Sensex snaps 3-day fall, Nifty above 8350 as SBI, ONGC rise
Rebounding from over one-month lows, benchmarksensex on Wednesday closed 34 points higher to end at 27,831.10, snapping its three-day losing trend, on gains in SBI and ONGC shares, amid a firm European trend.
The wide-based 50-issue NSE Nifty also recovered by 14.95 points, or 0.18 per cent, to close at 8,355.65.
While session was markedly choppy in the absence of strong local cues, buying in key counters supported sensex and Nifty. Two-tier stocks attracted buying from retail investors, helping their indices outperform broader benchmarks.
Rise in SBI, ONGC, Tata Motors, ICICI Bank, HDFC Bank, Dr Reddy's Lab, Cipla, Hero MotoCorp and Tata Power helped markets end in the positive terrain. However, fall in L&T, RIL, HUL, Bajaj Auto, BHEL and Gail India capped the rise.
The BSE 30-share barometer resumed lower in line with mixed cues from Asian peers and moved erratically in a range of 27,905.25 and 27,710.03 before concluding at 27,831.10, showing a rise of 34.09 points or 0.12 per cent. In previous three sessions, it had tumbled 765.81 points or 2.68 per cent.
"PSU banking counters remained upbeat throughout the session ...," Jayant Manglik, president, retail distribution, Religare Securities.
Shares in jewellery makers surged on hopes government will announce changes to gold-import rules for trading houses.
Meanwhile, Foreign Portfolio Investors (FPIs) sold shares worth a net Rs 221.52 crore on Tuesday as per provisional data.
Asian markets ended mixed, tracking an uninspiring finish on Wall Street overnight triggered by global growth concerns. Fresh political uncertainty in Greece, a rout in oil prices and a selloff in Chinese shares in the previous session continued to cast their shadow.
"Outcome of the Greece crisis and the way they come to an agreement over the credit line instead of the bailout, would drive the market direction in the short term," said Rakesh Goyal, Senior Vice President, Bonanza Portfolio.
Key indices from China, Hong Kong and Singapore closed with gains while those from Japan, South Korea and Taiwan finished with losses. Indices in Germany, the UK and France were up by 0.29 per cent to 0.79 per cent.
US stocks ended mixed yesterday with the Nasdaq Composite rallying after stiff losses, as investor concern about the global economy ebbed.
Jignesh Chaudhary, Head of Research, Veracity Broking said, "Concerns over global growth, political uncertainty in Greece and India's CAD issue forced local indices to trade weak for the past three days in a row. However, local equities today gained with the help of some bluechips."
In the domestic market, 13 scrips out of the 30-share sensex pack ended higher while 17 others declined.
Major sensex gainers were SBI (3.06 per cent), ONGC (2.44 per cent), Tata Power (1.87 per cent), Tata Motors (1.53 per cent), Cipla (1.48 per cent), Dr Reddy's Lab (1.37 per cent) and Hero Motocorp (1.13 per cent).
However, BHEL fell by 2.30 per cent followed by Gail 2.01 per cent, HUL 1.79 per cent, Bajaj Auto 1.45 per cent and Larsen & Toubro 1.01 per cent.
Among the S&P BSE sectoral indices, Consumer Durable index rose by 2.43 per cent, followed by Bankex 1.01 per cent and Power 0.74 per cent while Capital Goods fell by 0.99 per cent.
Small-cap and Mid-cap indices also rose by 1.06 per cent and 0.93 per cent respectively on fresh buying from retail investors.
Overall market breadth turned positive as 1,665 stocks finished higher, 1,268 stocks ended lower while 106 ruled steady. Total turnover moved up slightly to Rs 3,040.59 crore from Rs 3,049.29 crore on Tuesday.
Rupee Gets strong
In lackluster trade, the Indian rupee today closed almost flat at 61.73 against the Greenback on alternate bouts of demand and supply amid rise in US dollar value overseas.
While the marginal drop in rupee was its third straight session of decline, the local currency seemed to hold steady compared to Asian peers, who saw volatility after data showed Japan slipping into recession, said forex experts.
At the Interbank Foreign Exchange (Forex) market, the domestic unit commenced strong at 61.63 a dollar from previous close of 61.72, but later declined to a low of 61.7875 before settling at 61.73, showing a fall of a mere one paise or 0.02 per cent.
The dollar was trading strong in overseas market as the dollar index was up by 0.13 per cent against its major six global rivals.
The benchmark S&P Sensex today improved further by over 131 points, or 0.47 per cent to end at new peak while FIIs bought shares worth USD 109.58 million last Friday.
Good capital inflows in Indian equities cushioned the rupee fall, a forex dealer said.
Pramit Brahmbhatt, Veracity Group CEO said,”Rupee is expected to appreciate in coming days tracking gains in local equities. The trading range for the spot rupee is expected to be within 61.20 to 62.00.”
Rupee tanks 48 paise to 61.13 against dollar
The Indian rupee on Monday plunged 48 paise, logging its biggest fall in more than five weeks, to close at over one-month low of 61.13 against the greenback following fresh dollar demand from importers and negative cues from local equities.
A strong surge in the dollar overseas also kept the rupee under pressure combined with expectations of higher trade deficit data, a forex dealer said. After currency markets closed, government data showed that the trade gap in August rose to $10.83 billion.
Against a gauge of six major global rivals, the dollar index was up by 0.23 per cent ahead of the two-day policy setting meeting of the US Federal Reserve starting tomorrow.
Forex dealers expect early hike in interest rates by the Fed after improving economic indicators, which might induce foreign funds to withdraw money from emerging markets, including India.
At the Interbank Foreign Exchange (Forex) market, the local currency resumed lower at 60.92 a dollar from last weekend’s close of 60.65 and immediately touched a high of 60.90.
Later, rupee met with strong resistance and dipped to a low of 61.18 before settling at 61.13, a steep fall of 48 paise or 0.79 per cent. Previously, it had tumbled by 65 paise on August 6, 2014. The closing level of 61.13 is its weakest since ending at 61.21 on August 13, 2014.
The benchmark S&P BSE Sensex on Monday plunged 244.48 points, or 0.90 per cent, on weak global cues. FPIs/FIIs had picked up shares worth $40.83 million last Friday, Sebi data says.
Meanwhile, the inflation measured on Wholesale Price Index (WPI) dipped to 3.74 per cent in August to a nearly five-year low from 5.19 per cent in July and 6.99 per cent in August 2013.
Pramit Brahmbhatt, Veracity Group CEO said: “Rupee lost over 0.75 per cent taking cues from the strong dollar. The local equities closed in the red even though WPI numbers were at a five-year low in August. However, increased demand for the US currency from importers dented the rupee. The trading range for the spot rupee is expected to be within 60.80 to 61.60.”
The Reserve Bank of India fixed the reference rate for dollar at 60.9945 and for the euro at 79.0306.
The rupee fell back sharply against the pound to 99.29 from 98.34 previously and also dropped to 79.00 per euro from 78.44. It dipped to 57.00 per 100 Japanese yen from 56.60.
Sensex, Nifty fall most in 5 weeks on Fed worries, China data
Logging their worst drop in over five weeks, Sensex on Monday fell 244.48 points to end at below 27,000 mark and Nifty slid 63.50 points to below 8,100 level on US rate hike fears and tepid China data, despite domestic inflation in August easing to nearly five-year low.
The rupee depreciated against US dollar to 61.14 levels, further dampening market sentiments, said equity brokers. Wary market participants preferred to book profits as they expected early hike in interest rates by the US Federal Reserve. Higher US rates is likely to trigger capital outflows in emerging markets, including India. Fed's two-day policy setting meeting starts on Tuesday.
Metal shares suffered the most after lacklustre Chinese factory output indicated slowdown in world's second biggest economy. Asian markets also retreated reacting to China data. Refinery, IT, capital goods and FMCG stocks in Indian markets also attracted profit-booking while some of the pharma and realty counters closed with gains, said traders.
The BSE 30-share Sensex resumed lower in line with sluggish Asian trends on the back of Friday's fall on Wall Street. It gradually moved down further to settle at a two-week low of 26,816.56, down 244.48 points or 0.90 per cent. Today's drop is its worst fall since August 8, 2014.
Worries over weak IIP growth that slowed to 4-month low of 0.5 per cent in July weighed even wholesale inflation fell sharply in August to 3.74 per cent, nearly 5-year low.
Similarly, the 50-issue NSE Nifty also dipped by 63.50 points or 0.78 per cent, also its biggest loss since August 8, to two-week low levels of 8,042.
"Benchmark indices ended lower for the day, driven lower by weak global markets. The policy meeting of the US Fed continued to be in focus. Markets are awaiting signals from the Fed, if any, on the timing of interest rate hikes," said Dipen Shah, Head- PCG Research, Kotak Securities.
With CPI inflation data (7.8 per cent y-o-y in August) already getting released last week, markets chose to ignore WPI data and focussed on the US Fed meeting, he added.
Oil prices sank. US benchmark West Texas Intermediate for October delivery eased 74 cents to $91.53, while Brent crude for October rose 39 cents to $97.50 in afternoon trade.
Barring China, other Asian markets closed lower between 0.06 per cent and 0.99 per cent on weak Chinese factory output data. Japan market was closed today for holiday. European stocks, excepting German, were trading lower. The CAC was down by 0.37 per cent and the FTSE by 0.26 per cent while the DAX was up by 0.10 per cent. US stocks also ended lower on last Friday as investors looked ahead to a Federal Reserve meeting due on 16-17 September 2014.
However, Foreign Portfolio Investors (FPIs) bought shares worth a net Rs 182.80 crore on last Friday as per the provisional data issued by stock exchanges.
