Benchmark indices BSE Sensex and NSE Nifty slipped over a percentage point on Thursday on account of selling in frontline blue chip counters and taking cues from weak global counterparts.
Benchmark indices BSE Sensex and NSE Nifty slipped over a percentage point on Thursday on account of selling in frontline blue chip counters and taking cues from weak global counterparts. Investors failed to draw solace from ‘Global Macro Outlook 2016-17’ report by Moody’s Investors Service which forecasted Indian economy to grow 7.5 per cent in the current and next year, enlightening that the expansion is primarily driven by rising consumption and sustained improvement in private investment was needed to maintain the momentum.
Sensex settled the day 304.89 points down at 25,399.72, while Nifty slid 86.75 points to 7,783.40.
In the 50-share index, Bharti Infratel, BPCL, Power Grid, Wipro and ZEEL gained between 0.35 per cent and 0.97 per cent. On the other hand, Adani Ports, State Bank of India (SBI), Bank of Baroda, Larsen & Toubro and Eicher Motors slid between 3.12 per cent and 6.78 per cent.
Sectorwise, the BSE Capital Goods index slid the most — 2.38 per cent, followed by BSE FMCG index (down 1.74 per cent), BSE Metal index (down 1.61 per cent) and BSE Telecom index (down 1.35 per cent). Rest all other sectoral indices also ended the day in red.
Shreyash Devalkar, fund manager, equities, BNP Paribas Mutual Fund, said, “It was a day of losses in the markets as a bout of profit booking and weak global stocks weighed on the domestic bourses. Investors turned skittish after minutes from the US Federal Reserve’s most recent meeting indicated that most of its members are ready to lift rates as early as June, if economic data points to stronger US second-quarter economic growth along with higher inflation and employment.”
In scrip specific development, Torrent Power tumbled 11.36 per cent after the company stated that its net profit plunged 95.38 per cent Y-o-Y to Rs 17.06 crore for the quarter ended March 31. The company had posted a net profit of Rs 369.43 crore in the same quarter of previous year. Unitech slid 3.65 per cent as BSE and NSE will drop the company from the Futures & Options segment with effect from July 29.
Overall market breadth for the day remained negative and advances to declines ratio for Nifty stood at 9:42 for the day. Volumes for Nifty stocks stood at 1,756 lakh, slightly higher than Wednesday’s volumes of 1,610 lakh for Nifty stocks.
Asian equity markets ended mostly lower on Thursday, with risk sentiment hurt by falling commodity prices and a surging dollar, after the Federal Reserve’s April meeting minutes revealed ‘most’ members have a strong bias for raising rates as early as June, based on how the economy evolves. Chinese shares ended flat in thin trading after a State Council executive meeting chaired by Premier Li Keqiang urged state-owned enterprises to boost their competitiveness. Japanese shares ended little changed on Thursday, moving in and out of positive territory as general caution offset some gains from Federal Reserve minutes that boosted the dollar and weakened the yen. Some investors stayed on the sidelines ahead of Group of Seven meetings to be held this week in Japan.
Markets through the day
3.30 pm: Sensex settled the day 304.89 points down at 25,399.72, while Nifty slid 86.75 points to 7,783.40.
3.10 pm: Meanwhile, Lupin reported 47.54 per cent rise in its consolidated net profit at Rs 807.08 crore for the quarter ended March 2016 against Rs 547.01 crore in the corresponding quarter a year ago. Shares of the company were trading 1.78 per cent up at Rs 1,661.45. The scrip opened at Rs 1,650 and has touched a high and low of Rs 1,688 and Rs 1,637.45, respectively, in trade so far.
2.55 pm: Sensex plunged 299.77 points in the late trade at 25404.84. Nifty was down 80.65 points at 7,789.50.
2.41 pm: Domestic equity markets retreated further after European market fell on Thursday, with weaker oil and metals prices putting pressure on commodity stocks, while concerns about another US rate hike in the near-term also weighed on markets. Sensex was trading 217 points down at 25,487. Nifty was down 66 points at 7,804.
2.06 pm: Tata Power’s 100 per cent subsidiary – Tata Power Renewable Energy (TPREL) has won two solar grid connected photovoltaic projects of 50 MW capacity each in Pavagada Solar Park in the Tumkur district of Karnataka. Shares of Tata Power were trading 0.14 per cent down at Rs 69.75. Sensex was trading 153 points down at 25,551.
1.39 pm: Oil and gas counter were facing selling pressure despite Minister of State for Petroleum and Natural Gas, Dharmendra Pradhan stating that natural gas from coal bed methane is likely to contribute to five per cent of national gas production by 2017. The BSE Oil & Gas index was down 0.26 per cent at 9,205.
1.07 pm: Shares of logistics companies gained on Thursday on hopes that the state elections will boost chances of the passage of key Goods and Services Tax (GST) Bill. Read more
Sensex was down 183 points at 25,521.40. Nifty was down 55 points at 7,815.
12.38 pm: Torrent Power shares plunged as much as 17.58 per cent on Thursday after the company on Wednesday after market hours reported 84.71 per cent fall in net profit figures at Rs 27.76 crore for the quarter ended March 2016 against Rs 181.61 crore in the corresponding quarter a year ago.
