Weak European markets coupled with heavy selling in the front line blue chip stocks in the last hour of trade dragged the benchmark indices BSE Sensex and NSE Nifty down over one-and-a-half percentage point on Monday.
The BSE Sensex closed 329.55 points down at 24287.42. On the National Stock Exchange (NSE), the 50-share Nifty closed at 7,387.25 with a loss of 101.85 points or 1.36 per cent.
In the 30-share index Sensex, shares of Tata Motors slid the most — 3.94 per cent, followed by TCS (down 2.75 per cent) , ITC(down 2.72 per cent), ONGC (down 2.43 per cent) and Sun Pharma (2.42 per cent). On the other hand, Axis Bank, State Bank of India and Bharti Airtel gained 2.38 per cent, 2.29 per cent and 1.27 per cent, respectively.
S&P BSE Sensex on Feb 8, 2016
Barring the BSE Telecom index (up 0.78 per cent), BSE Realty index (up 0.37 per cent) and BSE Consumer Durables index (up 0.19 per cent), rest all other sectoral indices ended in red. The BSE IT index and BSE TECk index slid 1.95 per cent and 1.6 per cent, respectively.
Gaurav Jain, director, Hem Securities, said, “Sharp sell-off was witnessed in the second half of the trading session on the back of falling global equities. Investors turn cautious ahead of the crucial gross domestic product data, which is due later in the day. Further depreciating rupee and slumping crude oil prices increased worries of the street.”
In a scrip specific development, Jet Airways shares gained nearly 4 percent after the second largest carrier posted record earnings for the October-December quarter.
3M India shares surged 13 per cent after the company reported a 240 per cent year on year rise in its net profit figures at Rs 56.61 crore for the quarter ended December 2015 against Rs 16.65 crore in the corresponding quarter a year ago.
Market sentiments also remained down-beat with the report India’s economic recovery is losing some steam and there is a likelihood of slowdown in the growth momentum. According to report, improving urban consumption demand and a robust transportation sector are supporting growth, however, weak external conditions and sluggish investment demand are weighing on the pace of the recovery. Besides, caution prevailed ahead of the key economic data including GDP, IIP and consumer inflation due to be unveiled later during the week.
The government set the floor prices for imports on Friday, the first time it has taken such a step in over 15 years, to deter countries such as China from undercutting local mills. The measures also lifted lenders such as State Bank of India given that steel companies owe large debts to the banking sector.
Market breadth for the day remained negative and advances to declines ratio for the day stood at 12:38 for the day.
European equities fell sharply on Monday, extending the previous week’s steep losses, with cyclical sectors losing ground on persistent concerns about the pace of global economic growth. The pan-European FTSEurofirst 300 was down 1.7 per cent at 1,261.05 points by 0940 GMT after falling up to 1,259.27 points, its lowest level since October 2014. European sectors such as banking, autos, construction and technology fell 2.6 to 2.9 per cent.
Markets through the day
3.30 pm: The BSE Sensex closed 329.55 points down at 24287.42. On the National Stock Exchange (NSE), the 50-share Nifty closed at 7,387.25 with a loss of 101.85 points or 1.36 per cent.
3.05 pm: Selling pressure continues. Sensex was down 305 points at 24,311. Nifty at 7,395.
2.58 pm: Shares of Inox Wind fell over 6 per cent after the company posted 1 per cent fall in net profit figures at Rs 145.93 crore for the quarter ended December 2015 against Rs 147.52 crore in the corresponding quarter a year ago. Sensex was down 248 points at 24,368. Nifty was down 72 points at 7,417.
2.49 pm: The BSE Sensex slid 224 points to 24,392 on weak global markets. Nifty was down 58.85 points at 7,430.
2.41 pm: BSE Sensex fell further and was trading 126.79 points down at 24,490. Nifty was down 44.35 points at 7,444.75. European indices turned negative and slipped over 1 per cent from day’s high.
2.34 pm: Sensex was down 61.56 points at 24,555. Nifty was down 19.45 points at 7,469.
