Markets open lower as world stocks lack shine

Sensex opened at 25,817 levels, 47 points down while the Nifty50 opened at 7,823 levels, down by 11 points

Markets opened on a frail note mirroring cues from global markets in absence of any immediate triggers.

At 9:30 am, the Sensex was at 25,853 levels, 11 points down while the Nifty50 opened at 7,832 levels, down by 5 points.

The broader markets are, however, outperforming their larger peers with BSE midcap and smallcap indices up between 0.3-0.4% each. The market breadth  is strong with 894 advances against 477 declines on the BSE.

The US economic data released yesterday showed some positivity in consumer prices as well as manufacturing data thus providing room for a December rate hike case.

On the currency front, the Indian rupee opened at 66.12 against the US dollar, depreciating by 10 paise. The dollar has strengthened against major currencies in currency basket.

MARKET OUTLOOK

The morning note from Angel Broking presented their views on the levels of Nifty and Sensex. The note said, “We maintain our view that the Nifty may extend the bounce towards 7880 - 7920 levels. On the flipside, 7780 - 7700 remains to be immediate support levels for the index.” Further, “Looking at the chart structure of few stocks, it’s advisable to continue with the stock centric approach.”

GLOBAL MARKETS

Asian markets are trading mixed with Nikkei up by 0.8% while Shanghai Composite and Hang Seng down between 0.1-0.3%

The Wall Street ended flat after opening higher. But the economic data released yesterday supported the Fed’s case for a December rate hike.

The American dollar rose against major currencies in the currency basket on Tuesday.

STOCK TRENDS

Sectorally, BSE IT index is trading lower by 1% while BSE Metal index is down marginally. All other indices are trading marginally higher.

The Competition Commission of India (CCI), fair trade regulator on Tuesday found Jet Airways, IndiGo and SpiceJet guilty of colluding in fixing fuel surcharge rates for transporting cargo. The CCI in its final order passed on Tuesday imposed a fine totalling Rs 257.91 crore on the three carriers.

Jet Airways, SpiceJet, Indigo have all slipped between 0.4-3.4% each on the Sensex.

Following a crash in metal prices globally, Vedanta, Hindalco, Tata Steel are all down between 0.3-1% each

The notable gainers on the Sensex are NTPC, Coal India, Tata Motors, Gail(India) and Bharti Airtel, all up between 0.8-1.8% each

The important losers on the Sensex are Tata Steel, Hero motocorp, Dr. Reddy’s, Vedanta, and Infosys, all down between 0.6-1.6% each