FIRST LIGHT HEADINGS
Telangana Congress leaders to pressurize govt for last time
Power Grid to bid for Rs 1,300 crore contract Coal Minister invites Czech firms to invest in Indian coal sector Lanco Infratech drops bid plan for assets of Australia’s Premier Coal MTNL receives refund order amounting Rs 177.76 crore Ramco Systems unveils Ondemand- Analytics and Gateway products on the cloud Mundra Port likely to increase coal imports
Power Grid to bid for Rs 1,300 crore contract Coal Minister invites Czech firms to invest in Indian coal sector Lanco Infratech drops bid plan for assets of Australia’s Premier Coal MTNL receives refund order amounting Rs 177.76 crore Ramco Systems unveils Ondemand- Analytics and Gateway products on the cloud Mundra Port likely to increase coal imports
MARKET INSIGHT
On Wednesday 15 June 2011, The previous day consolidation mood of the Indian markets turned somber on Wednesday and the benchmarks lost considerable ground slipping way below their important psychological levels of 18300 (Sensex) and 5500 (Nifty). Though the start of the local markets was not that bad but the trader sentiments looked cautious from the very beginning after the unexpectedly high inflation numbers for the month of May and skepticism for continuation of the hawkish stand by the Reserve Bank of India. Initially it seemed that street has factored in the possible 25 basis points hike in policy rates by the apex bank and there might not be much jittery, but as the trade proceeded the rate sensitive’s started showing worries with banking stocks wilting much faster than other likely to be affected gauges. Banking majors like SBI and ICICI Bank dragged the index lower by declining around 2 percent each for the day. In the initial hours of trade the markets with slight cut remained range bound, extending the consolidation mood of last session, but slowly confidence started waning and profit booking intensified across the board and traders fearing further decline opted to take profits off the table ahead of the Reserve Bank of India’s policy meet. The global cues also remained feeble and some of the Asian markets closed in red while the weak start of the European markets too weighed down the domestic sentiments.
The BSE Sensex lost 184.30 points or 1.01% and settled at 18,124.36.The index touched a high and a low of 18,308.69 and 18,111.21 respectively. 5 stocks advanced against 25 declining ones on the index The market breadth on the BSE ended negative; advances and declining stocks were in a ratio of 1180:1654 while 107 scrips remained unchanged. The BSE Mid-cap index lost 0.63% while Small-cap index shed 0.64%. On the BSE Sectoral front, FMCG up 0.12% was the only gainer.On the flip side, Bankex down 1.61%, Realty down 1.58%, Consumer Durables down 1.26%, IT down 1.21% and Power down by 1.17% were the top losers.
India VIX, a gauge for market’s short term expectation of volatility gained 3.40% at 19.14 from its previous close of 18.51 on Tuesday. The S&P CNX Nifty lost 53.40 points or 0.97% to settle at 5,447.10. The index touched high and low of 5,499.35 and 5,438.95 respectively. 11 stocks advanced against 38 declining ones while 1 stock remained unchanged on the index. (Provisional)
Most of the Asian equity indices finished the day’s trade in the positive terrain on Wednesday. Japanese Nikkei edged higher in the trade on report showed US retail sales were better than forecast, boosting the outlook for exporters while Seoul shares ended with a gain of about half a percent after volatile trade on Wednesday, supported by modest foreign investor buying and rallies in airlines and shipping firms.
Read more about Indian Equity Research morning report by Mansukh
