Sensex closes 109 points down as China jitters continue, Nifty settles above 7,560

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New Delhi | Updated: January 11, 2016 4:34:32 PM

The BSE Sensex pared some losses after falling over 300 points in the early trade on Monday and closed 109.29 points down at 24,825.04.

BSE Sensex, NSE Nifty, stock market today, shanghai market, china market, niftyThe BSE Sensex pared some losses after falling over 300 points in the early trade on Monday and closed 109.29 points down at 24,825.04 (Photo: Reuters)

The BSE Sensex pared some losses after falling over 300 points in the early trade on Monday and closed 109.29 points down at 24,825.04 following weak global cues. NSE Nifty settled 37.50 points down at 7,563.85.

In the 50-share index, Vedanta, Reliance Industries, Tata Motors, Grasim and Maruti Suzuki gained between 1.65 per cent and 4.90 per cent. On the other hand, Wipro, Mahindra & Mahindra, Adani Ports, Tech Mahindra and Dr Reddy’s Labs slid between 2.70 per cent and 3.50 per cent.

Traders were seen piling position in realty and auto stocks while selling was witnessed in healthcare, IT and TECK sector stocks. The BSE Realty and BSE Auto index gained 0.25 per cent and 0.10 per cent. The BSE Healthcare index and BSE IT index fell 1.37 per cent and 1.10 per cent, respectively.

Gaurav Jain, director, Hem Securities, said, “Indices opened in deep red tracking global markets but recovered in the second part of trading session on the back of recovery in European markets. Short covering, lower level buying and strengthening of rupee also helped the indices recoup the losses to some extent.”

Sentiments remained dampened since morning as markets made a gap-down start as investors remained on sidelines ahead of Q3 earning season which is due to start tomorrow with TCS and IndusInd Bank unveiling the numbers. Traders also remained concerned with a private report stating that consumer sentiments in India fell for the fourth consecutive month in December to the lowest on record, as consumers reported a further deterioration in their personal finances amid rising inflation. Also, as the Commerce and Industry Minister Nirmala Sitharaman has said the devaluation of the Chinese currency is a ‘worrying’ development which will make Indian exports expensive and widen the trade deficit with the neighbouring nation.

In scrip specific development, Sun TV Networks closed 3 per cent down after the former telecom minister Dayanidhi Maran, his brother and Sun Group chief Kalanithi Maran and four others were charge sheeted by the Enforcement Directorate in the Special 2G court in connection with a money laundering case lodged in the Aircel-Maxis deal.

Vakrangee rallied 1.74 per cent on the back of its announcement of a strategic tieup with Mahindra e-market for promoting and booking of automobile products through Vakrangee Kendras.

Asian equity markets ended in deep red on Monday after more weak data reignited concerns about China’s economy following a global stocks rout at the start of the year. Chinese shares ended down at their lowest since September, following data released over the weekend showed producer prices fell for a record 46th month and inflation remained muted at about half the government’s target for 2015 in December, stirring concerns over a slowing economy. China guided its yuan currency stronger for a second straight session, adding to market confusion over what the central bank is trying to achieve. Seoul shares fell sharply on foreign fund selling after oil prices came under fresh selling pressure and Samsung Electronics indicated it may be due for another profit drop in 2016. The Japanese market was closed in observance of Coming of Age Day

China’s Shanghai Composite Index and the CSI300 index ended down more than 5 per cent after a 10 per cent plunge last week that triggered a global sell-off of riskier assets.

Asian IndicesLast Trade             Change in PointsChange in % 
Shanghai Composite3,016.70-169.71-5.33
Hang Seng19,888.50-565.21-2.76
Jakarta Composite4,465.48-80.81-1.78
KLSE Composite1,637.59-20.02-1.21
Nikkei 225
Straits Times2,708.85-42.38-1.54
KOSPI Composite1,894.84-22.78-1.19
Taiwan Weighted7,788.42-105.55-1.34

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Markets through the day

3.30 pm: The BSE Sensex on Monday closed 109.29 points down at 24,825.04. NSE Nifty settled 37.50 points down at 7,563.85.

