Markets trade lacklustre

Metal stocks amongst the worst hit

Markets continue to trade on a lacklustre note in the morning deals. The Sensex is down 41 points at 17,725 and the 50-share Nifty has shed 16 points at 5,347.

Meanwhile, the metal, auto and banking stocks are amongst the worst hit. The BSE metal index is the top sectoral loser, down nearly 2% or 171 points at 9,736. Auto and bankex indices are also down 0.5 and 0.3% each respectively. At the same time, healthcar, PSU and power indices are trading flat with a positive bias.

Among the individual stocks, EIH Limited is trading higher by 3% at Rs 81.35 extending its previous day’s around 4% gain after ITC raised its stake in the Oberoi Group Company by 1% through an open market transaction.

Sesa Goa has plunged 7% to Rs 158, its lowest level since January 7, 2012 after the Goa government ordered to shut all mining operations effective from today until further orders.

IRB Infrastructure Developers has dipped 4% at Rs 120 in opening deals after the company said that it has received service tax demand notice aggregating to Rs 60 crore.
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(Updated at 9.17 AM)

Markets have opened lower on the back of negative global cues. The Sensex opened weaker by 70 points at 17,696 and the 50-share Nifty has slipped 24 points to open at 5,339 levels.

Overnight, the US markets ended lower as investors locked in gains on a recent rally ahead of possible policy action from the Federal Reserve later this week.

The Dow Jones industrial average ended weaker by 52 points, or 0.4 per cent, at 13,254, S&P 500 Index closed down 9 points at 1,429 and The Nasdaq Composite dropped 32 points, or to close 3,104.

The Asian markets are also trading on a weak note in trades today ahead of a key German ruling on the euro zone's bailout funds and the U.S. Federal Reserve's policy decision, repositioning from last week's rally spurred by heightened speculation for more stimulus globally.

The Hang Seng has slipped 104 points to 19,722, Shanghai Composite was down 23 points or 1% at 2,112 and the Nikkei edged down 72 points or 0.8% to 8,796 levels.

Back home, Sterlite Industries is the top loser among the Sensex stocks. It has opened weaker by 3.2% at Rs 95 after  the government of Goa temporarily suspended all mining activities starting today.

An expert panel formed by the government found "serious illegalities and irregularities" in mining operations, the state government said in a statement late on Monday.

Tata Steel, Hindalco, Jindal Steel, Maruti Suzuki, Infosys, Tata Motors, Larsen & Toubro, Bharti Airtel, BHEL, Coal India, Tata Power HDFC Bank and Reliance Industries have also opened weaker by 0.4-1% each.

On the ther hand, Sun Pharma, Dr Reddy's Labs, Gail India, Cipla, ONGC, ITC, HUL and Wipro are among the notable gainers in the opening deals.

Most of the sectors are facing the heat of selling pressure. The BSE metal index is the top sectoral loser, down 1% or 111 points at 9,795. Bankex, auto, capital goods, power, IT, consumer durables and realty indices have also opened on a weak note.

At the same time, some strength is visible in the healthcare, FMCG, PSU and oil & gas indices.

Among the individual stocks, IRB Infrastructure Developers has dipped 4% at Rs 120 in opening deals after the company said that it has received service tax demand notice aggregating to Rs 60 crore.

The broader markets are outperforming the benchmark indices. The BSE mid-cap index and small-cap indices are up 0.1% each.

The overall breadth is neutral as 637 stocks are advancing while 528 are declining.