Markets end lacklustre session lower

Major headlines

India to grow at 8.25-8.75% in current fiscal: FM

Sterlite Industries Q2 consolidated net profit rises marginally; the stock ends 0.09% lower

JSW Steel Q2 consolidated net profit up 16% yoy; the stock ends 0.96% down



Indian indices

After witnessing a rally in the previous session, the Indian markets retreated and shut listless session in the red on the back of profit booking. Even weak European cues weighed on the domestic markets to some extent. Stock specific action was seen as quarterly results were in full swing. The metal shares remained under selling pressure after ArcelorMittal forecast extended weakness for the sector.

The sell-off in telecom, metal, cement, financial, PSU power and oil & gas (barring Reliance Industries) companies' shares dragged the Nifty below 6100 levels. However, buying in auto companies' shares along with Reliance Industries, ITC, DLF, Larsen & Toubro, Jaiprakash Associates, Cipla, Reliance Infrastructure and Dr Reddy's Laboratories capped the losses.

Top gainers on the BSE Midcap - Dena Bank, Info Edge, Marico, Deccan Chronicle and SKF India were up between 4-8%. Top losers on the BSE Midcap - United Phosphorous, Mahindra Holidays, Core Projects, Jyothy Laboratories and Gujarat Pipavav were down between 3-6%.

The Sensex began the session at 20325, higher by 22 points. However, the index slipped in the negative zone for brief period. Later, the index recovered and hit the day’s high of 20345 in the morning trades. As the session progressed, the Sensex was unable to hold on to its gains and traded subdued for most part of the morning session. The index turned volatile and traded in the red in the afternoon session, hitting the day’s low of 20189 as the weak European markets dampened sentiments further. From the day’s low, the index again recovered all the losses and turned positive for short period. In last hour, the Sensex again declined to close the session in the negative terrain owing to selling pressure in metal and banking stocks.

At the closing bell, the Sensex shut the session at 20221, lower by 82 points. The Nifty closed at 6082, down by 24 points.

Bond & Rupee update: The Indian rupee opened at 44.42 per dollar versus 44.35.

Market Outlook: Tonight in the US, the data released will be Conference Board's October Consumer Confidence, the S&P Case/Shiller Home Price Index for August, and the Federal Reserve Bank of Richmond's October indexes on area manufacturing and service sectors.

Market sentiment

The market breadth was negative as declining stocks outnumbered the advancing ones. Out of the 3,093 stocks on the BSE, 1,557 fell while 1,408 rose. Hundred and twenty-eight stocks traded unchanged.

Sectoral and stock screening

Out of the 13 sectoral indices - ten sectors closed in the red, while three in the green. BSE Metal was hit the most, down by 1.21%, BSE Bankex fell by 0.84% and BSE PSU slipped by 0.77%. BSE Consumer Durables (CD) was the top performer, up by 1.99%, BSE Auto and BSE Fast Moving Consumer Goods (FMCG) surged by 0.86% and 0.50% respectively.

Among 'A' group stocks, the top three gainers were - Titan Industries up by 6.22% after posting strong Q2 results, Ashok Leyland up by 4.52% and Godrej Industries up by 4.23%. Top three losers were - United Phosphorus down by 7.17% on weak Q2 numbers, IRB Infrastructures down by 3.48% and Indiabulls Financial Services down by 3.39%.

Viewing volumes

Indian shipbuilding company - Pipavav Shipyard was traded the most, with over 0.27 crore shares changing hands on the BSE, followed by public sector bank - Central Bank of India (0.26 crore shares), industrial finance company - IFCI (0.25 crore shares), leading two-wheeler manufacturer - TVS Motors (0.24 crore shares) and India's first direct-to-home service provider - Dish TV (0.24 crore shares).

Global signals

The European equities fell as basic resources shares slipped after ArcelorMittal forecast extended weakness for the sector, while UBS led financials down following losses at its investment bank.

All the major Asian markets closed on a negative note, except Jakarta Composite and Kospi indices.

The US stock index futures point to a lower opening on the Wall Street. The earnings of DuPont, Ford Motor and Bristol-Myers Squibb will be eyed. The data released will be Conference Board's October Consumer Confidence, the S&P Case/Shiller Home Price Index for August, and the Federal Reserve Bank of Richmond's October indexes on area manufacturing and service sectors.