Markets end in red for fourth straight session

The gains in IT majors were negated by losses in heavyweights like L&T, ITC, HUL and M&M

Markets consolidated on Friday and ended lower for the fourth straight session as investors remained cautious and booked profits at higher levels. The gains in IT majors were negated by losses in heavyweights, such as L&T, ITC, HUL and M&M.

The 30-share Sensex ended down 42 points at 20,683 and the 50-share Nifty ended down 19 points at 6,145. The Sensex traded in a range of 160 points today.

In the broader markets, both the mid and smallcap indices closed lower by 0.5% each, underperforming the BSE benchmark index which was down 0.2%.

Rupee

The rupee continued to trade weak due to month-end dollar demand from importers. At 1600hrs, the rupee was trading at Rs 61.54 compared with previous close of Rs 61.47 per dollar.

As month-end dollar demands from importers continue, the rupee is soon expected to touch the Rs 62 per dollar mark next week, said currency dealers.

Global Markets

A stronger yen depressed Japanese stocks on Friday, while the dollar was hemmed in near a two-year low against the euro by expectations the U.S. Federal Reserve will continue its monetary stimulus well into 2014.

Those expectations were tempered, however, by continued worries over tighter cash markets in China, leading to a lopsided and selective rally in Asian markets.

The Nikkei share average dropped 2%.

Meanwhile, the KOSPI index was down 0.8% even after Samsung Electronics Co Ltd , the index's largest component, said its quarterly operating profit surged 26% to a new record.

MSCI's broadest index of Asia-Pacific shares outside Japan eased 0.35%, reversing earlier slight gains. The index fell 0.1% on Thursday as rising Chinese money market rates countered signs of a pick-up in manufacturing.

Shanghai shares hit their lowest levels in a month, while Tokyo's stock market was set to suffer its first weekly drop in three weeks.

European markets - CAC, DAX and FTSE fell 0.1-0.3%, as the region's equity indexes pause for breath after hitting fresh highs this week.

Sectors & Stocks

Realty index was the top loser among the sectoral indices on the BSE down 2.3% followed by Capital Goods, Metal, Auto, FMCG and Healthcare indices all down 1-1.6%.

Power, Oil & Gas and PSU indices were down 0.5% each.

Meanwhile, IT, Teck and Consumer Durables indices closed in the positive territory gained 0.2-1.5%.

Engineering major L&T was down 1.8% on profit taking after recent gains while BHEL was down 2% at Rs 137 together contributing the most to the Sensex decline.

Sun Pharma slipped 1.7% at Rs 610 retreating from Rs 638 levels on account of profit taking.

Hindustan Unilever, M&M, Tata Motors, Tata Steel and Hindalco, down 0.8-5% were the other notable Sensex losers.

IT majors Infosys, TCS and Wipro were among the top Sensex gainers, up between 0.6-3% amid a weakening rupee and buying at lower levels after the recent correction.

Other Sensex gainers include SSLT, NTPC, HDFC Bank and Dr Reddys Lab which added 0.4 - 2%.

Index heavyweight, Reliance Industries closed marginally higher by 0.1%.

In individual stocks, Dabur India was trading higher by 3% at Rs 182.5, close to its record high on BSE, ahead of its second quarter earnings on Monday.

Centum Electronics was locked in upper circuit for second day in a row, up 10% at Rs 119 on BSE, after reporting consolidated net profit of Rs 10.03 crore for the quarter ended September 2013 on back of strong revenue growth.

The market breadth was negative on the BSE. 1,392 stocks declined while 1,049 stocks advanced.