Jignesh Chaudhary, Head Of Research, Veracity Broking Services said: "Local equities dropped taking cues from weak global stocks on anxiety about early Fed rate hikes and China factory output. India reported weaker-than-expected industrial production, tempering optimism about an economic recovery."
Moving to the domestic market, 25 scrips out of the 30-scrip Sensex pack ended lower while others finished higher.
Among gainers, Cipla rose 2.15 per cent, Hero Moto Corp 1.56 per cent, Dr Reddy 0.53 per cent and HDFC 0.51 per cent.
Among the S&P BSE sectoral indices, Metal fell by 1.69 per cent, Oil & Gas 0.96 per cent, IT 0.96 per cent, Capital Goods 0.89 per cent and FMCG 0.89 per cent.
Sensex, Nifty log worst drop in a month; Re hits 61 vs dollar
Markets on Wednesday logged their steepestloss in over month with Sensex falling 208 points and Nifty slipping 59 points on continued profit-booking after hitting record highs recently and concerns that a sooner than expected hike in US interest rates would affect capital inflows.
In step with weak equity markets and other emerging market currencies, the rupee plunged to 61-level against the greenback intra-day.
Selling mainly in heavyweights like ITC, Infosys, RIL, HDFC, L&T, HDFC Bank and TCS kept the market under pressure.
Shares from Consumer Durables, Oil&Gas, FMCG, IT and Capital Goods sectors suffered losses while some shares from Realty and Power attracted buying.
"Concerns over US Fed hiking interest rates earlier than expected added to the weakness in global markets. Crucial CPI and IIP data this week along with US fed decision will be in focus in coming sessions," said Kiran Kumar Kavikondala, Director & CEO, WealthRays Securities.
All eyes are now Fed's policy-setting meeting on September 16-17 that could give more cues on rate trajectory.
Despite sharp falls in Sensex and Nifty, total market breadth was positive on consistent buying by retail investors in second-line stocks.
The BSE 30-share barometer resumed slightly lower and remained in negative terrain throughout the day to settle at 27,057.41, a steep fall of 207.91 points or 0.76 %. This is its biggest fall since 259.87 point loss on August 8.
On Tuesday, the Sensex slipped 54.53 points after it hit new highs on Monday.
The 50-issue CNX Nifty of the NSE also tumbled by 58.85 points, or 0.72 %, to end at 8,094.10. This is its sharpest single-day loss since 80.70-point drop on August 8.
"Markets were sluggish to start and ended the day even lower taking cues from weak global markets. The Supreme Court's reserved decision on the coal block allocations also kept traders cautious as did the depreciating rupee," said Jayant Manglik, President-retail distribution, Religare Securities.
Among major laggards, tobacco product giant ITC (down 1.85 %) was second biggest loser from the Sensex pack on concerns the government may tighten tobacco regulations. Hero MotoCorp fell the most as it fell 2.44 %.
Meanwhile, Foreign Portfolio Investors (FPIs) bought shares worth a net Rs. 479.40 crore on Tuesday, as per provisional data from the stock exchanges.
PSU OMCs saw share prices falling on Wednesday even as Brent crude oil fell below USD 99 a barrel. Petrol and diesel rates are due for revision on September 15. Oil India, Cairn, BPCL, IOC, HPCL, ONGC, and Gail India closed down between 0.43 % and 3.09 %.
Asian stocks, barring Japan, ended lower on concern that China's growth is slowing and speculation that US interest rates will rise sooner than estimated. Key indices in China, Hong Kong, Taiwan, Singapore and South Korea fell by 0.13 % to 1.93 %.
European markets were also trading lower as the region's governments weighed tougher sanctions on Russia. Key indices in France, Germany and UK eased by 0.13 % to 0.35 %.
Jignesh Chaudhary, Head of Research, Veracity Broking Services said: "Local equities traded weak following overnight fall in US equities which collapsed the emerging markets. Concern rose that US Federal Reserve could signal an earlier-than-expected rate hike at its next policy meeting on September 16-17."
In Sensex, 22 scrips ended lower while eight closed up.
Major losers include Hero MotoCorp (2.44 %), ITC (1.85 %), Infosys (1.84 %), Coal India (1.80 %), RIL (1.67 %), HDFC (1.52 %), M&M (1.43 %), Larsen (1.27 %), BHEL (1.04 %) and TCS (0.96 %).
Gainers were led by Sesa Sterlite (1.62 %), Tata Power 1.58 %, ICICI Bank 1.53 % and Bajaj Auto 1.12 %.
Among the S&P BSE sectoral indices, Consumer Durables fell by 1.56 %, Oil&Gas 1.49 %, FMCG 1.48 % and IT 1.06 %.
Total market breadth remained strong on the back of smallcap and midcap stocks. About 1,741 stocks closed in the green while 1,272 finished in the red while 94 held unchanged. Market turnover, however, declined to Rs. 3,262.72 crore from Rs. 3,426.79 crore on Tuesday.
Rupee Tumbles 31 Paise Against Dollar
Tumbling from six-week highs, Indian rupee on Tuesday saw its biggest daily loss in over a month as it slumped 31 paise to end at 60.60 against dollar on concern US interest rates may rise sooner than investors had anticipated.
Weakness in local equities and fresh dollar demand from importers also weighed on the rupee, said forex brokers.
The dollar rose to over five-year high against Japanese yen and about a 14-month high versus Euro. This marks a comeback after the Greenback dropped Friday following a weak jobs report that had dampened speculation of rise in US rates.
At the Interbank Foreign Exchange (Forex) market on Tuesday, the rupee commenced weak at 60.45 a dollar from previous close of 60.29. This was in line with slip in local shares.
The rupee then tried to recover and logged an intra-day high of 60.4050. The momentum, however, could not be sustained and it fell back to a low of 60.66, before settling at 60.60 -- a net fall of 31 paise or 0.51 per cent. This is its biggest single day loss since 65-paise drop on August 6, 2014.
At the closing level, the rupee is just short of its one-week low of 60.68 hit on September 2.
On Monday, rupee had gained 10 paise or 0.17 per cent to close at 60.29, a six-week high.
The Indian equity benchmark S&P Bombay Stock Exchange (BSE) Sensex on Tuesday declined by 54.53 points, or 0.20 per cent. Foreign portfolio investors had injected $188.54 million on Monday, as per Securties and Exchange Board of India (SEBI) data.
In global currency markets, the widely-tracked dollar index was up against rivals. Most Asian currencies were trading weaker compared to the US dollar.
Changes in US interest rates can reverberate throughout the global financial system. Rising US dollar interest rates lower the attractiveness of investments in other currencies.
Pramit Brahmbhatt, Veracity Group CEO, said, "Rupee closed weak taking cues from strong dollar as it continues to trade positively. Local equities closing on a weak note further dented the rupee movement. Also, the dollar demand from importers and corporates weighed."
The trading range for the spot USD/INR pair is expected to be within 60.20 to 61.00, he added.
In forwards market on Tuesday, premium closed lower on fresh receipts by exporters.
The benchmark six-month premium payable in February dipped to 239.5-241.5 paise from last close of 242-244 paise.
Far-forward contracts maturing in August, 2015 also declined to 493.5-495.5 paise from 498-500 paise.
The Reserve Bank of India fixed the reference rate for dollar at 60.4277 and for the euro at 77.9276.
The rupee fell back against the pound to 97.67 from 97.25 previously and also eased to 78.10 per euro from 78.08.
It, however, improved further to 57.09 per 100 Japanese yen from 57.29 previously. -
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Markets Off Record Highs, IT, Oil Shares See Profit-Taking
After rising to new peaks, markets today had a forgettable session with Sensex and Nifty slipping about 54 points and 21 points respectively on profit-taking in IT and oil&gas shares, while caution prevailed after Supreme Court reserved its order on coal blocks allocation matter.
Traders were also cautious ahead of the domestic data on consumer prices and industrial production due this week. Rupee was last trading lower at 60.6 against the US dollar.
Weakness in some of the heavyweight counters like ICICI Bank, Infosys, L&T, ONGC, Hero MotoCorp, Bajaj Auto and RIL mainly weighed on the benchmark indices. Gains in Cipla, Coal India, GAIL, Tata Motors, ITC, Mahindra and Mahindra and Tata Power cushioned the fall to some extent.
Overall market breadth, however, was positive on persistent buying by retail investors in second-tier stocks.
The BSE 30-share barometer, which resumed stable and later dropped by almost 143 points in late afternoon deals to a low of 27,177.09, settled at 27,265.32 -- a fall of 54.53 points or 0.20 per cent. Yesterday, it had flared up by 293.15 points, or 1.08 per cent, to hit new highs.
The wide-based 50-issue CNX Nifty of the NSE also fell back today by 20.95 points, or 0.26 per cent, to 8,152.95.
Selling was seen in Realty, IT, Oil&Gas and Capital Goods counters while consumer Durable, FMCG, Power, Pharma and Auto shares attracted good buying support.
"Today's performance was mainly due to profit taking by the participants, after yesterday's buoyant session. And they were keeping cautious bias also because of Supreme Court's upcoming decision on coal block allocations," said Jayant Manglik, President-retail distribution, Religare Securities.
In Asia, Japan and South Korea were closed for holiday. China closed almost stable. European stocks, however, were trading weak in trades. The CAC (France) was down by 0.12 per cent, the DAX (Germany) by 0.13 per cent and the FTSE (UK) by 0.18 per cent.
In oil markets, US benchmark West Texas Intermediate for October delivery rose 48 cents to USD 93.14 while Brent crude for October was off 20 cents at USD 100.00.