3.07 pm: Rising for the 14th straight month, car sales in the country surged by 12.87 per cent in December as customers were induced by the auto industry into buying new vehicles by offering record discounts. According to the data released by Society of Indian Automobile Manufacturers (SIAM), domestic car sales in December stood at 1,72,671 units compared with 1,52,986 units in December 2014. Maruti Suzuki shares were trading 1.41 per cent up at Rs 4,275. Sensex was down 102.28 points at 24,832.

2.50 pm: Sensex was down 57.56 points at 24,876.77. Among the sectoral indices on BSE, the BSE Healthcare index and BSE Capital Goods index were trading down by 0.97 per cent and 0.81 per cent. BSE Realty and BSE Auto index were up 0.93 per cent and 0.51 per cent.

2.11 pm: Shares of Gujarat Industries Power Company were up 0.28 per cent at Rs 91. The company has issued Letter of intent (LoI) to Inox Wind, Noida in state of Uttar Pradesh, for installation of 26 MW Wind Energy Farm Project at Rojmal Site, Amreli, Gujarat, on EPC basis, with Operation & Maintenance Contract for twenty years. The said Wind Energy Farm Project is scheduled to be completed by December, 2016. Sensex was down 37 points at 24,896.

2.02 pm: Aurobindo Pharma has become the latest global conglomerate to launch its factory in Saudi Arabia. The shares of the pharma company were trading 0.69 per cent down at Rs 840.35. Sensex was trading 88.88 points down at 24,845.45. NSE Nifty was trading 30.55 points down at 7,570.80.

1.51 pm:  Bharat Heavy Electricals Ltd (BHEL) said it has commissioned a 520-mw coal-based thermal power unit in Andhra Pradesh. The share price of the company was trading 2.64 per cent down at Rs 149.65. Sensex was trading 134.80 points down at 24,799.53. NSE Nifty was trading 46.75 points down at 7,554.60.

1.38 pm: Brent crude oil fell over 3 per cent on Monday as China’s economic slowdown dented the outlook for demand, with traders placing record bets on even lower prices as they increasingly lose faith in a significant market recovery.

1.29 pm: Cadila Healthcare shares were trading 2.26 per cent up at Rs 317.10 after the drug firm said it has received Establishment Inspection Report (EIR) for Baddi manufacturing plant from the US health regulator after successful inspection closure. Sensex was trading 161.44 points down at 24,772.89. NSE Nifty was trading 56.10 points down at 7,545.25.

12.58 pm: NIIT Technologies on Monday said it has entered into an over Rs 226 crore pact with UK communications regulator Ofcom for providing information and communications technology (ICT) services. Shares of NIIT Tech were trading 4.34 per cent up at Rs 560.

12.33 pm: China’s Shanghai Composite index closed 5.33 per cent down at 3,016.70. NSE Nifty50 index was down 0.89 per cent at 7,533.

12.25 pm: Sun TV Networks shares were trading 4 per cent down after the former telecom minister Dayanidhi Maran, his brother and Sun Group chief Kalanithi Maran and four others were chargesheeted by the Enforcement Directorate in the Special 2G court in connection with a money laundering case lodged in the Aircel-Maxis deal.

12.21 pm: Goa Carbon shares were trading 2.29 per cent down at Rs 85.40. The company on Friday reported a net loss of Rs 0.90 crore for the quarter ended December 31, 2015 as compared to a net loss of Rs 5.18 crore for the same quarter in the previous year. The company’s income from operations has increased four times to Rs 89.80 crore for the quarter under review from Rs 20.64 crore for the corresponding quarter of the previous year.

12.12 pm: Asian peers, Shanghai Composite index was down over 4 per cent in the noon trade. Hang Seng was down 2.42 per cent. The BSE Sensex was down 173.76 points, or 0.70 per cent, at 24,760.

12.08 pm: Wind turbine maker Suzlon Group on Monday said it has bagged 197.40 MW repeat order from a Independent Power Producers (IPP) company in Andhra Pradesh. Shares of Suzlon Energy were trading 0.69 per cent down at Rs 21.50 in the noon trade. Sensex was down 164 points at 24,769.

