Sensex ends in red post IIP nos

Indian markets were highly volatile in trade today and closed the session in the negative zone. The Sensex slipped 40 points and the Nifty fell 15 points after disappointment from poor IIP numbers. Major Headlines of the Day IIP for June at -1.8% vs 2.4% in May 2012 Car sales rise 6.7% in July Tata Motors Q1 cons net profit at Rs2245 cr Adani Enterprises dips after Q1 nos Bharti Airtel hits 52-week low Indian Indices The Indian equity benchmarks wiped out all of its morning gains and closed the session with marginal losses. IIP numbers for the month of June 2012 were announced against the expectations of a marginal increase. The losses were also added by fall in index heavyweights like Tata Motors, Ranbaxy, Bharti Airtel, HDFC and RIL. The Sensex closed 40 points lower while the Nifty fell 15 points. Movement of the Indian indices for the day Looking at the market movement for the day, positive Asian cues helped the key benchmark indices kick-start the trade in green with more than 100 points gap up opening. After the release of June IIP numbers, the market trimmed most of its gains. However, the positive opening of the European market managed to keep the market in green, but failed to maintain it till the end. The Indian stock indices traded with minor losses in the late afternoon trade, with the BSE Sensex and the NSE Nifty surrendering all of its intraday gains after a drop in industrial production for June was announced as against the expectations of a marginal increase. The Sensex retreated nearly 200 points from the session's peak while the Nifty erased more than 50 points from the day's high. The market breadth weakened as the broader indices were also trading with a negative bias. The Sensex shut shop at 17560.87 down by 39.69 points while Nifty closed at 5322.95 down by 15.05 points. On a Macro Economic front, The Index for Industrial Production ( IIP) for the month of June 2012 declined by 1.8% YoY, lower than the consensus estimate of growth of 0.4%. Car sales in India showed annual growth of 6.7% in July, data from an industry body showed on Thursday (August 09, 2012), in the ninth consecutive monthly rise but below industry estimates as high interest rates and a hike in excise tax stunted demand. Following are the stocks/ sectors which were in news today: 1. Cairn India dropped after the company said its MD and CEO, Rahul Dhir, has decided to step down effective August 31, 2012 to pursue his entrepreneurial interests. At end of the day, the stock fell by 1.89% 2. Power Finance Corporation (PFC) traded higher by 3%, after reporting a 42% year-on-year (yoy) jump in net profit at Rs972 crore for the first quarter ended June 30, 2012. The stock closed 3.02% higher in today’s trade. 3. Country's largest commercial vehicle manufacturer Tata Motors reported a 12% rise in Q1 net profit, falling below expectations. The jump in sales at its Jaguar Land Rover (JLR) subsidiary offset the falling profit at its domestic business. After market hours, the stock closed 0.87% lower. 4. Bharti Airtel continued to reel under pressure after reporting disappointing numbers on Wednesday. Today the stock closed 6.40% lower 5. State Bank of India (SBI) has slipped, ahead of its Q1 results tomorrow (August 10, 2012) on worries of lower net interest margins. The stock closed in red, down by 4.33%. Market sentiment: The market breadth stood in favor of declines. Of the 2916 stocks traded on the BSE, 1166 (39.99%) rose, 1613 (55.32%) fell and 137 (4.70%) stocks remained unchanged. Sectoral & stock screening: Among the 13 sectoral indices eight sectors closed in red zone while remaining five sectors closed in green zone. Top Gainers: BSE FMCG rose by 1.42%, BSE Metal surged by 0.64%, BSE Auto gained by 0.44%. Top Losers: BSE Oil&Gas down by 1.05%, BSE TECk down by 0.88%, BSE Bankex fell by 0.70%. Among 'A' group stocks, top three gainers were- Bajaj Finserv rose by 6.35%, Apollo Tyres up by 5.22% and Marico surged by 4.77%. Top three losers were- Aurobindo Pharma declined by 7.66%, Bharti Airtel down by 6.40% and Pantaloon Retl fell by 5.25%. Global signals: Stocks remained resilient in Asia and posted muted gains on Thursday after China's inflation rate eased. China's consumer price index rose 1.8% in July, down from the previous month's 2.2% and well below last year's highs. Japan's Nikkei share average rose for the fourth straight day as momentum was sustained by mixed data from China that kept hopes alive for policy action to tackle the slowdown in Japan's exports. European shares surged today after the inflation data from China left the door open for more monetary policy easing from the world's second biggest economy, underpinning expectations that global policymakers will act to boost growth. US stock index futures headed towards a slightly higher opening at the Wall Street on Thursday.