Some of the tyre companies rallied for the second day in a row on steep fall in rubber prices. Apollo Tyres, Ceat Tyres, Dunlop India, Krypton, MRF and TVS Shrichkra notched up gains between 0.57 per cent and 5.87 per cent.
Heavy electrical equipment giant ABB India Ltd gained over 3 per cent after the company's overseas parent firm ABB today announced share buyback programme.
Commercial vehicle firm, Ashok Leyland closed up nearly 5.5 per cent as it bagged orders worth nearly Rs 1,500 crore.
Jignesh Chaudhary, Head of Research, Veracity Broking Services said: "Yesterday, we witnessed local markets touching new landmark with the help of FIIs. But today, local equities were weak as investors were in a profit booking mode."
Foreign Portfolio Investors had picked up shares worth a net Rs 1,162.98 crores yesterday, as per provisional data.
Sixteen out of 30 Sensex-based shares closed with losses while 14 finished with gains. Major losers include Bajaj Auto 1.53 per cent, Hero MotoCorp 1.51 per cent, ONGC 1.31 per cent, ICICI Bank 1.31 per cent, Infosys 1.15 per cent, L&T 1.15 per cent and BHEL 1.09 per cent.
Gainers were led by Cipla that rose 2.09 per cent, Coal India 1.66 per cent, Tata Motors 1.32 per cent and ITC 1.16 per cent.
Among the S&P BSE sectoral indices, Realty dipped 1.11 per cent, IT by 0.82 per cent, Oil&Gas by 0.49 per cent and Capital Goods by 0.43 per cent. On the other hand, Consumer Durables firmed up by 1.75 per cent, FMCG by 0.86 per cent and Power by 0.59 per cent.
Total market breadth remained strong as 1,669 stocks closed in the green while 1,336 finished in the red and 95 held unchanged. Market turnover was down at Rs 3,426.79 crore from Rs 3,602.14 crore yesterday.
Dream run: Capital inflows fuel Sensex, Nifty to record highs
Indian markets continued their dream run on the back of capital inflows with the Sensex today gaining for the sixth day as it rose 78 points to end at new closing peak of 26,638.11, wrapping up the seventh straight month of gains in August.
The NSE Nifty index rose by 18 points to a fresh closing high of 7,954.35 as stocks inched northwards on hectic activity on expiry day of monthly derivative contracts, despite weak global cues in form of rising tension in Ukraine.
Brokers said investors continued to focus on the series of steps taken by the Modi government to boost the economy and attract FDI. Buying was mainly seen in capital goods, refinery and FMCG stocks while realty, metal and IT shares fell.
The BSE 30-share index resumed higher and moved in a narrow range throughout the day in positive terrain before settling up 77.96 points, or 0.29 per cent, at new closing peak of 26,638.11. Intra-day, it hit life high of 26,674.38.
At closing level, the index surpassed its previous closing peak of 26,560.15 hit yesterday.
In six days of continuous rise, Sensex has gained 324 points. For the month (August), the index rose 743 points, or 2.8 per cent. This is its seventh consecutive monthly gain.
The CNX 50-share Nifty also rose by 18.30 points, or 0.23 per cent, to close at new closing peak at 7,954.35 after hitting intra-day high of 7,967.80. Its previous closing peak was 7,936.05 hit yesterday.
All eyes are now on GDP April-June quarter data scheduled for release tomorrow, a market holiday on account of Ganesh Chaturthi. The Sensex and the Nifty have gained about 26 per cent this year so far, the most among big global indices.
Rail stocks were in demand today after government notified liberalised FDI norms for the sector. Shares of Texmaco Rail, Titagarh Wagons and Kalindee Rail Nirman rose.
"Buying in index heavyweights like ICICI Bank, ITC, LT and HDFC Bank kept markets higher. Expiry for Futures and Options contracts for August month kept volatility towards the higher end. Global markets, however, were muted...," said Rakesh Goyal, Senior Vice President, Bonanza Portfolio.
Asian markets mostly fell Thursday, with investors unable to build on the previous day's advances after the S&P on Wall Street notched up another record. European stock markets sank in early trade as investors worried over reports of increased tension in war-torn Ukraine.
Foreign Portfolio Investors (FPIs) --the main market mover-- continued their buying spree and bought shares worth Rs 290.18 crore yesterday, as per provisional data.
Asian markets ended lower as key indices in China, Japan, Hongkong, Singapore and Taiwan moved down by 0.08 per cent to 0.71 per cent while South Korea index moved up 0.04 per cent.
European markets were trading lower from one-month highs, ahead of the release of the revised US gross product figures fro the second quarter later in the global day. Key indices in France, Germany and UK fell by 0.22 per cent to 0.80 per cent.
Jignesh Chaudhary, Head of Research, Veracity Broking Services, said: "Local indices continued its bull rally and ended high. Continued FIIs buying help ahead of derivatives expiry at the end of the session. Yesterday, FIIs were net buyers for the 11th day in a row."
In Sensex, 17 scrips out of the 30-share pack ended higher, 12 scrips finished lower while Hero Motocorp was flat.
Major gainers from the Sensex included BHEL (5.04 per cent), Gail (1.96 per cent), ONGC (1.73 per cent), L&T (1.62 per cent), Wipro (1.39 per cent), ICICI Bank (1.01 per cent), Dr Reddy's Lab (0.96 per cent) and HUL (0.91 per cent).
Tata Power fell 1.97 per cent, Tata Steel 1.78 per cent, SBI 1.70 per cent, NTPC 1.18 per cent, Hindalco 1.10 per cent and Infosys 1.07 per cent among Sensex laggards.
Among the sectoral S&P BSE indices, Capital Goods rose by 1.43 per cent, Oil&Gas 1.06 per cent and FMCG 0.74 per cent while Realty fell by 1.91 per cent and Metal by 0.85 per cent.
The total market breadth turned negative as 1,553 stocks closed lower, 1,376 finished higher. Total equity turnover rose to Rs 3,010.11 crore from Rs 2,926.84 crore yesterday.
Rupee logs 4-week closing high of 60.43 vs dollar, up 13 paise
The Indian rupee on Tuesday appreciatedby 13 paise to end at nearly four-week high of 60.43 against the American currency following fresh dollar selling by exporters and sustained investments by foreign funds.
However, some hesitancy in local equities and weak dollar overseas kept the rupee in a tight range.
The rupee resumed better at 60.53 a dollar from overnight close of 60.56 at the Interbank Foreign Exchange (Forex) market and declined further to a low of 60.5550.
However, it rebounded later to settle at the day's high of 60.43, showing a rise of 13 paise or 0.21 %. This is higher than 60.06 on July 30, 2014.
On Monday, it had fallen by nine paise or 0.15 %.
The benchmark S&P BSE Sensex on Tuesday moved side-ways and ended up by a mere 5.79 points logging a new closing peak.
Foreign Portfolio Investors (FPIs) infused Rs. 127.33 crore on Monday, as per provisional data.
The dollar index, a gauge of six major global rivals, was down by 0.07 %.
"Local equities opened weak but as the day progressed it recovered and ended near Monday's closing value, helping rupee to appreciate for the day. Dollar index rally slowed down on Tuesday which further supported the rupee movement.
"The trading range for the spot rupee is expected to be within 60.00 to 60.80," said Pramit Brahmbhatt, Veracity Group CEO.
"Inflows kept the rupee strong as FII/FPI was net buyer in capital markets in previous session. But the gains were restricted as the dollar remained strong...," said Kiran Kumar Kavikondala, Director & CEO, WealthRays Securities.
In the forward market, premium remained weak for the second straight on continued receipts by exporters.
The benchmark six-month premium payable in January moved down to 215.5-217.5 paise from 217.5-219.5 paise previously.
Far-forward contracts maturing in July, 2015 also slipped to 459-461 paise from 461.5-463.5 paise.
The Reserve Bank of India fixed the reference rate for dollar at 60.4960 and for the euro at 79.9100.
The rupee recouped against the pound to finish at 100.14 from Monday's close of 100.45 while improved further to 58.16 per 100 Japanese yen from 58.28.
It also strengthened to 79.73 per euro from 79.91 on Monday.
Sensex, Nifty hit new highs on slew of positive factors
Confidence echoed in domestic market sentiment for the second week in a row as heavy capital inflows, easing crude oil prices, strengthening rupee along with positive global cues led the BSE Sensex to end the week at near record-high and NSE to close at life-time high.
The week opened with investors cheering the Prime Minister's encouraging Independence Day speech which talked about making India the hub of manufacturing sector with a focus on improving infrastructure.
Later, market started to consolidate near its all-time peak, despite some correction in mid-week.
Continued FII buying amid encouraging US economic data resulting into positive global cues along with good retail investors participation also lifted the market sentiment.
The BSE S&P Sensex resumed higher and marked life time high of 26,530.67 before closing the week slightly lower at 26,419.55, still showing a gain of 316.32 points or 1.21 per cent.
In straight two weeks, it has zoomed 1,090.41 points or 4.30 per cent.
The NSE 50-share Nifty gained 121.50 points, or 1.56 per cent to log its record closing high of 7,913.20. It registered an intra-day new peak of 7,929.05.
Barring FMCG sector, the market saw broad-based buying as rest other 11 sectoral indices closed with gains led by consumer durables, healthcare, banking, auto, capital goods, PSUs, power and oil & gas shares.
Shares from mid-cap and small-cap companies also saw extensive buying from retail investors and outperformed the Sensex.
The S&P BSE small-cap and mid-cap indices closed strong by 4.83 per cent and 3.70 per cent.
Foreign Portfolio Investors (FPIs) bought shares worth Rs 2,939.12 crore in last six sessions since August 14, including provisional data of August 22.