2.00 pm: Sobha Ltd shares fall after the realty firm on Friday post market hours reported 47 per cent decline in consolidated net profit at Rs 32.1 crore for the quarter ended December 2015 due to lower sales. The Bengaluru-based developer had posted a profit of Rs 60.1 crore in the year-ago period. Shares of Sobha were trading 4.93 per cent down at Rs 271.05. The BSE Realty index was up 2.15 per cent at 1193. Sensex was up 51 points at 24,668, while Nifty was up 12.20 points at 7,501.
1.45 pm: European shares steadied in early trading on Monday after steep losses in the previous week, with some encouraging company updates and stronger mining stocks underpinning the market.
1.26 pm: Claris Lifesciences shares hit their new 52-week low of Rs 156 on Monday after the company on Friday after market hours reported a consolidated net loss of Rs 68.88 crore for the quarter ended December 2015. The company had posted net profit of Rs 89.85 crore in the corresponding quarter a year ago. At 1.26 pm, shares of Claris Lifesciences were trading 6.75 per cent down at Rs 163. The scrip opened at Rs 168.50 and had touched a high and low of Rs 168.50 and Rs 156.10, respectively, in trade so far. Sensex was up 0.10 per cent at 24,640.51.
1.01 pm: Sensex was up 24.21 points at 24,641. Meanwhile, Piramal Enterprises reported a consolidated net profit of Rs 321.71 crore and net sales at Rs 1,847.71 crore for the December quarter.
The company had posted a net profit of Rs 249.02 crore and net sales of Rs 1,385.12 crore during the same period last fiscal. The results are not comparable on the account of various acquisitions and divestitures such as stake sale in Vodafone India and lab diagnostics and point-of-care business, Piramal
Enterprises said in a regulatory filing. Shares of Piramal Enterprises were trading 1.26 per cent down at Rs 959.70.
12.46 pm: The BSE Sensex and NSE Nifty were trading in a narrow range on the back of tepid global cues. Also, caution prevails in the market ahead of the key macrodata including GDP, IIP and consumer inflation due to be unveiled later during the week. Meanwhile, banks are gaining across the board on improving credit demand after the government set a minimum import price for steel products to check dumping from countries such as China and South Korea. The BSE Bankex was up 1.18 per cent at 17,376.24.
12.42 pm: Most of the metal stocks were trading in green on Monday after the government imposed a minimum import price (MIP) on 173 steel products ranging between $341 to $752 per tonne. The move will give relief to domestic steel producers against cheap in-bound shipments. Shares of JSW Steel, Tata Steel and SAIL rose as much as 4 per cent, 4.19 per cent and 4.60 per cent, repectively, in trade. The BSE Metal index was trading 0.53 per cent up at 6,935.
12.13 pm: Traders were seen piling position in Realty, Bankex, Capital Goods, PSU and Power stocks, while selling was witnessed in IT, TECK and Oil & Gas sector stocks.
12.03 pm: Drug major Dr Reddy’s Laboratories on Monday said its US subsidiary Promius Pharma has received USFDA approval to market Sernivo spray, used in treatment of skin disorder. Shares of Dr Reddy’s Labs were trading 2.48 per cent down at Rs 3,032.
11.39 am: Precision Camshafts shares which debut on bourses on Monday fell as much as 16.66 per cent in the early trade against their issue price of Rs 186. Shares of Precision Camshafts listed at Rs 163.10 and had touched a high and low of Rs 184.70 and Rs 155, respectively, in trade so far. At 11.39 am, shares were trading at Rs 181.55. Sensex was up 9 points at 24,626.
11.02 am: The BSE Metal index was up 0.91 per cent at 6,961.27. Giving relief to domestic steel producers against cheap in-bound shipments, the government on Friday imposed a minimum import price (MIP) on 173 steel products ranging between $341 to $752 per tonne. Sensex was up 53.22 points at 24,670. Nifty was up 13 points at 7,502.
10.56 am: Marsons shares hit upper circuit on Monday after it informed BSE that the company has bagged order worth Rs 25 crore from RRVPIML a Rajasthan State Utility for supply of 19 nos. 25 MVA 132/33 Kv class Power Transformers. The share price of Marsons jumped 4.98 per cent to Rs 8.01. Sensex was up 17 points at 24,634. Nifty was up 8.75 points at 7,497.
