Sensex ends 300 points lower; ITC declines 3%

Markets have closed the session on a lower note weighed down by metal, capital goods and index heavyweights like ITC and HDFC.

Provisionally, the Sensex ended at 27,646.92, weaker by 310.58 points and the Nifty was at 8,367.65, down 91.30 points.


************************

Updated at 14:37

Benchmark indices continue to trade lower amid weak opening of the European markets along with selling pressure among index heavyweight shares like ITC and HDFC.

After consolidation of almost 3 weeks, markets witnessed some buying demand during last week. However, traders have turned cautious ahead of May F&O expiry this week.

At 14:37PM, the Sensex was at 27,707, weaker by 250 points and the Nifty was at 8,393, down 66 points.  

However, the broader markets are outperforming the benchmark indices- BSE Midcap index is up 0.2% and the Smallcap index is marginally lower.

The market breadth is negative. Out of 2,649 stocks traded on the BSE, there are 1,094 advancing stocks as against 1,432 declines.

In the overseas markets, Asian shares got off to a lacklustre start on Monday, after rising inflation and a hawkish tone from the US Federal Reserve Chair rekindled expectations that the Fed is on track to hike interest rates.

SECTORS & STOCKS

BSE Metal and FMCG indices have slumped over 1.5% followed by counters like Capital Goods, Banks and IT, all dipping by almost 1% each. However, BSE Oil & Gas and Auto indices are trading marginally in positive zone.

The top losers from the Sensex pack are Vedanta, HDFC, Tata Steel, ITC, Cipla and Hindalco.

Shares of ITC have dipped 3% to Rs 319 on the NSE in early morning trades after the company reported a lower-than-expected 3.7% year on year (yoy) growth in its net profit at Rs 2,361 crore for the fourth quarter ended March 31, 2015 (Q4) due to muted growth in cigarette business and decline in agri segment.

Shares of HDFC have dropped more than 2% on the Sensex on account of profit-booking after the stock witnessed some decent rebound last week.

On the gaining side, ONGC, Bharti Airtel, Wipro and M&M have gained between 1-2%.

Among other shares, UPL (formerly known as United Phosphorus) has moved higher by 3% to Rs 555, also its record high on the BSE, in otherwise weak market.

Rupa & Company is locked at the upper circuit for the second straight day, up 20% at Rs 327, after reporting a good set of numbers for the fourth quarter ended March 31, 2015 (Q4).