11.48 am: Recovering from day’s low, benchmark equity indices have gained momentum however were still trading in red on account of selling in frontline blue chip counters, tracking weak Asian markets. Sentiments remained down-beat with a private report stating that consumer sentiments in India fell for the fourth consecutive month in December to the lowest on record, as consumers reported a further deterioration in their personal finances amid rising inflation. Trading sentiments were weakened further on report that foreign portfolio investors (FPIs) sold shares worth a net Rs 1,236.95 crore on January 08, 2015.  Sensex was down 129.92 points, or 0.51 per cent, at 24,807.

11.21 am: Eros International shares were trading 2.02 per cent down at Rs 232.40. The company of Friday post market hours announced the release of its upcoming Malayalam film 2 Penkuttikal, co-produced by Cinema Cooks and Eiffel Entertainments. Featuring Tovino Thomas, Amala Paul, Anju Kurian and Anna Fathima, the film will release on January 22, 2016.

11.08 am: Meanwhile, Citi said, India is likely to remain an attractive destination for investors given its relative macro outperformance.

10.59 am: Shares of Vakrangee gained as much as 4 per cent in the morning trade on Monday after the company announced a partnership with Mahindra eMarket Ltd for promoting and booking automobile products through Vakrangee Kendras.

10.49 am: Sensex was down 179 points at 24755.27. In the 30-share index, Reliance, Axis Bank and NTPC were trading higher by 2.27 per cent, 1.58 per cent and 1.36 per cent, respectively.

10.42 am: Sintex Industries tumbled over 7 per cent on lower growth guidance.

10.26 am: Sensex was down 223.78 points at 24,710.55. Brokers said sentiment dampened following other Asian markets amid unabated China fears which led to massive losses on global markets last week, overshadowing a strong US jobs report. Furthermore, the depreciating rupee against the dollar also negatively impacted sentiment in the domestic market, they added.

10.03 am: IFCI has reduced its Benchmark Rate ‘IFCI Benchmark Rate (IBR)’ from 12.00 per cent per annum to 11.70 per cent per annum with monthly rests. This new IBR shall be applicable from January 18, 2016. Shares of IFCI were trading 1.28 per cent down at Rs 26.95.

9.52 am: Leading forging major Bharat Forge plans to set up an integrated auto components hub in Nellore in Andhra Pradesh at an investment of about Rs 1,200 crore. The company also proposes to make a multi-modal manufacturing facility for industrial components, defence and aerospace components including a supply chain and this will be located in Anantapur district. Shares of Bharat Forge were trading 1.37 per cent down at Rs 821.95.

9.51 am: The rupee was trading lower by 29 paise at 66.92 against the American currency in early trade on Monday at the Interbank Foreign Exchange market as the dollar strengthened overseas.

9.45 am: BHEL and L&T also hit their new 52-week low in the morning trade. BHEL was trading 3.09 per cent down at Rs 148.95, while L&T shares were trading 1.72 per cent down at Rs 1,159.50.

9.42 am: Gold futures surged on Monday on continued economic turmoil expected in China and a backdrop of tense Middle Eastern disputes between Iran and Saudi Arabia. Gold futures for December delivery gained 0.8 per cent to $1,107 an ounce on the Comex division of the New York Mercantile Exchange. While, spot gold was up 0.3 per cent at $1,106.9 an ounce.

9.40 am: Nifty Bank index was down 1.84 per cent at 15,845. Bank of Baroda, Punjab National Bank, ICICI Bank and State Bank of India hit fresh 52-week low. Nifty Bank index was trading below 16,000 for the first time since September 2015.

9.39 am: Ashok Leyland has bagged an order worth $50 million. The company has bagged the order for 680 Vehicles and Spare Parts from the Ministry of Local Government, Public Works and National Housing, Government of Republic of Zimbabwe. Ashok Leyland shares were trading 0.44 per cent up at Rs 91.30.

