Markets extend losses

Nifty slips below 5,100

Markets have extended losses in the morning deals on the back of seliing pressure visible across the board. The Sensex has shed 113 points to 16,804 and the 50-share Nifty is down 29 points at 5,098.

Metal stocks are amongst the worst hit. The BSE metal index is the top sectoral loser, down 1.4% or 146 points at 10,195 levels. Consumer durables, auto, capital goods, oil & gas and PSU indices are also trading weaker by 0.7-1% each.

Shares of companies which are excluded from futures & options (F&O) segment are under pressure on the bourses with most of them trading lower by up to 5% on the National Stock Exchange (NSE).

Pidilite Industries has surged 6% to Rs 172  after reporting 22% year-on-year (y-o-y) growth in net profit at Rs 128 crore for the quarter ended June, 2012 on account of robust sales in all segments. On sequential basis, the net profit surged over 87% from Rs 71 crore in March quarter.
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(Updated at 9:18 AM)

Markets have opened lower in trades today tracking weak global cues. The Sensex has opened lower by 54 points to open at 16,865 and the 50-share Nifty has opened lower by 16 points at 5,112.

Overnight, the US stocks fell on Tuesday, hit by signs the euro zone crisis is worsening and evidence that Europe's slowdown is hurting US companies, including bellwether UPS.

Dow Jones industrial average slipped 104 points, or 0.82%, to end at 12,617, S&P 500 Index was down 12 points at 1,338.31 and Nasdaq Composite Index was down 27 points, or 1%, to close at 2,863.

The Asian markets are also trading on a subdued note on concerns over the mounting debt crisis in the Euro zone. Nikkei is down 1% or 85 points at 8,402, Hang Seng is down 31 points at 18,871 and the Shanghai is trading marginally lower at 2,145.

Back home, HCL Technologies, India's fourth-largest software services exporter, reported a 29% rise in quarterly net profit, just shy of expectations, after winning more outsourcing orders amid the global economic uncertainty. The stock reacted positively and jumped 5.3% to Rs 507 in the opening deals post this development.

Jindal Steel is the top loser among the Sensex stocks. The stock has opened lower by 2.4% at Rs 405 after it called off its showcase $2.1-billion Bolivian venture, Jindal Steel & Power Ltd (JSPL) seems to be caught in a major legal tangle with the country’s government.

The South American nation has initiated criminal proceedings against senior executives of the company, forcing it to seek the intervention of India’s external affairs ministry.

Maruti Suzuki, ONGC, Wipro, Bajaj Auto, Larsen and Toubro, Coal India, BHEL, Hindustan Unilever, ITC, Bharti Airtel and Hindalco have also opened weaker by 0.6-1.5% each.

On the other hand, HDFC Bank, Gail India, Sun Pharma and Infosys are among the notable gainers from the heavyweight pocket.

Most of the sectoral indices have opened in the red barring a few. The BSE realty index is the top sectoral loser in the opening deals, down 1% or 15 points at 1,619. Capital goods, metal, auto, oil & gas, power, consumer durables and FMCG indices have opened weaker by 0.4-0.8% each.

At the same time, IT and healthcare indices have opened on a flat note.

The broader markets have also opened lower with BSE mid-cap and small-cap indices slipping marginally lower.

The overall breadth is neutral as 523 stocks are advancing while 580 are declining.