 "Sensex ends 654 points lower in seventh straight day of losses")
Benchmarks indices ended lower for the seventh straigth session dragged primarily by the losses in financials and information technology shares as investors remained cautious ahead of March F&O expiry and concerns over foreign capital outflows emerged following the Saudi Arabia led air-strikes on Yemen to drive back Houthi rebels.
Provisionally, the 30-share Sensex ended down 654 points at 27,457 and the 50-share Nifty closed down 188 points at 8,342.
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Benchmark indices continue to experience sharp selling with losses in financials and information technology shares leading the decline on caution ahead of March F&O expiry and spike in geo-political tensions after Saudi Arabia led coalition of Arab nations' air strikes on Yemen to drive back Houthis Rebels.
At 2:18PM, the 30-share Sensex was down 428 points at 27,683 and the 50-share Nifty was down 119 points at 8,411.
In the broader market, both the BSE Midcap index, down 0.6% and Smallcap index, down 0.8% have performed better than the front-liners. Market breadth in BSE is negative with 1,754 declines against 880 advances.
Sharp sell-off in Indian markets is in-line with the weakness observed in global equity markets following weak economic data from US that led to nearly 2% decline in the US markets overnight. Sell-off in technology shares led to Nasdaq Composite index falling most steeply in nearly a year.
Emerging geo-political concerns in the Middle East following the air strikes by Saudia Arabia led coalition of Arab nations on Yemen against Houthis rebels have also kept risk-appetite suppressed.
On the political front, the NDA government may have to let the Land ordinance lapse and wait for the second half of parliament's budget session that starts from April 20 to introduce the Land Acquisition and GST Bill.
The Cabinet Committee of Economic Affairs (CCEA) led by the Prime Minister Narendra Modi approval of the plan to use regassified LNG to restart stalled gas-based power projects in India is likely to add to the profits of gas and power companies such as GAIL, Reliance Power among others.
Meanwhile, foreign portfolio investors (FPIs) bought shares worth a net Rs 813.19 crore yesterday, as per provisional data.
Buzzing Stocks
11 out of the 12 sectoral indices of BSE are in red. BSE IT and Bankex indices down over 2% and 1.7% each are the top losers followed by BSE Metal index down around 1.4%. BSE Capital Goods index, up 0.3% is the sole gainer.
Housing finance major, HDFC has declined over 4%. The company has fixed March 26, 2015 as the record date for the purpose of payment of interim dividend, if approved by the board.
ICICI Bank has slipped nearly 2%. The Ministry of announced the signing of a Memorandum of Understanding (MoU) between the Indian Army and ICICI Bank on the Defence Salary Package. HDFC Bank and Axis Bank too have declined around 2%.
SBI is down over 1%. SBI will reduce its stake in the general insurance Joint Venture Company with IAG (Insurance Australia Group) from 76% to 51%.
IT stocks are under pressure after the tech-led sharp sell-off in US markets. Infosys has declined around 3%, Wipro has shed more than 2% and TCS is down 1.5%. According to media reports, Wipro is setting up 'commando force' by next month to target clients and drive up business.
GAIL stands to benefit from government approval to allow regassified LNG to restart stalled gas-based power projects in India across the entire gas value chain (long-term LNG contracts, stake in re-gasification terminals and ownership of pipelines). The stock is trading higher by 0.3%.
Hero Motocorp's joint venture with Magneti Marelli today inaugurated its first autonomous "Production and Development Centre" at Manesar, Harayana. The new centre will serve as a production facility and innovation hub for new generation fuelling engines for Hero Motocorp two-wheelers. The stock is up 0.5%.
Bharti Airtel has gained over 1% on expectations of winnig a large pie in the 900 Mhz spectrum auction.
Global Markets
Asian markets fell today tracking the weakness in US markets and volatility in Middle East following Saudi Arabia led air-strikes on Yemen Houthis rebels. Spike in global crude oil prices and an appreciating Yen brought losses to Japanese shares. Nikkei closed down 1.4%. Mainland Chinese shares gained despite the overall bearish trends in global equity markets. Shanghai Composite index gained 0.6%. However, Hang Seng index ended marginally down by 0.1%.
European markets have opened on a sluggish note. FTSE 100 and French CAC 40 indices have falled around 0.6%. German DAX index has shed around 1.5%.
Provisionally, the 30-share Sensex ended down 654 points at 27,457 and the 50-share Nifty closed down 188 points at 8,342.
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Benchmark indices continue to experience sharp selling with losses in financials and information technology shares leading the decline on caution ahead of March F&O expiry and spike in geo-political tensions after Saudi Arabia led coalition of Arab nations' air strikes on Yemen to drive back Houthis Rebels.
At 2:18PM, the 30-share Sensex was down 428 points at 27,683 and the 50-share Nifty was down 119 points at 8,411.