The market also got support after brent oil price hovered near 14-month low on excess supply on reducing geo-political concerns. Investors feel this will give respite to Prime Minister Narendra Modi's government to tackle both current account and fiscal deficits and will also lower the subsidy bill, traders said.
The sentiment too got boost after RBI's comments on growth and also hopes of an upward revision of India's sovereign rating outlook by global rating agency S&P after the country's government target to lower the fiscal deficit and heavy buying by foreign funds in bond market worth Rs 16,071.97 crore on Wednesday, showing more faith on India.
Jignesh Chaudhary, Head of Research, Veracity Broking Services said, "The Indian equity markets achieved new highs in the trading week, they started with a good growth and pretty much in the green due to FII's continued buying in Indian stocks.
"Next week would be expiry for derivative markets so there are chances that the traders would be dealing in very limited scrips.
"The economic calendar would be active for US economy in the coming week. These activities would certainly affect the markets. The technical indicators are suggesting positive movements continuing for the markets," he added.
In all, 22 stocks out of the 30-share Sensex pack finished in the green while others settled in the red.
Cipla was the top gainer with a surge of 11.18 per cent followed by BHEL (7.06 per cent), SBI (6.85 per cent), Axis Bank (6.50 per cent), Bajaj Auto (6.00 per cent), Tata Motors (5.55 per cent), Sun Pharma (5.25 per cent), M&M (4.86 per cent), ONGC (4.12 per cent), ICICI Bank (3.99 per cent), L&T (3.71 per cent), Tata Power (3.14 per cent), Maruti Suzuki (3.11 per cent), Dr Reddy's Lab (2.68 per cent), HDFC Bank (2.52 per cent), Wipro (2.05 per cent) and Hindalco (1.99 per cent).
However, HDFC dropped by 7.10 per cent, ITC (3.66 per cent), TCS (1.40 per cent) and HUL (1.36 per cent).
Among the S&P BSE sectoral indices, CD spurted by 5.59 per cent, HC (5.31 per cent), Bankex (4.92 per cent), Auto (4.20 per cent), CG (3.77 per cent), Power (2.13 per cent) and Oil & Gas (2.08 per cent) while FMCG dipped by 1.32 per cent.
The total turnover at BSE and NSE shot up to Rs 14,981.33 crore and Rs 79,839.99 crore from Rs 10,052.27 crore and Rs 57,665.96 crore last week, respectively
Rupee Rises For 3rd Straight Week; Ends At 60.47 Vs USD
The rupee continued its north-bound journey for the third week in a row, appreciating by 29 paise to close the shortened week at more than three week high of 60.47 against the US dollar on record-breaking local equities amid sustained foreign portfolio investments.
The forex market was closed on Monday, August 18, 2014, on account of ‘Parsi New Year’.
Despite firm dollar overseas, continued selling of the American unit by exporters and some banks also aided the rupee rally.
The rupee was seen gaining against the USD after Standard & Poor’s said efforts to cut the budget deficit are positive for the country’s credit rating, a forex dealer said.
At the Interbank Foreign Exchange (Forex) market, the domestic unit commenced the week a tad lower at 60.77 a dollar from last weekend’s close of 60.76 and touched a low of 60.88 on Tuesday as dollar index hit the 11-month high, trading above USD 82 — highest since September last week — against its major global rivals following the gradual strengthening of the US economic outlook.
Dollar demand from importers, mainly oil refiners, too weighed on the rupee.
Later, it bounced back with a vengeance to a high of 60.3750 on strong rally in local equities to new peaks and heavy capital inflows in domestic stocks as well as bonds.
Rally in the dollar against its key rivals after the Federal Reserve is scheduled to end its asset purchase programme by October 2014 and a string of upbeat US economic data could not put pressure on the rupee.
The rupee closed the week with a gain of 29 paise, or 0.48 percent, at 60.47, a level not seen since July 30, 2014 when it had finished at 60.06.
In straight three weeks, it has gained 71 paise or 1.16 percent.
The benchmark S&P BSE Sensex closed the week with a gain of 316.32 points, or 1.21 percent while FIIs bought shares worth USD 433.19 million in straight five sessions since August 14. The Sensex and CNX Nifty logged their new peaks during the week.
Pramit Brahmbhatt, Veracity Group CEO said, “The rupee appreciated for the third consecutive week. It rallied over quarter per cent taking cues from strong local stocks which marked the milestone of all-time high.
“While the demand for dollars from oil importers and corporates forced rupee to give up some gains during the mid-week. The immediate resistance for the rupee is at 60.35 once breached comfortably we can see the rupee trading at 60.00 levels. The trading range for the spot rupee is expected to be within 60.00 to 61.00.”
In the forward market, premium dipped further on constant receipts by exporters.
The benchmark six-month forward dollar premium payable in January moved down to 220.5-221.5 paise from 227-231 paise last week and far-forward contracts maturing in July 2015 also dropped to 466.5-467.5 paise from 473-475 paise.
The RBI fixed the reference rate for the USD at 60.4360 and the euro at 80.3535 from preceding weekend’s close of 61.0583 and 81.5552.
The rupee flared up further against the pound sterling to end the week at 100.20 from 101.34 previous weekend and also continued to rule firm against the euro to 80.24 from 81.27.
It improved further sharply to 58.31 per 100 Japanese yen from last weekend’s close of 59.34.
After Breather, Sensex, Nifty Rise to End Near Record Highs
After taking a day's breather, Indian markets today continued their upward journey with the Sensex rising 45.82 points and the Nifty edging up 15.80 points to end near respective record highs on buying in banking, auto and capital goods shares amid drop in oil price.
Overseas funds continued to chase stocks today after Foreign Portfolio Investors (FPI) bought shares worth Rs 251.36 crore yesterday, as per provisional data.
HDFC Bank, SBI, L&T, M&M, Bajaj Auto, Sun Pharma, Axis Bank and Hero MotoCorp notched up smart gains while HDFC, Sesa Sterlite, Tata Steel, NTPC, Hindalco and Tata Power fell.
"Profit booking and consolidation continued at higher levels. Global cues were mixed, however, lower crude oil prices boosted overall market sentiment," said Nidhi Saraswat, Senior Research Analyst, Bonanza Portfolio.
The BSE 30-share barometer resumed almost stable but later rallied to a high of 26,464.80 before falling back to a low of 26,262.52 on weak Asian closing after Chinese manufacturing activity fell to a three-month low in August, as per HSBC's manufacturing purchasing managers index.
However, it bounced back after European markets were trading in positive terrain in late morning deals. The Sensex finally closed up by 45.82 points, or 0.17 per cent, to 26,360.11. Yesterday, it had dipped by 106.38 points.
The Sensex hit its record close of 26420.67 on August 19.
Similarly, the NSE 50-issue Nifty recovered by 15.80 points, or 0.20 per cent, to end at 7,891.10. Yesterday, it fell by about 22 points on profit-taking.
Nifty's record close of 7,897.50 was hit on August 19.
Stocks of steel companies, however, met with selling pressure after government yesterday gave nod to increasing royalty rates on minerals. Soft data from China, the biggest consumer of metals, also took a toll, brokers said.
In oil markets, US benchmark West Texas Intermediate for October delivery was down 27 cents at USD 93.18 while Brent for October eased 26 cents to USD 102.02 in afternoon trade.
On the global front, Asian markets mostly closed down while Europe was last trading up.
Indices from Japan and Singapore closed up while those from China, Hong Kong, South Korea and Taiwan ended down.
European markets, however, bounced back from their early losses and were trading higher. The CAC was up 0.45 per cent, the DAX 0.30 per cent and the FTSE 0.23 per cent.
Jignesh Chaudhary, Head of Research, Veracity Broking Services said: "Local indices recovered from overnight fall as bluechip companies continued to gain after yesterday's pause. Equities overlooked the ongoing crises in Ukraine and Gaza and focused on the positive sentiments. FII buying mainly helped."
Overall, 15 stocks from the 30-pack Sensex ended with gains while 15 others finished in the red. Major gainers were Bajaj Auto 3.15 per cent, SBI 2.27 per cent, HDFC Bank 1.35 per cent, M&M 1.34 per cent, Sun Pharma 1.28 per cent, Axis Bank 1.18 per cent and L&T 0.95 per cent.
Among laggards, NTPC declined 1.86 per cent, Sesa Sterlite 1.73 per cent, Tata Steel 1.62 per cent, Dr Reddy's Lab 1.52 per cent, Hindalco 1.36 per cent, Tata Power 1.11 per cent and Bharti Airtel 0.79 per cent.
Speaking on Sensex and Nifty, Jayant Manglik, President-retail distribution, Religare Securities said: "We expect index to resume its overall uptrend in next couple of sessions and banking would lead the trend."
In the S&P BSE sectoral indices, Consumer Durables firmed up by 3.79 per cent, Bankex 1.18 per cent, Auto 0.79 per cent and Capital Goods 0.65 per cent while Realty dipped by 1.91 per cent, Metal 1.35 per cent and Power 0.99 per cent.
The total market breadth on BSE continued to be firm as 1,685 stocks closed with gains while 1,337 settled with losses. Total equity turnover improved to Rs 3,289.69 crore from Rs 3,125.21 crore yesterday.
Rupee snaps three-day rise, ends at 60.67 Vs USD
Mumbai: Breaking its three-session string of gains, the Indian rupee on Thursday retreated from three-week highs and ended six paise down at 60.67 against the greenback on importer demand for US currency, amid a firm dollar overseas.
However, a marginal recovery in local equities and continued capital inflows restricted the rupee fall.