12.08 pm: Shares of realty major Unitech plunged as much as 5.5 per cent on Thursday as BSE and NSE will drop the company from the futures and options segment from July 29. At 12.08 pm, shares of Unitech were trading 3.16 per cent down at Rs 3.98. Sensex was down 100.61 points, or 0.39 per cent, at 25,604. Nifty was trading 27.55 points, or 0.35 per cent, down at 7,842.60.
12.01 pm: In the 50-share index, Lupin, Tata Steel, Tata Motors, BHEL and Hindalco were up between 1.39 per cent and 2.15 per cent. On the other hand, Bank of Baroda, State Bank of India, HDFC, ITC and ONGC were down between 1.41 per cent and 2.05 per cent. Sensex was down 99 points at 25,605. Nifty was down 28.85 points at 7,841.
11.33 am: Projecting an economic growth rate of close to 7.5 per cent in 2016 and 2017, Moody’s Investors Service on Thursday said the prevailing low headline inflation is expected to continue aided by a good monsoon, allowing RBI to sustain its current accommodative stance. The BSE Sensex was trading 84 points down at 25,620. Nifty was down 24.65 points at 7,845.
11.20 am: Balkrishna Industries surged over 5 per cent intraday on Thursday after it reported 0.45 per cent rise in net profit figures at Rs 154.99 crore for the fourth quarter ended March 2016. Read more
Sensex was down 83.26 points at 25621. Nifty was trading 22.60 points down at 7,847.
10.52 am: Sensex was down 62.81 points at 25641.90. Nifty was trading 25.65 points at 7,844. Balkrishna Industries shares were trading 3.85 per cent up at Rs 696.
10.30 am: Parag Milk Foods shares made its debut stock exchanges on Thursday, listing flat at Rs 215.70 on BSE, and subsequently jumping nearly 14 per cent to Rs 245.50. The issue price Parag Milk Foods was Rs 215.
10.02 am: Sun TV shares were trading 11.74 per cent down at Rs 377.35. Read more: Sun TV Network shares plunge 10% on Tamil Nadu assembly election trends
9.36 am: The rupee plummeted 23 paise against the dollar to 67.20 in early trade, its weakest level since March, due to appreciation of the American currency overseas amid foreign fund outflows.
9.30 am: Sensex was trading 100.18 points, or 0.39 per cent, down at 25,604.43. Nifty was trading 32.25 points, or 0.41 per cent, down at 7,837.90.
9.23 am: Life Insurance Corporation (LIC) has hiked its stake in Tata Motors to over 7 per cent through various open market transactions. The country’s largest life insurer has increased its shareholding in the company from 4.91 per cent to 7.01 per cent through purchase of shares between January 8, 2013, and May 17, 2016. Shares of Tata Motors were trading 0.96 per cent up at Rs 388.70.
9.16 am: Sensex was trading 54 points down at 25,650. Nifty was down 23.35 points at 7,846. Sun TV shares were trading 9.99 per cent down at Rs 384.80. Latest Election Commission data from postal ballots shows AIADMK leading in 8 seats and DMK leading in 13 seats in Tamil Nadu.
9.15 am: The BSE Sensex opened 9.23 points, or 0.04 per cent, up at 25713.84, while Nifty opened 5.35 points, or 0.07 per cent, up at 7,875.50.
8.58 am: Shares of Sun TV will also remain in focus on Thursday ahead of assembly election results. The company is owned by Kalanithi Maran, the grandnephew of DMK president M Karunanidhi.
8.38 am: The BSE Sensex and NSE Nifty are likely to open lower on Thursday tracking Nifty futures on the Singapore Stock Exchange and mixed global cues.
At 8.20 am (IST), SGX Nifty was trading 27 points, or 0.34 per cent, down at 7,850.
Equity markets may look for cues from the Assembly Elections results in 5 states -Tamil Nadu, West Bengal, Assam, Puducherry and Kerala.
Asian stocks fell and the US dollar stood tall on Thursday as markets scrambled to factor in the possibility of another interest rate increase by the Federal Reserve as early as June.
Wall Street closed flat on Wednesday after a volatile session as the minutes from the Federal Reserve’s April meeting signalled a potential interest rate increase in the near term. Dow Jones Industrial Average closed 0.02 per cent down at 17,526.62.
Domestic equity markets plunged for the first time in three days on sell-off in auto stocks after some popular car models failed safety crash test and downbeat global cues as strong US data boosted prospects of an interest rate hike by the Federal Reserve. The benchmark BSE Sensex opened lower and stayed in the red and touched a low of 25,503.40 largely in tune with weak global shares. However on emergence of buying in SBI, ONGC and L&T, later it trimmed losses and finally settled 69 points or 0.27 per cent lower at 25,704.61.
Shares of Dr Reddy’s Laboratories and Torrent Power will remain in focus on Thursday. Drug firm Dr Reddy’s Laboratories is recalling over 50,000 bottles of Ondansetron tablets made at the company’s Bachupally plant in India, on account of failed impurities/ degradation specifications.
Torrent Power on Wednesday reported a net profit of Rs 17.06 crore for the quarter ended March 2016, down 95.38 per cent compared to the year ago period. The company had posted a net profit of Rs 369.43 crore in the similar quarter of the previous year.
(With agency inputs)