Markets subdued, FMCG and IT stocks weigh

The markets were trading on a subdued note in the mid-morning deals. The Sensex was at 18,713, lower by nine points and the Nifty had shed  seven points at 5,626.

Meanwhile, the Asian markets were also trading in the red. Taiwan was down 79 points at 8,686, Nikkei had shed 78 points to 10,054 and the Hang Seng was at 22,268, lower by 176 points. In a major international development Moody's has downgraded Greece's credit rating to CAA1 from CA.

Back home, ITC was the top loser among the Sensex stocks. It shed 1.8% to Rs 203. HDFC was trading lower by 1.2% at Rs 697. Bajaj Auto, Infosys, Cipla, Hindustan Unilever, ICICI Bank, HDFC Bank, NTPC, TCS, Tata Power and J P Associates were also trading lower by 0.3-1% each.

On the other hand, Reliance Communications and Bharti Airtel were among the top gainers, up 6% and 2.8% respectively, on reports that they will hike their call tarifs. Sterlite Industries, Mahindra & Mahindra, Reliance Industries, Tata Motors and Larsen & Toubro also advanced 0.6-1.7% each.

On the sectoral front, selling was visible in FMCG and IT stocks. BSE FMCG index shed 48 points or 1.1% to 4,062. IT index was lower by 0.7% at 5,893. Bankex and Power indices were also marginally lower. GCPL was the top loser among the FMCG stocks, down 2% at Rs 444. ITC shed 2% to Rs 203. Colgate Palmolive, Hindustan Unilever, United Spirits and United Breweries also languished in trades.

At the same time, BSE OIl & Gas index was the top sectoral gainer, up 0.7% or 68 points at 9,257. Healthcare, Auto, Capital Goods and Consumer Durable indices were also trading marginally higher. Reliance Industries advanced 1% to Rs 883 and was the top gainer among the oil & gas stocks. It was followed by Cairn India, Oil India, BPCL, Indian Oil, ONGC and HPCL.

The broader markets were trading on a flat note. The BSE mid-cap index was up 27 points to 7,073 and the small-cap index gained 33 points to 8,496.

The overall breadth was positive as 1,421 stocks were advancing while 1,105 stocks were declining.