Markets listless; Infosys, global cues in focus

Broader markets gains nearly 0.5%, out-performing benchmark indices

Markets continued to trade flat in morning session this Monday as investor sentiments remained subdued due to weak macro-economic situation coupled with global growth woes.

Foreign funds sold shares worth Rs 8.97 billion in previous three sessions, provisional exchange data showed. Fourth quarter earnings season, which begins with Infosys results on Friday will decide the market trend going ahead.   

Industrial production numbers, which is due on Friday, may also have some impact on the trading sentiment this week as IIP data is likely to be a key input for RBI's next policy review on May 3.

At 10AM, the Bombay Stock Exchange's 30-share index Sensex dropped 3.16 points at 18,446.50 while the National Stock Exchange's 50-share Nifty shed 1.2 points at 5,552.50.

Global risk appetite was frail weighed on by a weaker-than-expected U.S. employment reading which  raised concerns over growth recovery in the world's largest economy.

U.S. employers hired at the slowest pace in nine months in March, adding just 88,000 nonfarm jobs, the Labor Department said, below an expected 200,000.

China’s Shanghai Composite Index dropped 1.16% to 2,199, Hong Kong’s Hang Seng fell 0.01% to 21,725, Singapore’s Straits Times declined 0.22% to 3,299 while Japan’s Nikkei gained 2% to 13,091.

Back home, the key sectoral indices such as IT, capital goods, FMCG, metal sectors declined while PSU, auto, realty, power sectors gained on BSE.

The gainers included stocks such as Bajaj Auto, Tata Motors and Mahindra & Mahindra gaining nearly 1-1.4%, Cipla added 1%, NTPC gained 1.1% while Bharti Airtel was up 0.7% on BSE.

The laggards were Jindal Steel falling 1.7%, Maruti Suzuki fell 1.35%, Tata Consultancy Services, Wipro declined 1-1.4% while Infosys shed 0.6% on BSE.

The other notable stock movers included counters such as, Idea Cellular which is trading lower by over 2% at Rs 101 in early morning deals on NSE on reports the Income Tax (IT) department has slapped a Rs 3,900-crore notice on company and its subsidiary, Aditya Birla Telecom, over transfer of assets and licences between the two companies in 2009.

TVS Motor Company has surged almost 6% to Rs 38.35, extending its three-day rally, on back of heavy volumes after the company confirmed that it is in talks with German Auto-maker, BMW for a technology tie up.

The broader markets were positive with mid-caps and small-caps gaining nearly 0.3-0.4% on BSE.