In the broader market, both the BSE Midcap index, down 0.6% and Smallcap index, down 0.8% have performed better than the front-liners. Market breadth in BSE is negative with 1,754 declines against 880 advances.
Sharp sell-off in Indian markets is in-line with the weakness observed in global equity markets following weak economic data from US that led to nearly 2% decline in the US markets overnight. Sell-off in technology shares led to Nasdaq Composite index falling most steeply in nearly a year.
Emerging geo-political concerns in the Middle East following the air strikes by Saudia Arabia led coalition of Arab nations on Yemen against Houthis rebels have also kept risk-appetite suppressed.
On the political front, the NDA government may have to let the Land ordinance lapse and wait for the second half of parliament's budget session that starts from April 20 to introduce the Land Acquisition and GST Bill.
The Cabinet Committee of Economic Affairs (CCEA) led by the Prime Minister Narendra Modi approval of the plan to use regassified LNG to restart stalled gas-based power projects in India is likely to add to the profits of gas and power companies such as GAIL, Reliance Power among others.
Meanwhile, foreign portfolio investors (FPIs) bought shares worth a net Rs 813.19 crore yesterday, as per provisional data.
Buzzing Stocks
11 out of the 12 sectoral indices of BSE are in red. BSE IT and Bankex indices down over 2% and 1.7% each are the top losers followed by BSE Metal index down around 1.4%. BSE Capital Goods index, up 0.3% is the sole gainer.
Housing finance major, HDFC has declined over 4%. The company has fixed March 26, 2015 as the record date for the purpose of payment of interim dividend, if approved by the board.
ICICI Bank has slipped nearly 2%. The Ministry of announced the signing of a Memorandum of Understanding (MoU) between the Indian Army and ICICI Bank on the Defence Salary Package. HDFC Bank and Axis Bank too have declined around 2%.
SBI is down over 1%. SBI will reduce its stake in the general insurance Joint Venture Company with IAG (Insurance Australia Group) from 76% to 51%.
IT stocks are under pressure after the tech-led sharp sell-off in US markets. Infosys has declined around 3%, Wipro has shed more than 2% and TCS is down 1.5%. According to media reports, Wipro is setting up 'commando force' by next month to target clients and drive up business.
NTPC has slipped over 1%. The Ministry of Coal has announced re-allotment of five coal mines namely, Chatti-Bariatu, Chatti-Bariatu(South), Kerandari, Dulanga and Talaipalli to the company.
Among pharma stocks, Sun Pharma and Dr Reddys Lab have declined over 1% while Cipla is trading flat. Cipla has announced the launch of generic drug Sofosbuvir, used in hepatitis C treatment, under the brand name of 'Hepcvir.
Following the air strikes by Saudia Arabia led coalition of Arab nations on Yemen against Houthis rebels has pushed crude oil prices around 4% higher on concerns over geo-political crisis in Middle East that may lead to higher crude oil prices. ONGC has shed around 1.5% and RIL is down 0.3%. Following government's decision on regassified LNG RIL may lose potential customers as it fails to generate gas from its KG basin.
Among pharma stocks, Sun Pharma and Dr Reddys Lab have declined over 1% while Cipla is trading flat. Cipla has announced the launch of generic drug Sofosbuvir, used in hepatitis C treatment, under the brand name of 'Hepcvir.
Following the air strikes by Saudia Arabia led coalition of Arab nations on Yemen against Houthis rebels has pushed crude oil prices around 4% higher on concerns over geo-political crisis in Middle East that may lead to higher crude oil prices. ONGC has shed around 1.5% and RIL is down 0.3%. Following government's decision on regassified LNG RIL may lose potential customers as it fails to generate gas from its KG basin.
GAIL stands to benefit from government approval to allow regassified LNG to restart stalled gas-based power projects in India across the entire gas value chain (long-term LNG contracts, stake in re-gasification terminals and ownership of pipelines). The stock is trading higher by 0.3%.
Hero Motocorp's joint venture with Magneti Marelli today inaugurated its first autonomous "Production and Development Centre" at Manesar, Harayana. The new centre will serve as a production facility and innovation hub for new generation fuelling engines for Hero Motocorp two-wheelers. The stock is up 0.5%.
Bharti Airtel has gained over 1% on expectations of winnig a large pie in the 900 Mhz spectrum auction.
Global Markets
Asian markets fell today tracking the weakness in US markets and volatility in Middle East following Saudi Arabia led air-strikes on Yemen Houthis rebels. Spike in global crude oil prices and an appreciating Yen brought losses to Japanese shares. Nikkei closed down 1.4%. Mainland Chinese shares gained despite the overall bearish trends in global equity markets. Shanghai Composite index gained 0.6%. However, Hang Seng index ended marginally down by 0.1%.
European markets have opened on a sluggish note. FTSE 100 and French CAC 40 indices have falled around 0.6%. German DAX index has shed around 1.5%.