Market pare losses; Power, ADAG stocks gain

Broader markets gains nearly 1%, bucking the trend of benchmark indices

Market pared losses in morning trades this Wednesday on back of significant buying witnessed power and Anil Dhirubhai Ambani Group companies.

At 10:15AM, the Bombay Stock Exchange's 30-share index Sensex dropped 35 points at 19,005.81 while the National Stock Exchange's 50-share Nifty shed 9 points at 5,738.

Global risk appetite remained cautious as investors awaited US ADP due later this session, followed by Thursday's latest weekly jobless claims. Meanwhile, Bank of Japan’s two-day policy meeting that started today will also gain limelight for any cues on economic stimulus.

Asian shares were mixed with Japan's Nikkei rose 2% to 12,239.63, China’s Shanghai Composite gained 0.1% to 2,213, Hong Kong’s Hang Seng dropped 0.26% to 22,309 while Strait Times gained 0.4% to 3,321 today.

Back home, the key sectoral gainers were power, real-estate, healthcare sectors gained while  FMCG, autos,  oil & gas and consumer durables sectors dropped on BSE.

The gainers on the Sensex were Tata Power surging 5.4%, BHEL up 2% , ICICI Bank gained 1.4% while Jindal Steel rose 1.6% on BSE.

The laggards included counters such as Bharti Airtel dropping 2%, HUL fell 1%, HDFC and HDFC Bank shed 1% and 0.6% respectively, ONGC was down 0.7% while TCS and Wipro declined 0.2% and 0.3% respectively on BSE.

The notable movers at this hour include, Power shares were up, led by Adani Power (up 9 percent) after the company got a favourable ruling from the Central Electricity Regulatory Commission (CERC).  Adani Power had been seeking a hike in power tariffs due to escalation in price of imported coal and scarcity of domestic coal.

Reliance Communications (RCom) which has rallied 9% to Rs 69 on NSE, extending its previous day’s 11% surge, after signing an agreement with Mukesh Ambani’s Reliance Jio, which will offer 4G services, to use the company’s fibre-optic network for a one-time payment of Rs 1,200 crore.

Mangalore Chemicals and Fertilizers (MCFL) has zoomed  18% to Rs 46.25, extending its previous day’s 20% rally on NSE, after Zuari Fertilisers acquired close to 10% stake in the UB Group