Yesterday, the dollar rallied against its key rivals after the Federal Reserve Released meeting minutes suggesting the pace of labour market gains is getting quicker and improvement in job market might force the Fed to hike key lending rates.
The market is now looking for the outcome of the Friday's Fed Chairwoman Janet Yellen's speech at the Jackson Hole economic conference. The dollar index was trading up by 0.009 per cent against its major global rivals.
At the Interbank Foreign Exchange (Forex) market, the domestic unit resumed lower at 60.71 a dollar from previous close of 60.61, nearly a three-week high. It moved side-ways in a range of 60.61 and 60.7950 before settling at 60.67, a fall of six paise or 0.10 percent.
In straight three sessions, it gained 60 paise or 0.98 percent.
Pramit Brahmbhatt, Veracity Group, CEO said: "Rupee took a break today and closed weak taking cues from strong dollar as it continues to trade positively for the fourth consecutive day on the outcome of minutes of Federal Reserve's July meeting.
"Also the dollar demand from oil importers and corporates forced the rupee to depreciate. The trading range for the spot rupee is expected to be within 60.20 to 61.00."
Meanwhile, the benchmark S&P BSE Sensex today recovered mostly half of its overnight losses to end up by 45.82 points, or 0.17 percent. FIIs bought shares worth Rs 251.036 crore yesterday, as per provisional data.
"With Fed scheduled to end its asset purchase programme by October 2014 and string of upbeat economic data (coming in), we may see dollar index strengthening further, which might put pressure on the domestic currency," said Abhishek Goenka, Founder & CEO, India Forex Advisors.
In the forward market, premium dropped further on sustained receipts by exporters.
The benchmark six-month premium payable in January dipped to 221-223 paise from last close of 226.25-228.25 paise.
Far-forward contracts maturing in July, 2015 also moved down to 466-468 paise from 471.5-473.5 paise.
The Reserve Bank of India fixed the reference rate for dollar at 60.7670 and for the euro at 80.5590.
The rupee remained firm against the pound to end at 100.60 from 100.92 previously and also improved further to 58.44 per 100 Japanese yen from 58.69.
It edged up to 80.45 against the euro from Wednesday's close of 80.49.
MKTS CHEER MODI’S I-DAY PLEDGE; SENSEX, NIFTY LOG LIFE HIGHS
Sensex continued to rise for the fifth day on Monday with the BSE benchmark ending at new peak of 26,390.96 and the Nifty soared 83 points to close at new high of 7,874.25 after Prime Minister Narendra Modi’s August 15 pledge to boost infrastructure and manufacturing fired up markets.
Opening after a long weekend, stock markets were in a cheerful mood as investors infused funds to pick up shares across-the-spectrum. Sustained buying by foreign funds and firm European trends also helped, brokers said. Besides, a fall in global crude oil prices following receding geo-political concerns sustained the positive mood on domestic bourses as India imports nearly 80 per cent of its oil requirements, they added.
Buying was seen mainly across-the-board as 10 out of 12 BSE sectoral indices closed with gains of between 0.26 per cent and 2.64 per cent. Oil&gas, banking, capital goods, power and metal shares led the charge while select FMCG and IT counters attracted profit-booking. “Markets witnessed a strong rally, which was boosted by positive statements from Prime Minister Narendra Modi, who emphasised the need for better governance and focus on improving infrastructure and manufacturing sector,” said Nidhi Saraswat, Senior Research Analyst, Bonanza Portfolio.
The S&P BSE 30-share Sensex resumed slightly better and gradually improved further to an intra-day all-time peak of 26,413.11 before settling at new high of 26,390.96, showing a spurt of 287.73 points or 1.10 per cent. In straight five sessions, it has now zoomed 1,061.82 points or 4.19 per cent.
ICICI Bank, ONGC, Tata Motors, Axis Bank, Cipla and BHEL were among prominent gainers in 24 Sensex counters that rose. The Sensex’s previous all-time high was 26300.17 hit on July 25, 2014. It earlier closing peak was 26271.85 (July 24). Similarly, the 50-issue CNX Nifty of the NSE logged an intra-day new high of 7,880.50 before ending up by 82.55 points, or 1.06 per cent at 7,874.25 - a new closing peak.
The Nifty hit previous all-time high of 7840.95 on July 25. Its earlier closing peak of 7830.60 was hit on July 24. Buying today was mainly boosted by consistent buying by foreign institutional investors (FIIs), who had picked up shares worth Rs 2,143.97 crore last week. Meanwhile, Asian stocks closed mixed while Europe was trading higher in late morning deals.
Key indices from China and Japan finished with gainswhile those from Singapore, South Korea and Taiwan settled with losses. Japan’s Nikkei index, however, ended stable. In Europe, the CAC index was up 1.13 per cent, the DAX by 1.39 per cent and the FTSE by 0.59 per cent.
Overall, 24 shares from Sensex pack closed in the green while five finished in the red and Wipro settled steady. ONGC firmed up by 5.33 per cent, Cipla 4.85 per cent, Axis Bank 4.29 per cent, Tata Motors 3.98 per cent, ICICI Bank 3.54 per cent, Bharti Airtel 2.59 per cent and SBI 2.48 per cent.
L&T 2.30 per cent, Hindalco 2.13 per cent, Coal India 1.99 per cent, HUL 1.48 per cent, Maruti Suzuki 1.46 per cent, Tata Power 1.43 per cent, Sesa Sterlite 1.40 per cent and RIL 1.13 per cent.
Among laggards, ITC (-1.68 per cent), Infosys (1.26 per cent), HDFC (1.04 per cent), TCS (-0.40 per cent) and Hero MotoCorp (-0.06 per cent) ended down.
Jignesh Chaudhary, Head of Research, Veracity Broking Services said: “We witnessed local markets touching new all time highs with the help of FIIs. Recent better-than-expected data released by different countries also cheered the global stock markets.”
Among S&P BSE sectoral indices, Oil&Gas rose by 2.64 per cent, Bankex 2.36 per cent, Capital Goods 2.33 per cent, Consumer Durables 1.71 per cent, Auto 1.59 per cent, Power 1.51 per cent, Metal 1.47 per cent and Realty 1.37 per cent.
The overall market breadth remained strong as 1,930 shares ended higher while 1,003 finished lower. Small caps and midcaps participated well in the rally.
Sensex, Nifty Rise Most in 2 Weeks Ahead of RBI Meet
Domestic markets today surged the most in nearly two weeks with Sensex surging 242 points and the Nifty rising 81 points led by gains in rate-sensitive shares ahead of RBI policy meet while persisting weakness in the rupee boosted IT stocks.
Easing crude oil prices on receding geo-political worries and positive European markets on reports that Portuguese central bank is set to financially rescue a crisis-hit lender, also helped Indian markets snap a two-session losing trend.
The BSE 30-share Sensex resumed strong in line with firm Asian cues and traded mostly in positive before settling at 25,723.16, a rise of 242.32 points or 0.95 per cent -- its biggest gain since July 22, 2014 (310.63 points).
The Sensex had lost 606.38 points, or 2.33 per cent in the previous two trading days i.E, August 1 and July 31.
Similarly, the 50-scrip NSE Nifty bounced back by 81.05 points, or 1.07 per cent, to end at 7,683.65. It had shed about 189 points in previous two days. Today's 81.05-point gain is also Nifty's best since July 22 (83.65 points).
Expectations that the Reserve Bank of India (RBI) in its monetary policy review tomorrow will give some relief supported the bullish market sentiment, brokers said. However, consensus is of the view that RBI will not cut rates tomorrow.
Interest-sensitive stocks such as SBI, ICICI Bank, and Axis Bank gained about 1 per cent ahead of RBI policy outcome.
Consumer durables, realty, capital goods and auto shares were in good demand.
IT shares were in the limelight after steep fall in the rupee value last week. Infosys was the top gainer from the Sensex pack today with a rise of 3.66 per cent. Wipro rose by 2.42 per cent and TCS by 0.42 per cent.
"IT, banking and auto stocks drove benchmark indices higher ahead of RBI monetary policy tomorrow. Portugal agreed to spend 4.9 billion euros to rescue Banco Espirito Santo, its largest listed bank. This provided some support to European markets," said Dipen Shah, Head of Private Client Group Research, Kotak Securities.
Meanwhile, Foreign Portfolio Investors (FPIs) sold shares worth a net Rs 1,072.96 crore last Friday as per provisional data from the stock exchanges.
Asian stocks ended mixed with upward bias in choppy trade today as investors weighed a smaller-than-forecast increase in US payrolls and the bailout of a Portuguese bank. Key indices in China, Hong Kong, South Korea and Taiwan settled with gains while from Japan and Singapore closed with losses.
European markets also were trading mixed in late morning deals. The CAC was up by 0.48 per cent, the FTSE by 0.06 per cent while the DAX was down by 0.30 per cent.
Jignesh Chaudhary, Head of Research, Veracity Broking Services said: "The past week local indices marked its first weekly loss in three weeks. Today, indices tried to recover from the fall and gained almost one per cent. It will be interesting to see the reaction of markets on RBI credit policy that is going to come out tomorrow."
Besides Infosys, other major gainers from Sensex were Hindalco 3.12 per cent, Sesa Sterlite 2.44 per cent, Maruti 2.40 per cent, BHEL 2.07 per cent, Bajaj Auto 1.72 per cent, Tata Motors 1.66 per cent and ONGC 1.62 per cent.
L&T 1.47 per cent, ITC 1.29 per cent, Tata Power 1.26 per cent, M&M 1.10 per cent and ICICI Bank 1.01 per cent, were also among those which rose.
