Sensex ends flat amidst volatility

The market came sharply off higher level in late trade on a volatile day of trade. Earlier, the market had recovered from an initial slump to hit a record high in mid-afternoon trade. Capital goods, auto, metal, FMCG stocks declined. IT stocks rose. BSE Mid-Cap and Small-Cap indices underperformed Sensex. The market breadth was weak on BSE.

European markets which opened after Indian market were weak. Asian markets, which opened before Indian market, were higher.

The 30-share BSE Sensex declined 3.55 points or 0.02% to 20,869.78. It hit a record high of 21,113.13 in mid-afternoon trade. At day’s high, Sensex gained 239.80 points. Sensex hit a low of 20,701.49, in morning trade. At day’s low of 20,701.49, Sensex had lost 171.84 points.

The broader CNX S&P Nifty lost 15.85 points or 0.25% to 6,272.

BSE clocked a turnover of Rs 9610 crore, lower than Tuesday (8 January 2008)'s Rs 11870 crore.

Nifty January 2008 futures were at 6260, at discount of 12 points as compared to spot closing of 6272.

The NSE's futures & options (F&O) segment turnover was Rs 74,171.29 crore, which was lower than Rs 84,355.67 crore on Tuesday, 8 January 2008.

The BSE Mid-Cap index was down 0.48% to 9,769.58. The BSE Small-Cap index was down 1.08% to 13,369.95. Both these indices underperformed Sensex.

BSE Power index (up 0.23% to 4,818.43), BSE IT index (up 0.25% to 4,255.52), BSE Consumer Durables index (up 0.4% to 6,596), BSE Realty index (up 0.61% to 13,566.71) outperformed Sensex.

BSE Bankex (down 0.38% to 12,041.05), BSE Healthcare index (down 0.56% to 4,273.05), BSE FMCG index (down 0.57% to 2,490.71), BSE Metal index (down 0.59% to 19,423.72), BSE Capital Goods index (down 0.69% to 20,075.34), BSE Auto index (down 0.9% to 5,544.15) and BSE Oil & Gas index (down 1.67% to 13,817.14) underperformed Sensex.

The market breadth was weak on BSE with 757 shares advancing as compared to 2,137 that declined. 25 remained unchanged. 18 stocks from Sensex pack were in red.

India’s largest private sector firm by market capitalization and oil refiner Reliance Industries declined 0.61% to Rs 3,031.95.

Capital goods stocks declined. Bharat Heavy Electricals (down 2.02% to Rs 2,443.80), Larsen & Toubro (down 0.07% to Rs 4,329.80) and Suzlon Energy (down 1.41% to Rs 2,241.60) edged lower.

Auto stocks declined. Tata Motors (down 0.48% to Rs 770.45), Bajaj Auto (down 0.23% to Rs 2,532.10), Maruti Suzuki India (down 1.48% to Rs 925.70), Hero Honda Motors (down 0.28% to Rs 688.15) edged lower.

Mahindra & Mahindra declined 2.67% to Rs 807.90 after the company said Mahindra Holidays & Resorts India (MHRIL), a leisure hospitality provider offering family holidays, has finalised a 2% private placement deal with the State Bank of India for a consideration of around Rs 80 crore.

FMCG majors declined. ITC (down 1.19% to Rs 227.95) and Hindustan Unilever (down 0.34% to 233.85) edged lower.

Metal stocks declined. Tata Steel (down 0.15% to Rs 890.50), Steel Authority of India (down 0.7% to Rs 261.25), National Alluminium Company (down 0.37% to Rs 498.65) edged lower. Hindalco Industries (up 1.7% to Rs 212.50) and Sterlite Industries (up 0.48% to Rs 1,039.75) edged higher.

India’s largest private sector bank by assets ICICI Bank declined 1.73% to Rs 1,310.45.

IT stocks rose. Wipro (up 0.6% to Rs 490.85) Satyam Computer Services (up 0.8% to Rs 427.90) and Tata Consultancy Services (up 0.36% to Rs 994.10) edged higher. India’s second largest IT exporter by sales Infosys Technologies declined 0.4% to Rs 1,655.55.

NTPC (up 4.49% to Rs 277.15), HDFC (up 3.59% to Rs 3,174.25), RelianceCommunications (up 2.05% to Rs 820.80) and HDFC Bank (up 1.68% to Rs 1,745.10) edged higher.

ONGC (down 1.76% to Rs 1,298.65), Ranbaxy Laboretories (down 1.65% to Rs 411.60) edged lower.

Himachal Futuristic Communications clocked the highest volume of 3.17 crore shares on BSE. The scrip declined 1.89% to Rs 57.20. Reliance Natural Resources clocked the second highest volume of 2.95 crore shares on BSE. The scrip declined 6.47% to Rs 228.35. Ispat Industries clocked the third highest volume of 1.81 crore shares on BSE. The scrip declined 0.58% to Rs 69. Centurion Bank of Punjab clocked the fourth highest volume of 1.54 crore shares on BSE. The scrip rose 0.51% to Rs 69.50. Cybermate Infotek clocked the fifth highest volume of 1.49 crore shares on BSE. The scrip rose 1.18% to Rs 18.

Reliance Natural Resources clocked the highest turnover of Rs 701.70 crore on BSE. Reliance Capital (Rs 369.31 crore), Reliance Petroleum (Rs 331.85 crore), Reliance Communications (Rs 308.54 crore) and Reliance Energy (Rs 222.06 crore) were other turnover toppers in that order.

Fears of a US recession and poor results from major retailer Marks & Spencer hit European stocks hard. UK’s FTSE 100 was down 0.85% to 6,302.20. Germany’s DAX was down 0.48% to 7,812.45.

Earlier, however, Asian stocks managed to shake off some of the fears, mainly on hopes that new US tax rebates may be in the works to boost consumers. Key benchmark indices in Hong Kong, Japan, Singapore, China, Taiwan and South Korea were up by between 0.41% to 1.53%.

The Dow Jones industrial average plunged 238.42 points, or 1.86%, at 12,589.07 on Tuesday, 8 January 2008. The Standard & Poor's 500 Index lost 25.99 points, or 1.84%, at 1,390.19. The Nasdaq Composite Index shed 58.95 points, or 2.36%, at 2,440.51.