Nifty December 2011 futures at premium

Turnover surges

Nifty November 2011 futures were at 4923.15, at a premium of 17.35 points compared to spot closing of 4905.80. Nifty December 2011 futures were at 4950, at a premium of 44.20 points over spot closing. Turnover on NSE's futures & options (F&O) segment surged to Rs 195058.74 crore from Rs 175339.34 crore on Thursday, 17 November 2011.

State Bank of India (SBI) November 2011 futures were at 1722, at a discount compared to spot closing of 1726.

L&T November 2011 futures were at 1252, at a premium over spot closing of 1248.90.

ICICI Bank November 2011 futures were at 775.15, at a premium over spot closing of 772.30.

In the cash market, the S&P CNX Nifty lost 28.95 points, or 0.59% to settle at 4,905.80, its lowest closing level since 7 October 2011.

The near-month November 2011 derivatives contracts expire on 24 November 2011.

Sensex, Nifty settle at 6-week lows

Key benchmark fell for the seventh straight day to hit six-week closing lows as poor Q2 September 2011 earnings and euro-zone debt worries dampened sentiment. Data showing selling by foreign funds recently also weighed on sentiment. Intraday volatility was high. The BSE Sensex lost 90.20 points or 0.55%, up close to 205 points from the day's low and off close to 25 points from the day's high.

Auto stocks extended recent losses triggered by concerns that higher interest rates could crimp sales of automobiles. Bank stocks extended recent losses triggered by concerns about rising defaults in a slowing economy. Index heavyweight Reliance Industries trimmed intraday losses. L&T recovered after hitting 52-week low. The market breadth was weak. Some metal stocks recovered. Select pharma stocks gained.

Daily News Roundup - Nov 18 2011

Carlyle, New York Life PE in talks to invest US$100mn in parent, arms of Everonn Education. (BS)

Adani Mining Pvt Ltd has applied for regulatory approval for a new coal terminal at Abbot Point in the state of Queensland, which would potentially raise total coal export from the port by 70%. (BS)

Lupin has agreed to acquire up to 100% outstanding shares of I'rom Pharmaceutical Co from I'rom Holdings Co. (BL)

NCC Ltd has achieved financial closure for the 1320-MW Rs70bn thermal power plant coming up at Nellore district of Andhra Pradesh. (BL)

Rough and tumble

"Bad times have a scientific value. These are occasions a good learner would not miss." - Ralph Waldo Emerson.

After a stellar show last year, the Indian economy has hit a rough patch amid mounting concerns about the euro area debt crisis and anemic US growth. The weakened macro-economic fundamentals are reflecting in the large twin deficits, which in turn are hurting the rupee. A depreciating rupee is bad news for one and all. The recent sharp selling in stocks can be partly attributed to rupee’s fall. It may hit new lows shortly. The RBI says it is risky to try and prop up the currency.

No respite; Nervousness may remain at start

On the last day of the week, the Indian markets are set for a negative start again as global sentiment continued to look jittery.

Headlines for the day:

Production hit at Dr Reddy's Laboratories Hyderabad unit due to strike

ECS suggests rejecting RIL bid for 2 blocks

Government to consult IOC on Kingfisher's plea for jet fuel import.

RBI careful of using forex reserves to support rupee.

Market may extend recent steep slide on weak Asian stocks

The market may extend recent steep slide on weak Asian stocks. Trading of S&P CNX Nifty futures on the Singapore stock exchange indicates a fall of 34 points at the opening bell.

The BSE Sensex has lost 6.3% in the past six trading sessions to settle at 16,461.71 on Thursday, 17 November 2011, its lowest closing level since 7 October 2011, from a recent high of 17,569.53 on 8 November 2011 as weak Q2 results dampened sentiment. The Sensex lost 314.16 points or 1.87% on Thursday, 17 November 2011.

Foreign institutional investors (FIIs) sold shares worth Rs 195.20 crore on Thursday, 17 November 2011, as per the provisional data from the stock exchanges. Their outflow totaled Rs 1093.86 crore in three trading session from 15 to 17 November 2011.