Market gives thumbs down to Yellen talk

Sensex was down 55 points at 21,777 and the Nifty slipped 19 points to 6,505 in opening deals

Markets continue to remain under pressure with the Sensex down 26 points at 21,806 and the Nifty gave off 12 points to trade at 6,512, holding above the psychological 6,500 level.

The smallcap index marginally advanced and was up 0.4%, outperforming the midcap and the Sensex which was marginally down 0.1%.
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(Updated at 1030 hrs)
Mirroring weak global cues, benchmark indices started in the red as Federal Reserve Chair Janet Yellen raised the possibility of an earlier- than-anticipated increase in interest rates.

In the opening trades, the Sensex was down 55 points at 21,777 and the Nifty slipped 19 points to 6,505.

In the broader markets, the smallcap index was marginally up 0.2% while the midcap index slipped by same percentage.

Global Markets

Overnight, U.S. stocks fell on Wednesday and the central bank dropped the U.S. unemployment rate as its definitive yardstick for gauging the economy's strength and made clear it would rely on a wide range of measures in deciding when to raise interest rates.

Equities extended declines after Fed Chair Janet Yellen said the "considerable period" between the end of its quantitative easing program, known as QE, and the first rate increase from the central bank could be six months.

The Dow Jones industrial average fell 0.70%, to end at 16,222. The S&P 500 slipped 0.61%, to finish at 1,861. The Nasdaq Composite dropped 0.59%, to close at 4,308.

In Asia, Japan's Nikkei was trading down 0.5% and Hong Kong's Hang Seng slipped 0.55%. South Korea's Kospi index was trading 0.7% lower and China's Shanghai index was trading up 0.2%.

Sectors & Stocks

Metal, Consumer Durables, IT and Teck indices up 0.3-0.7% were the only indices in positive territory.

Health care index was flat with a positive bias.

Banking index down 0.6% was the top sectoral loser along with Capital goods, Realty, Power, Oil & Gas, Auto and FMCG indices down 0.2-0.6%.

IT majors Wipro, TCS and Infosys up 0.8-2% were among the top gainers in opening trades.

Bharti Airtel, Sun Pharma, Hindustan Unilever, Mahindra & Mahindra and Gail India which added 0.5-1% were the other notable gainers.

Among the ones in red were Axis Bank, ONGC, BHEL, Coal India, L&T and SBI down 1-2%.

Market breadth was marginally positive on the BSE. 662 stocks advanced while 572 stocks declined.