent up at Rs 309.90. Sensex was down 135.88 points at 25,502.
1.32 pm: Share price of Housing Development & Infrastructure Ltd (HDIL) were up 3 per cent at Rs 70.40. Sensex was down 140 points at 25,498.
1.10 pm: The market breadth on BSE was positive, out of 2674 stocks traded, 1,410 stocks advanced, while 1,115 stocks declined on the BSE.
1.06 pm: Sensex was down 114.20 points at 25,523.91. Nifty was down 22.60 points at 7759.30. The government-appointed panel suggested a standard GST rate of 17-18 per cent. Shares of logistics companies were trading with traction as they would be direct beneficiary of the implementation of GST. Gati was trading nearly 1 per cent up at Rs 175.70.
12.49 pm: Shares of tobacco and cigarette majors such as ITC and Godfrey Phillips were under pressure in the afternoon trade on Monday after a Finance Ministry panel headed by CEA Arvind Subramanian suggested 40 per cent goods and services tax (GST) rate on tobacco products. ITC was trading 5.48 per cent down at Rs 317.20. Nifty was down 17.35 points at 7,764. Sensex was down 88.80 points at 25,549.31
12.33 pm: Sagar Cements’ wholly-owned subsidiary company – BMM Cements has been granted a mining lease from Government of Andhra Pradesh for limestone over an extent of 1,123.32 acres of land nearer to its plant located at Gudipadu Village, in Ananthapur District, Andhra Pradesh for a period of 20 years. This would enable the company to source its limestone requirements there from after execution of a formal lease deed with the appropriate authorities in due course. The share price of the company was trading 6.10 per cent up at Rs 428.10 in the afternoon trade. Sensex was down 50.13 points at 25,587. Nifty was marginally up 0.55 points at 7,782.
11.55 am: Essar Oil, India’s second=biggest private refiner, has set a floor price of Rs 146.05 a share to buy out minority shareholders, the company said in a public notice. The share price of the company was trading 0.57 per cent up at Rs 211.35.
11.45 am: Sensex was down 21 points 25,616. Overall market breadth was positive on the BSE as 1424 stocks were trading in green while 934 were in losses.
11.19 am: NMDC reported 17.50 million tonnes (MT) of iron ore production and logged sales volume of 17.72 MT up to November 2015. The iron ore major stated that the company’s Chhattisgarh mines produced 10.03 MT and registered sales volume of 9.94 MT while Karnataka mines produced 7.47 MT and sold 7.78 MT up to November 2015. The mining company has also fixed the prices of iron ore with effect from December 04, 2015. The Lump Ore prices have been fixed at Rs 1,800 WMT (wet metric tonne) and Fines at Rs 1,560 WMT respectively. The above prices are excluding royalty, taxes, duties and levies. Shares of NMDC were trading 0.82 per cent down at Rs 91.
11.14 am: The BSE Healthcare index climbed nearly 0.9 per cent on the back of strong performance by Sun Pharma and Morepen Laboratories. Shares of Morepen rallied more than 5 per cent while scrips of Sun Pharma gained nearly 3 per cent. German investment banking firm Deutsche Bank said in a note to investors publishes on December 2 that the prospects of Indian pharma industry look positive as product launches in US markets and synergies from recent acquisitions are set to drive sector earnings at a CAGR of 24% in FY15-18E.”Indian pharmaceutical companies will continue to use their under-leveraged balance sheets to pursue inorganic growth by acquiring assets in both the Indian and US markets,” the note said. The BSE Sensex was down 36.18 points 25,605. However, Nifty50 index was up 5.55 points at 7,785.
11.03 am: Godrej Properties share price gained as much as 5.23 per cent in the morning trade on Monday after the real estate arm of Godrej Group announced that it has sold 300 apartments within one week at The Trees, its flagship project in Vikhroli, Mumbai. This represents more than 80 per cent of the 374 apartments it opened for sale in the first phase of this project. The value of apartments sold is in excess of 700 crores making this Godrej Properties’ most successful ever launch in terms of value of real estate sold. Sensex was marginally down 17.40 points at 25,620.
10.43 am: Sensex was down 13.89 points at 25,624. Nifty was marginally up 4.30 points at 7,786. Tata Steel is believed to nearing a deal to sell-off one of its UK steel plants, in a move expected to secure thousands of jobs. Several funds that specialize in trying to rescue troubled companies are battling it out to buy Tata’s long products arm, which is at the heart of its Scunthorpe steel works in Lincolnshire. The Tata Group could agree a deal as early as next week after receiving formal bids from three parties. Leading the pack are two of Britain’s biggest turnaround investors: financiers Greybull and Endless and a third bid has come from a mystery American private-equity house. The share price of Tata Steel was trading 1.17 per cent up at Rs 243.
