Markets come off day's highs; RIL down 1%

Markets come off day's highs amid profit taking in Reliance Industries

Benchmark share indices came off their day's highs in noon trades on Tuesday weighed down by profit taking in index heavyweight in Reliance Industries.

At 1:15PM, the 30-share Sensex was up 42 points at 20,377 after hitting a high of 20,443 and the 50-share Nifty was up 9 points at 6,063 after touching an intra-day high of 6,082.

As per the trade data for January, trade deficit for January came in at $9.92 billion compared to $10.14 billion in December last year. Exports were up 3.8% on a year-on-year basis at $26.75 billion. It was $26.35 billion in December. Imports were at $36.67 billion compared to $36.49 bn m-o-m.

The rupee was trading strong due to dollar flows from custodian banks. The rupee was trading at Rs 62.35 compared with previous close of Rs 62.44 per dollar. Gains in equities are also helping the rupee.

Asian stocks markets firmed up ahead of the Janet Yellen's first testimony to US lawmakers later today to know about the US Fed's stance on tapering of monetary stimulus measures. Japanese markets were closed for a holiday. Hong Kong's benchmark share index Hang Seng surged 2% while Shanghai COmposite was up 0.8% and Singapore's Straits Times was up 0.6%.

BSE Consumer Durables index was the top gainer up 1.2% followed by IT, Auto and Bankex. Power, Realty, Oil and Gas indices were among the losers.

Tata Motors which surged over 5% in early trades was up 2% at Rs 372. The company late Monday reported a better than expected almost three-fold jump in consolidated net profit at Rs 4,805 crore for the quarter ended December 2013 (Q3FY2014), on back of strong demand, growth in volumes and favourable product mix and geographic mix at Jaguar Land Rover (JLR).

IT majors rebounded today after a Nasscom survey said that IT exports would grow 13-15% in FY15 while domestic growth is seen at 9-12%. The sector's exports in 2014/15 are forecast to rise to as much as $99 billion, according to the National Association of Software and Services Companies (Nasscom). Infosys was up 0.8% and TCS rose 0.7%.

In the financial space, mortgage lender HDFC and private banks ICICI Bank, Axis Bank and HDFC Bank were up 0.5-0.9% each.

Reliance Ind was down 1% after Delhi Chief Minister Arvind Kejriwal, in a press conference on Tuesday, alleged that Reliance Industries is charging double for gas from the KG-D6 gas block.

"Today we have instructed the anti-corruption branch to file a criminal case against Murli Deora, FIRs against Veerappa Moily, V K Sibal, the (then) director general of hydrocarbons, Reliance Industries Ltd Chairman Mukesh Ambani and others," Kejriwal said.

Bharti Airtel was down 1.8%. The ongoing spectrum auction commenced for the eighth day today, entering the 50th round, with the government already receiving bids worth Rs 58,332 crore.

Other Sensex losers include, Hero MotoCorp, Hindalco, NTPC and L&T among others.

Among other shares, Infinite Computer Solutions (India) has tanked 13% to Rs 130 after reporting 7% quarter-on-quarter (qoq) decline in consolidated net profit at Rs 24 crore for the third quarter ended December 31, 2013 (Q3),  due to fall in operational income. The small-sized IT consulting and software company had profit of Rs 26 crore in September quarter.

In the broader market, the BSE Mid-cap and Small-cap indices were up 0.1% each.

Market breadth was positive with 1,253 losers and 1,101 gainers on the BSE.