The BSE Consumer Durables index was the biggest gainer with 3.20 per cent, followed by IT 2.08 per cent, Capital Goods 1.57 per cent, Auto 1.49 per cent, Metal 1.45 per cent, Oil&Gas 1.22 per cent, Realty 1.06 per cent and FMCG 1.33 per cent. Besides rate-sensitive sectors, gainers in BSE sectoral barometers included Teck 1.73 per cent and Power 1.73 per cent.
Market breadth turned positive as 1,810 stocks closed with gains while 1,108 ended with losses. Total turnover dropped to Rs 2,430.53 crore from Rs 3,360.96 crore last Friday.
Rs JUMPS MOST IN 3 WEEKS TO END AT 60.93 VERSUS $
Recovering from four-month lows, the Indian rupee on Monday rose 25 paise in its biggest gain in three weeks to end at 60.93 against the greenback as shares soared ahead of the RBI policy meet and exporters offloaded dollars.
At the Interbank Foreign Exchange (Forex) market, the domestic unit started strong at 60.90 a dollar from last Friday's close of 61.18.
It later moved in a wide range of 60.8750 and 61.1650 before concluding at 60.93 -- a rise of 25 paise or 0.41 per cent. This is the rupee's best single-day rise since July 11 (up 26 paise)
In the previous two sessions, the rupee had plunged by 112 paise or 1.86 per cent as dollar strengthened on economic recovery and the US Fed indirectly trimming dollar supply to the market by lowering its level of monthly bond purchases.
The rupee had closed at 61.18, a four-month low, on Friday after dropping 63 paise against the US unit.
Besides dollar sales and rise in local equities, the rupee sentiment improved as the country's foreign exchange kitty surged $2.714 billion to $320.564 billion on a healthy increase in the core currency assets.
Pramit Brahmbhatt, CEO, Veracity Group said: "Rupee has started the week on a positive note. Local equities also closed up by almost one per cent for the day which further helped rupee. Tomorrow RBI's credit policy will dictate the near term trend for the USD/INR pair.The trading range for the spot rupee is expected to be within 60.50 to 61.50."
The Indian benchmark S&P Sensex today rebounded by over 242 points, or 0.95 per cent. FIIs had pulled out Rs 1,072.96 crore yesterday, as per provisional data with stock exchanges.
Global currencies were mixed. The dollar index was quoting higher by 0.06 per cent against its major global rivals.
Rupee tanks to 3-month low of 60.55 vs $, down 49 p on outflows
The rupee on Thursday depreciated 49 paise to close at a three-month low of 60.55 against the US dollar on capital outflows after the US Fed trimmed its monthly bond buying programme by another USD 10 billion.
Heavy dollar demand from importers and weakness in local equities also pulled the rupee down against the Greenback.
The dollar index was quoting up by 0.10% against a basket of six major global currencies. The American currency gained strength on signs of an improving US economy, besides the USD 10 billion cut in stimulus, forex traders say.
At the Interbank Foreign Exchange (Forex) market, the domestic unit commenced lower at 60.24 a dollar from overnight close of 60.06, which was an over two-week high, but tried to recover as it surged to 60.20.
It, later, again fell back to a low of 60.57 on heavy month-end dollar demand from importers before concluding at 60.55, sharply down 49 paise or 0.82%. This was its lowest value on closing since 60.65 on April 28, 2014.
Pramit Brahmbhatt, CEO, Veracity Group said: "Rupee slipped down to a three-month low, taking cues from strong dollar in global markets. Also, there was dollar demand from oil importers and state-run banks for corporate and defence- related payments. The trading range for the spot USD/INR pair is expected to be within 60.20 to 60.90."
The fiscal deficit in the first quarter of 2014-15 was Rs. 2.97 lakh crore or 56.1% of Budget Estimates for the whole financial year, government data showed on Thursday.
Meanwhile, the stock benchmark S&P BSE Sensex tumbled by 192.45 points, or 0.74%. FII/FPIs on Thursday pulled out Rs. 1,654.86 crore from stocks as per exchange-level data.
On Wednesday, the US Fed reduced its asset purchase program from USD 35 billion/month to USD 25 billion/month -- the sixth consecutive USD 10 billion cut. The Fed noted that economic activity rebounded in Q2 2014, which was also testified by data. US GDP grew 4.0% QoQ (annualized) in Q2 compared to 2.1% contraction in Q1.
Sensex, Nifty slip to one-week lows on profit booking
Extending losses for the second day, equity benchmarks closed at one-week lows with the Sensex ending below the 26,000 mark and the Nifty ending at 7,748.70 as investors booked profits in recent out-performers in sectors including realty, metals, oil & gas.
The BSE Sensex and the NSE Nifty were seen trading with negative bias ahead of Tuesday’s trading holiday and July F&O expiry on Thursday. Market breadth was largely negative.
Small-cap and mid-cap indices fell due to persistent selling pressure from retail investors.
The 30-share index Sensex resumed higher at 26,173.47 hovered in a range of 26,181.83 and 25,900.25 before ending at 25,991.23, showing a loss of 135.52 points or 0.52 per cent from Friday’s closing. It has now dropped 280.62 points, or 1.07 per cent, in two consecutive sessions. Monday’s closing is its weakest since July 21 (25,715.17).
The CNX 50-share Nifty dropped by 41.75 points, or 0.54 per cent, to close at one-week low of 7,748.70. On Friday, it had slipped by over 40 points.
In eight straight trading sessions (July 15—24), the Sensex and the Nifty spurted by over 5 per cent to hit lifetime highs.
Stocks of FMCG major Hindustan Unilever gained 3.69 per cent after the company on Monday reported increase in standalone net profit at Rs 1,056.85 crore for the June quarter.
Among major losers, Coal India suffered the most by plunging over 3 per cent, the most in three weeks. Other laggards include Hindalco Industries, Tata Steel, RIL, ICICI Bank, SBI, Hero MotoCorp, M&M and Bajaj Auto.
Foreign Portfolio Investors (FPIs) bought shares worth a net Rs 125.51 crore last Friday, as per provisional data.
In Asia, Chinese stocks led gains by jumping over 2 per cent on strong growth in profit at industrial companies in June 2014. Key indices in China, Hong Kong, Japan and South Korea ended higher by 0.20 per cent to 2.41 per cent while Taiwan weighted index declined by 0.20 per cent.
European markets were trading mixed in their early trade as investors weighed company earnings and awaited data on American services and home sales. Key indices and France and UK firmed up by 0.15 per cent to 0.48 per cent while Germany’s DAX was quoting lower by 0.03 per cent.
Jignesh Chaudhary, Head of Research, Veracity Broking Services said: “Indian local indices lost their way and traded weak as the day progressed. Profit booking continued as investors preferred to stay cautious at higher levels.”
Twenty one scrips ended lower out of the 30-share Sensex pack while only nine finished higher.
Major losers were Coal India 3.14 per cent, Hindalco 2.06 per cent, Tata Motors 1.89 per cent, Tata Steel 1.72 per cent, ICICI Bank 1.65 per cent, Hero Motocorp 1.62 per cent, Reliance Ind 1.61 per cent, ONGC 1.41 per cent, M&M 1.28 per cent and Cipla 1.17 per cent.
However, HUL rose by 3.69 per cent, Sun Pharma 1.33 per cent and BHEL 1.17 per cent.
Among the S&P BSE sectoral indices, Realty fell by 2.69 per cent followed by Metal 1.51 per cent, Refinery 1.29 per cent, Auto 0.78 per cent, Bankex 0.69 per cent and Capital Goods 0.66 per cent.
Persistent selling in two-tier stocks by retail investors saw about 1,665 shares declining, 1,189 stocks rising while 115 stocks ruled steady.
Total turnover fell to Rs 2,462.88 crore from Rs 3,577.35 crore on last Friday.
Rupee slips by 3 paise to nearly 1-week low of 60.13 vs dollar
MUMBAI: The rupee on Monday ended lower by 3 paise to end at nearly a one-week low of 60.13 against the American currency on month-end dollar demand from importers and banks.
The rupee resumed lower at 60.12 per dollar as against the last weeekend's level of 60.10 per dollar at the Interbank Foreign Exchange (Forex) Market.
It hovered in a range of 60.08 per dollar and 60.1650 per dollar before ending at 60.13 per dollar, a marginal loss of three paise or 0.05 per cent. Today's closing is the rupee's weakest since July 22 (60.24).
In three straight days, rupee has now fallen by 8 paise. Month-end dollar demand from importers, mainly refiners, and banks affected the rupee value against the dollar.
Pramit Brahmbhatt, Veracity Group CEO, said: "The USD-INR pair continues to trade in a thin range. Rupee has started the week on the lower side."
Local equities also traded weak and closed in the red for the day. The benchmark 30-share index Sensex dropped another 135.52 points or 0.52 per cent today. Month end dollar demand from oil importers will force rupee to depreciate further in coming days, he added.
In London, the dollar hovered near six-month highs against a basket of major currencies on Monday.
Rupee up 6 paise against dollar at 60.08
The rupee on Friday gained six paise to close the day at Rs. 60.08 against the dollar on fresh selling of the U.S. currency by exporters amid moderate gains in stock markets.
A weak dollar overseas also aided the rupee rise, while sustained capital outflows restricted the surge, a forex dealer said.
At the Interbank Foreign Exchange (Forex) market, the local currency commenced higher at Rs. 60.10 a dollar from last close of Rs. 60.14.
It improved further to Rs. 60.06 before ending at Rs. 60.08, a rise of six paise or 0.10 per cent from last close.
The dollar index, a gauge of other global major rivals, was down by 0.04 per cent.
Meanwhile, the benchmark BSE Sensex on Friday moved up by 37.25 points. FIIs pulled out Rs 601.89 crore on Thursday, as per provisional data with stock exchanges.