10.35 am: In the 50-share index, Sun Pharma, Asian Paints, Ambuja Cement, BPCL and Grasim were up between 1.45 per cent and 3.15 per cent. On the other hand, ITC, Cairn, Coal India, NTPC and Idea Cellular were down between 1.10 per cent and 3.35 per cent. Nifty50 index was up 15.95 points at 7,797.
10.34 am: Debt-laden GMR Infrastructure is pinning its hopes on a turnaround based on its under construction power generation capacity becoming operational, and growth envisaged in its airport vertical with the increase in passenger traffic. The priority now is to improve cash flows, even as gross debt levels of the company, at a whopping Rs 47,000 crore, are unlikely to come down in a hurry. The airport business is witnessing improvement in EBIDTA with increase in passenger traffic. In FY15, EBIDTA from the Delhi airport stood at Rs 1,480 crore, while for Hyderabad it was Rs 188 crore. Share price of GMR Infra was up 4.85 per cent at Rs 16.20.
10.22 am: The 30-share index Sensex, which lost 531.30 points in the previous three sessions, was trading 31.60 points up at 25,669.71. In the index, Sun Pharma, Hero MotoCorp and Tata Steel were trading 2.82 per cent, 1.47 per cent and 1.25 per cent up at Rs 777.45, Rs 2655.70 and Rs 243.20, respectively.
9.53 am: Sensex was up 38.68 points at 25,676. Brokers said value-based buying in bluechips after recent losses and a firm trend at other Asian bourses, following solid gains on Wall Street after a strong US jobs report last week buoyed trading sentiments. Besides, optimism over the GST Bill, too triggered fresh round of buying, they said.
9.39 am: The rupee was trading higher by 7 paise at 66.62 against the US dollar in early trade on fresh
selling of the American currency by exporters and banks.
9.24 am: Adani Ports is keen to complete its own ‘Sagarmala’ dream by having presence in the three key states of Maharashtra, Karnataka and Andhra Pradesh, apart from setting up trans-shipment terminals in Southeast Asia and East Africa. Adani Group, which began work on its first international trans-shipment container port at Vizhinjam, now operates nine ports which would have an installed capacity of 490 million tonnes (MT) by the next fiscal. With this, the Adani Ports and Special Economic Zone (APSEZ) becomes the country’s largest ports operator in the private sector. Shares of Adani Ports were trading 0.84 per cent up in the early trade.
9.16 am: Lanco Infratech on Monday announced commencement of power supply to Haryana Discoms from its domestic coal based 300 MW Unit # 2 of Lanco Amarkantak Power Limited (LAPL), Chhattisgarh. With the commencement of power supply to Haryana Discoms at regulated tariff from this pithead plant, the entire 1800 MW operating coal based power portfolio of Lanco is now utilised to its full capacity with fuel pass through. Lanco Infratech was trading 3.73 per cent up at Rs 6.40
9.15 am: Domestic equity markets opened positive on Monday tracking firm global cues. Sensex opened 107.92 points up at 25,746.03 while Nifty50 index opened 34.65 points up at 7,816.55.
Asian share markets bounced on Monday after Wall Street welcomed an upbeat US jobs report suggested that the world’s biggest economy was well placed to handle an expected first increase in interest rates in almost a decade.
On Wall Street, the Dow rallied 2.12 per cent on Friday, while the S&P 500 gained 2.05 per cent and the Nasdaq 2.08 per cent.
Back home, stocks trended down for the third day in a row on Friday as the BSE Sensex lost over 248 points to end at 25,638.11 — a two-week low — amid an intense global sell-off after the ECB stimulus fell short of the crease.
The broader NSE Nifty cracked below yet another crucial 7,800-mark by falling 82.25 points, or 1.05 per cent, to close at 7,781.90.
Shares of Essar Oil and Titan will remain in focus on Monday. Essar Oil Ltd, India’s second biggest non-state oil refiner, on Saturday issued a public notice to delist the company from local bourses by buying out the non-promoter shareholding of 28.54 per cent at Rs 146.05 per share.
Tata Sons, the promoter of major operating companies of the Tata group, will acquire additional 0.22 per cent stake in Titan Company at an estimated price of over Rs 66 crore, taking its total holding to 19.80 per cent.
(With inputs from agencies)