10.44 am: Sensex was up 37 points at 24,654. Japanese market, the only major Asian market trading today was in green, despite the concerns about weak earnings and after the US jobs report failed to give clues on the Federal Reserve’s monetary policy outlook. Most of the regional markets are closed for the Lunar New Year holiday, including China, Hong Kong, Indonesia, South Korea, Malaysia, Singapore and Taiwan. Nikkei 225 was up by 73.98 points, or 0.44 per cent, at 16,893.57.
10.35 am: Wipro shares were trading 0.17 per cent up at Rs 558.95. The company has won an IT infrastructure transformation contract from the ASSA ABLOY Group, headquartered in Sweden. ASSA ABLOY is the global leader in door opening solutions. As part of the five-year agreement, Wipro will consolidate ASSA ABLOY’s existing data centers in the EMEA region and implement a cloud-based service model, which will include IaaS (Infrastructure as a Service) and PaaS (Platform as a Service). The deployment will leverage Wipro’s BoundaryLess Data Center offering and will provide a full suite of IT infrastructure management services to ASSA ABLOY’s global organization.
10.22 am: Procter & Gamble (P&G) shares gained as much as 9.38 per cent in the early trade on Monday after the FMCG major reported 61.81 per cent rise in net profit figures to Rs 146.70 crore for the quarter ended December 2015. The company earned Rs 90.66 crore in the corresponding quarter a year ago ago. The BSE FMCG index was down 0.13 per cent at 7,534.20. Sensex was down 8.83 points at 24,608.
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10.00 am: Sensex was down 46 points at 24,570. Brokers said apart from profit-booking in recent gainers, weak trend in other Asian bourses, mainly influenced the sentiment.
9.33 am: The rupee depreciated 22 paise to 67.86 against the US dollar in early trade on Monday at the Interbank Foreign Exchange market due to appreciation of the American currency overseas amid a lower opening in the domestic equity market. Sensex was down 9 points at 24,607.
9.26 am: In the 50-share index, Tata Steel, Bank of Baroda, Axis Bank, Punjab National Bank and State Bank of India were up between 1.62 per cent and 2.80 per cent. On the other hand, Tata Motors, Tata Power, Infosys, TCS and Lupin were down between 0.97 per cent and 1.55 per cent. Nifty was down 12.20 points at 7,476.90. Sensex was up 6 points at 24,623.
9.16 am: Sensex was down 43.85 points at 24573.12. Nifty50 was down 12.10 points at 7,477. Jet Airways shares were trading 7 per cent up at Rs 613.20.
9.15 am: Benchmark indices opened on a flat note on Monday ahead of GDP data for December quarter, which is due later in the day. BSE Sensex opened 20.44 points up at 24637.41, while NSE Nifty opened 0.60 points up at 7489.70.
8.41 am: The BSE Sensex and NSE Nifty are likely to open in red on Monday tracking Nifty futures on the Singapore Stock Exchange (SGX Nifty) and weak Asian markets.
At 8.27 am (IST), SGX Nifty was down 30.50 points, or 0.41 per cent, at 7,476.50.
Asian shares got off to a rocky start on Monday after mixed US jobs data helped sink shares on Wall Street, but trade was thin with many regional markets closed for the Lunar New Year holiday.
The Dow Jones Industrial Average ended 1.29 per cent lower in Friday’s trade.
Brent crude was down 0.4 per cent at $33.91 a barrel, while US crude futures shed about 0.2 per cent to $30.84.
Benchmark index BSE Sensex advanced 278 points to 24,616.97 on Friday on account of buying in beaten down bluechip stocks. NSE Nifty gained 85.10 points to 7,489.10.
Shares of GMR Infra will remain in focus on Monday after CERC order on tariff revision related to supply of 300 MW under Power Purchase Agreement with Haryana Discoms from 1050 MW coal based power plant at Kamalanga, Dist. – Dhenkanal, Odisha.
Jet Airways shares will also remain in limelight as the Naresh Goyal-run airline on Saturday reported a record standalone quarterly profit of Rs 467 crore for the three months ended December, driven by 15 per cent domestic traffic growth and lower fuel costs. The profit reflects a multi-fold growth from Rs 63 crore reported in the year-ago period.
Foreign portfolio investors (FPIs) sold shares worth Rs 606.83 crore on Friday, as per provisional data.
(With agency inputs)