Pramit Brahmbhatt, Veracity Group CEO, said on Friday not much movement was seen in the USD-INR pair. The pair is likely to trade range bound as investors are trading cautiously and are waiting for the Budget, he added.
In New York market, the dollar fell against the pound yesterday after the Bank of England took steps to strengthen rules on mortgage lending. It also extended losses against the yen after US economic data.
The benchmark six-month premium payable in November moved to 215.5-217.5 paise from Thursday’s close of 213-215 paise. Far-forward contracts maturing in May, 2015 ended at 467.5-469.5 paise against 457-459 paise previously.
The Reserve Bank of India fixed the reference rate for dollar at 60.09 and for the euro at 81.88.
The rupee rebounded to end at 102.29 against the pound from 102.36 previously and recovered to 81.80 per euro from 81.84.
It, however, remained weak to 59.31 per 100 Japanese yen from 59.11.
Sensex Snaps 2-Day Losses, Ends Higher by 37 Points
The BSE benchmark Sensex today snapped its two-day losing streak by jumping 37 points to end the day at 25,099.92 on fresh buying in healthcare, IT and teck sectors even as investors are now awaiting Budget for clear cues, amid uncertain geopolitical situation.
The 30-share Sensex rose to 25,209.61 on initial buying. However, it declined afterwards to 25,032.94 on fag-end selling pressure on weak Asian cues.
The index finally ended the day at 25,099.92, a gain of 37.25 points or 0.15 per cent.
The 50-share NSE Nifty moved up by 15.60 points or 0.21 per cent to finish at 7,508.80.
Brokers said RBI remark that growth recovery appeared bright also helped.
The Sensex had lost 306.23 points of 1.21 per cent in the previous two days.
Major gainers today were Sun Pharma (3.97 per cent), TCS (3.85 per cent), Cipla (2.59 per cent), Wipro (1.90 per cent), Dr Reddy's Lab (1.80 per cent), ITC (1.14 per cent), Bajaj Auto (1.03 per cent) and Infoys (1.02 per cent).
Hindalco dropped by 2.63 per cent, followed by BHEL 2.57 per cent, Bharti Airtel 2.08 per cent, SSLT 1.78 per cent, M&M 1.69 per cent, Coal India 1.66 per cent, Maruti Suzuki 1.52 per cent, Icici Bank 1.32 per cent, Tata Motors 1.30 per cent and Tata Steel 1.20 per cent.
"Markets ended almost flat on Friday with the defensive sectors like IT and pharma gaining. For the week, markets remained in a range, ahead of the Budget and on concerns relating to monsoons. Geo-political issues also kept the sentiments weak," said Dipen Shah, Head of Private Client Group Research, Kotak Securities.
The geo-political issues globally have kept the rupee also under pressure over the past few sessions. The rupee was relatively stable at around the 60/USD mark, he added. Meanwhile, foreign portfolio investors (FPIs) sold shares worth a net Rs 601.89 crore yesterday, as per provisional data available with stock exchanges.
Jignesh Chaudhary, Head Of Research, Veracity Broking Services, said: "Equities continued to open on a strong note but were not able to sustain the gain and lost most of it as the day progressed."
Among the S&P BSE sectoral indices, healthcare rose by 2.48 per cent, IT 2.45 per cent, Teck 1.78 per cent, Realty 0.80 per cent and consumer durables 0.77 per cent, while Metal fell by 1.30 per cent, Auto 0.54 per cent and Bankex 0.46 per cent.
Market breadth turned positive as 1,715 stocks finished with gains while 1,281 stocks ended lower. Total turnover moved up further to Rs 3,361.27 crore from Rs 3,228.65 crore yesterday.
Asian stocks ended lower as a Federal Reserve official said the US may raise interest rates by March. Key benchmark indices in Japan, China, Singapore, South Korea and Taiwan fell by 0.11-1.39 per cent, while Hong Kong's Hang Sang moved up by 0.10 per cent.
European markets were trading higher as investors awaited data on US consumer confidence to gauge the outlook for the world's largest economy. Key benchmark indices in Germany, France and UK were up by 0.18-0.23 per cent.
Rupee Opens Higher
Mumbai: The rupee on Friday opened with marginal gains of 6 paise at 60.08 per dollar on Friday as against previous day's closing value of 60.14 a dollar.
Pramit Brahmbhatt of Veracity said, "Taking cues from US economic data and growing tensions in Iraq, domestic markets are expected to trade lower." He expects rupee to depreciate during the day. According to him, trading range for spot rupee is expected to be within 59.80-60.60/dollar
Indian Rupee Recovers
The Indian rupee today reversed early losses and ended one paisa higher at 60.12 against the US dollar as sales of the American currency by exporters, including IT firms, helped the local unit bounce back from one-week lows.
At the Interbank Foreign Exchange (Forex) market, the local currency resumed lower at 60.23 a dollar from previous close of 60.13. It then declined further to one-week lows of 60.3850 on initial dollar demand from importers, mainly oil refiners.
Lacklustre trade on the local equity markets also weighed on the rupee. The Indian benchmark S&P BSE Sensex today closed down by 55.16 points, or 0.22 per cent. FIIs had infused Rs 284.61 crore yesterday, as per provisional data.
The rupee later bounced back to settle at the day's high of 60.12 on late dollar selling by exporters.
Anindya Banerjee, currency analyst, Kotak Securities, said: "The Indian rupee weakened at the open due to uptick in global petroleum prices. However, hedging demand from ITes sector, pushed it back up towards 60.17/18 levels on spot. PSU bids were absent in today's session and there was little inter-market effect from a largely ranged equity market."
The dollar index was up by 0.03 per cent against six major global rivals.
Militants launched a dawn raid today on a key Iraqi oil refinery they have been trying to take for days but were repelled by security forces. US benchmark West Texas Intermediate rose 17 cents to USD 106.20 a barrel while Brent crude eased 65 cents to USD 113.81 in afternoon trade.
Pramit Brahmbhatt, Veracity Group CEO said: "Traders are being cautious as growing tensions in Iraq has dented the confidence of the investors. The trading range for the Spot USD/INR pair is expected to be within 59.80 to 60.60."
"So far, it has been a quiet week for the rupee which was seen trading in the range of 60.00-60.35 levels. Global tensions, strong US data, consistent flows in local markets, flat US dollar and choppy stock markets have all been responsible for keeping the rupee in a tight range," said Abhishek Goenka, Founder and CEO, India Forex Advisors.
Meanwhile, the premium for forward dollar declined further on sustained receipts by exporters.
The benchmark six-month premium payable in November dipped to 218-220 paise from 223-225 paise previously.
Far-forward contracts maturing in May, 2015 also finished lower at 468.5-463.5 paise from 470.5-472.5 paise.
The Reserve Bank of India fixed
Sensex Slips from One week High
Retreating from one-week highs, the benchmark Sensex today closed about 55 points down at 25,313.74 on weak global cues due to deepening Iraq crisis and caution ahead of the expiry of June derivative contracts.
Persisting concern over below-average monsoon and the likely effect on food-grain prices also kept investors in a jittery mood, said equity dealers.
Shares from refinery, capital goods, banking and FMCG segments were in demand while from auto, pharma, realty and consumer durables attracted profit-booking.
Gains were noticed in Sensex-based counters like SBI, Maruti Suzuki, Bajaj Auto, M&M, Tata Motors, Hero MotoCorp, HUL and GAIL. However, fall in heavyweights like ITC, ICICI Bank, RIL, ONGC, L&T and HDFC Bank, dragged down Sensex lower.
Jignesh Chaudhary, Head of Research, Veracity Broking Services said: "Local equities opened positively, but as day progressed indices lost its way and closed weak. Today profit booking was seen. Investors preferred to stay cautious ahead of the expiry of June derivatives lined up for tomorrow."
The BSE 30-share barometer resumed better and initially touched a high of 25,427.80. Later, it fell back and was trapped in a narrow range for sometime. It finally ended at 25,313.74, a net fall of 55.16 points or 0.22 per cent.
Yesterday, it had spurted by 337.58 points, or 1.35 per cent, to end one-week high on easing global crude oil prices.
The wide-based 50-issue CNX Nifty of the NSE also eased by 10.95 points, or 0.14 per cent, to end at 7,569.25.
Automobile stocks caught buyers' fancy at the fag-end after government extended excise duty concessions by 6 months.
Militants launched a dawn raid today on a key Iraqi oil refinery they have been trying to take for days but were repelled by security forces. US benchmark West Texas Intermediate rose 17 cents to USD 106.20 a barrel while Brent crude eased 65 cents to USD 113.81.
Asian stocks closed lower as escalating violence in the Middle East sapped demand for riskier assets. Indices from China, Hong Kong, Japan, Singapore, South Korea and Taiwan ended down. European barometers was also trading weak in late morning deals.
Meanwhile, Foreign Portfolio Investors (FPIs) bought shares worth a net Rs 284.61 crore yesterday as per provisional data from the stock exchanges.
Sixteen scrips out of the 30-share Sensex pack ended higher while remaining 14 declined.
Major Sensex losers were ONGC (1.42 per cent), ITC (1.36 per cent), Bharti Airtel (1.35 per cent), ICICI Bank (1.30 per cent), L&T (1.19 per cent) and Sesa Sterlite (0.77 per cent).
Bajaj Auto moved up by 2.63 per cent, Maruti Suzuki 2.56 per cent, Gail India 1.69 per cent, Coal India 1.56 per cent, SBI 1.21 per cent, HUL 1.18 per cent, NTPC 1.16 per cent and Hero MotoCorp 1.01 per cent.