9.31 am: In a bid to expand operations and capacity, Hindustan Zinc (HZL) is planning invest Rs 8,000 crore in the next 3-5 years. The firm is targeting to take the existing ore production levels of 9.36 million tonnes per annum (MTPA) to 14 MTPA and finished metal production to 1.10 MTPA from 0.85 MTPA. Shares of Hindustan Zinc were trading 2.25 per cent down at Rs 137.15 in the early trade. Sensex was down 301.77 points at 24,632.56

9.29 am: Sobha has achieved new sales of 8.06 lakh square feet in the third quarter of FY 2015-16 valued at Rs 478.30 crore with an average realisation of Rs 593.20 per square feet. The company’s new sales volume and value are higher by 22 per cent and 12 per cent respectively as compared to the third quarter of FY 2014-15. Sobha Developers has presence in seven cities — Bangalore, Gurgaon, Chennai, Pune, Coimbatore, Mysore and Thrissur. Shares of Sobha Ltd were trading 0.39 per cent up at Rs 310.25.

9.26 am: Birla Corp has emerged as the frontrunner to acquire Anil Ambani’s cement business, a wholly-owned arm of flagship Reliance Infrastructure, following a competitive sale process that also saw rival offers from leading private equity buyout funds. Birla Corp’s offer in the range of Rs 5,000-5,100 crore is said to be in line with Reliance Group’s expectations. It trumped competing PE bids pegged at Rs 4,200-4,500 crore. The other serious contender in the fray was Blackstone private equity, which had teamed up with Sumit Banerjee, former vice chairman of Reliance Cement. Shares of Birla Corp were trading 0.89 per cent up at Rs 451.

9.16 am: Sensex was trading 335.43 points down at 24,598. Vedanta, Cairn India and Tata Steel were trading over 3 per cent down in the early trade. All the 50 shares in

9.15 am: Sensex opened 14.22 points down at 24,787.11, while Nifty opened 73.90 points down at 7527.45. Both benchmark indices hit fresh 52-week low in opening trade.

8.57 am: Crude oil prices fell over 2 per cent on Monday as China’s economic slowdown dented the outlook for demand and traders are placing record bets on even lower prices as they increasingly lose faith in a significant market recovery.

8.46 am: The BSE Sensex and NSE Nifty are likely to open in red on Monday tracking SGX Nifty and weak global markets. Traders will also concerned with a private report stating that consumer sentiments in India fell for the fourth consecutive month in December to the lowest on record, as consumers reported a further deterioration in their personal finances amid rising inflation. Also, as the Commerce and Industry Minister Nirmala Sitharaman has said the devaluation of the Chinese currency is a “worrying” development which will make Indian exports expensive and widen the trade deficit with the neighbouring nation.

At 8.30 am (IST), SGX Nifty was down 44 points, or 0.58 per cent, at 7,560.

Asian share markets swept lower Monday after Wall Street suffered its worst starting week in history and doubts over Beijing’s economic competence sent investors into the arms of the safe-haven yen and sovereign bonds. Hang Seng and Shanghai were down 2.44 per cent and 1.37 per cent respectively.

Both the Dow and S&P 500 had their worst five-day starts in history last week, and the corporate news flow is unlikely to get any cheerier with the coming results season expected to be a tough one. Dow Jones Industrial Average index closed 1.02 per cent lower at 16,346.45 on Friday.

On Friday, Sensex and Nifty closed 82.50 points and 33.05 points up at 24934.33 and 7601.35, respectively.

According to the data released by the NSE, the Foreign Institutional Investors (FIIs) were net sellers of Rs 231.61 crore in index futures and options segments, as per Friday’s data, January 08, 2016.

FIIs were net sellers of index futures to the tune of Rs 355.54 crore and they bought index options worth Rs 123.93 crore. In the stock segment, FII’s were net sellers of stock futures worth Rs 367.21 crore, while they bought stock options worth Rs 29.05 crore.

Shares of Tata Motors and ONGC will remain in focus on Monday. Tata Motors owned Jaguar Land Rover (JLR) has achieved a record global sales in 2015 with the premium luxury vehicles’ manufacturer retailing 4,87,065 vehicles, its highest figure yet and a five per cent increase from previous year.

In the ONGC-Reliance Industries natural gas dispute, the Justice A P Shah Committee on fixing responsibility and compensation has started off on a stormy note with the private sector firm challenging its jurisdiction and deciding not to cooperate.

(With agency inputs)

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