Among the S&P BSE sectoral indices, Oil&Gas dropped by 0.79 per cent, followed by Capital Goods 0.70 per cent and Bankex by 0.43 per cent.
However, Realty firmed up by 0.87 per cent, Consumer Durables by 0.87 per cent, Healthcare 0.84 per cent and Auto 0.76 per cent.
Market breadth remained positive as 1,681 stocks finished with gains, 1,350 stocks ended lower. Total turnover dropped to Rs 3,221.85 crore from Rs 3,608.48 crore yesterday.
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Sensex Rebounds - Outlook India , India Today & Zee News
All in the global crude oil prices eased inflation concerns helping the benchmark Sensex today to rise about 338 points to 25,368.90, its biggest gain in more than two weeks.
Oil prices slipped on receding fears that the crisis in Iraq could result in a major supply disruption. US benchmark West Texas Intermediate fell 54 cents to USD 105.63 per barrel and Brent eased 63 cents to USD 113.69.
Firm Asian cues after data showed that Chinese manufacturing grew in June for the first time this year, too boosted the overall sentiment. Regional indices closed higher with gains of upto 1 per cent.
Equity brokers also said hectic short-coverings ahead of the expiry of June contract on Thursday also helped Indian indices Sensex and Nifty script a smart rebound.
The BSE 30-share Sensex resumed strong in line with firm Asian markets and gradually improved further to settle at 25,368.90, a rise of 337.58 points or 1.35 per cent. This is its biggest rise in absolute terms since June 6, 2014 when it had shot up by 376.95 points.
Before today, the Sensex had tumbled by 489.87 points in the previous four straight sessions on rising oil prices and forecasts of below-average monsoon rains.
The 50-issue CNX Nifty of the NSE today jumped 86.85 points, or 1.16 per cent, to end at 7,580.20.
Barring healthcare, 11 BSE sectoral indices closed with gains with realty, consumer durable, oil&gas, power, banking, metal and auto taking the lead.
"Softening in crude oil prices and positive global cues boosted the market sentiment. Metal and mining stocks also showed buying interest after China posted positive manufacturing data," said Rakesh Goyal, Senior Vice President, Bonanza Portfolio Ltd.
Heavyweights like HDFC, RIL, ITC, ICICI Bank, TCS, SBI, Tata Motors, HDFC Bank, L&T, Axis Bank, ONGC and Gail India attracted good buying interest.
European markets were trading lower in choppy trade after data showed German business confidence declined for a second month in June. Key benchmark indices in the UK and Germany moved down 0.10 per cent and 0.26 per cent while France's CAC was quoting up 0.12 per cent.
Turning to the local market, 26 scrips out of the 30-share sensex pack ended higher while four others declined.
Jignesh Chaudhary, Head of Research, Veracity Broking Services said: "After falling for four days in a row, local equities closed up. Help from some bluechip companies here and better-than-expected manufacturing data from China, Japan and the United States also cheered the markets."
Major Sensex gainers were Gail (4.56 per cent), HDFC (2.81 per cent), BHEL (2.48 per cent), SBI (2.24 per cent), Axis Bank (2.19 per cent) and Tata Power (2.07 per cent).
RIL (2.02 per cent), ITC (2.02 per cent), ICICI Bank (1.79 per cent), TCS (1.75 per cent), NTPC (1.61 per cent), Tata Motors (1.52 per cent), Maruti Suzuki (1.51 per cent) ONGC (1.40 per cent) and Bajaj Auto (1.21 per cent) also gained. Hero MotoCorp (1.06 per cent), Tata Steel (1.03 per cent) and Larsen & Toubro (1.00 per cent) ended higher too.
Among the S&P BSE sectoral indices, Realty rose by 3.16 per cent, followed by Consumer Durables 2.44 per cent, Oil&Gas 2.17 per cent, Power 2.03 per cent, Bankex 1.51 per cent, Capital Goods 1.25 per cent, FMCG 1.20 per cent, Metal 1.10 per cent and Auto 1.06 per cent.
Meanwhile, Foreign Portfolio nvestors (FPIs) sold shares worth a net Rs 214.49 crore yesterday as per provisional data from the stock exchanges.
Market breadth remained positive as 2,041 stocks finished with gains, 985 stocks ended lower. Total turnover rose to Rs 3,608.48 crore from Rs 3,022.95 crore yesterday.
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Rupee continues to fall against US dollar
Mumbai: The Indian rupee continued to fall against the American currency for the fourth consecutive week by slipping another 41 paise to settle at 60.18 per dollar on persistent dollar demand from banks and importers due to rise in crude oil prices in view of tension in Iraq.
Fall in equity market in view of rise in crude oil prices and fresh foreign capital outflow affected the market sentiment. The rupee resumed lower at 59.82 per dollar as against the last weekend's level of 59.77 per dollar at the Interbank Foreign Exchange (Forex) Market and breached 60-mark after a gap of more than one month to 60.54 per dollar before setting the week at 60.18 per dollar, showing a loss of 41 paise or 0.69 per cent.
It has dropped by 166 paise or 2.84 per cent in four weeks. The benchmark S&P BSE-Sensex closed the week lower by 122.66 points or 0.49 per cent. Pramit Brahmbhatt, Veracity Group CEO said, "Rupee continued to trade weak on weekly basis. In the last four weeks Rupee has depreciated over three per cent. Taking cues from the growing tensions in Iraq. Last week we saw selling in the equity markets from both FIIs & DIIs.
FIIs sold shares of worth Rs 421 crore and DIIs were the net sellers of Rs 410 crore for the week which weakened the indices for the second consecutive week. Taking cues from this rupee depreciated further". Last week we saw tensions in Iraq which created global concern, as conflict within Iraq has shut down the country's biggest refinery adding to the worries about exports from the key oil producer.
OPEC supplies almost 40 per cent of the global oil demand, so any tension in OPEC countries leads to a global concern. India imports 80 per cent of its oil requirements so any increase in oil prices will automatically lift up the inflation which is already the biggest hurdle in the growth of India, he added.
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Sensex, Nifty Fall to Over 10-Day Low
Falling for the second session, the benchmark Sensex and Nifty today closed at their lowest levels in over ten days as the rupee weakened to the below 60-level and rising crude price added to concerns about inflation which surged to five-month highs.
The benchmark S&P BSE Sensex declined 37.69 points, or 0.15 per cent, to end at 25,190.48 and the NSE CNX Nifty ended 8.55 points, or 0.11 per cent, down at 7,533.55.
Rising tension in Iraq which drove oil prices to 9-month highs and increase in wholesale inflation weighed on stocks.
Costlier crude is a double whammy for the Indian economy, which imports 80 per cent of oil supplies, as trade gap widens and threatens to push inflation higher. This will reduce room for RBI to lower lending rates in a bid to boost growth.
The Wholesale Price Index-based inflation accelerated to 6.01 per cent in May from 5.20 per cent in April.
Shares from capital goods, auto and banking suffered losses while realty, IT and consumer durable closed up.
Selling in bluechips like RIL, L&T, HDFC, ICICI Bank, Tata Motors, Axis Bank, M&M, SBI and Maruti Suzuki mainly contributed to the Sensex fall.
Jignesh Chaudhary, Head of Research, Veracity Broking Services said: "Equities closed weak as WPI rose. Adding to the data, already it has been declared that we may witness disappointing rains this season, which will add more burdens to the already higher food prices. Also, the tension in Iraq has already pushed up fuel prices".
The BSE 30-share barometer resumed nearly stable and moved erratically in negative terrain for most of the day before settling at 25,190.48, recording a fall of 37.69 points or 0.15 per cent. This was its weakest closing since 25,019.51 on June 5.
Last Friday, it had plunged 348.04 points.
On the other hand, IT stocks caught buyers' fancy after the rupee dipped below the 60 mark against the dollar.
Bucking the overall negative trend, IT index gained 1.54 per cent with all the three top IT stocks TCS, Infosys and Wipro ending higher.
Meanwhile, foreign portfolio investors (FPIs) bought shares worth a net Rs 1,099.92 crore last Friday, as per the provisional data from the stock exchanges.
Asian stocks closed mixed amid an escalation of violence in Iraq. Key benchmark indices in Hong Kong, Japan and Singapore closed in the red while from China, South Korea and Taiwan finished in the green.
European markets, however, were trading weak in their late morning deals. The CAC was down by 0.58 per cent, the DAX by 0.30 per cent and the FTSE by 0.12 per cent.
Fifteen scrips out of the 30-share Sensex pack ended lower while remaining 15 finished higher.
"Concern over higher crude oil and rupee depreciation has dampened market sentiment. Inflation has also come on higher side which leave lower hopes for rate cut in near term," said Nidhi Saraswat, Senior Research Analyst, Bonanza Portfolio.
Prominent Sensex losers were Axis Bank (2.58 per cent), M&M (2.34 per cent), L&T (2.08 per cent), RIL (1.61 per cent), Tata Motors (1.58 per cent), HDFC (1.48 per cent), Maruti Suzuki (1.13 per cent) and SBI (1.04 per cent).
Gainers were Gail India 3.95 per cent, followed by Sun Pharma 2.49 per cent, Tata Power 1.69 per cent, BHEL 1.43 per cent and ONGC 1.11 per cent.
Among the S&P BSE sectoral indices, Capital Goods fell by 1.16 per cent and Auto 1.07 per cent while Realty rose by 1.70 per cent, IT by 1.54 per cent and Teck 1.24 per cent, among others.
Total market breadth remained negative as 1,576 stocks closed with losses while 1,377 finished with gains. Total turnover dropped to Rs 3,423.29 crore from Rs 5,272.07 crore yesterday.