Markets stage recovery; HDFC up 3%

Gains in HDFC twins helped offset losses in Adani Ports and Tata Motors

Markets recovered from their day's lows after gains in HDFC twins helped offset most of the losses.

At 11:54am, the S&P BSE Sensex was down 23 points at 25,207 and the Nifty50 was down 8 points at 7,740. In the broader market, the BSE Midcap and Smallcap indices were down 0.5% each.

Read more from our special coverage on "MARKETS"

• Markets likely to open lower on global cues
• Stocks fall to 3-week low as ICICI Bank, TVS tumble
• Weakness in global stocks take shine off markets
• Sensex slumps 150 points; Coal India drops 2%
• Sensex down over 100 points; Nifty below 7,800

Adani Ports was the top Sensex loser down nearly 10% on concerns over equtiy dilution after the board, at its meeting held on Tuesday, May 03, approved raising of funds by various financial instruments for an aggregate amount up to Rs 10,000 crore.

Tata Motors dropped over 4% after weak JLR sales in the US during April 2016. 

HDFC was up over 3% after the housing finance major reported net profit of Rs 2,607 crore for the quarter ended March (Q4FY16), up 40 per cent year-on-year (y-o-y), which was way ahead of Bloomberg consensus estimate of Rs 2,303 crore.
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(Updated at 10:30am)
Market continue to remain subdued in the morning trades owing to persistent selling by the FIIs amid weakness in global peers. Depreciation of rupee and extended losses in crude oil prices further dented sentiments.

At 10:30 am, the S&P BSE Sensex is down 105 points to trade at 25,125 and the Nifty50 has shed 32 points to quote at 7,7715.

Top five losers in the Sensex pack include Adani Ports, Tata Motors, Hindalco, Tata Steel and Coal India down between 2%-10%.

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(updated at 9:15 am)

Indian stocks markets have opened the session on a lower note mirroring weakness in the global peers while selling pressure from foreign institutional investors is influencing sentiments. 

Stock specific action is likely to continue and the movement of rupee and crude oil will be monitored closely during the session.

At 9:15 am, the S&P BSE Sensex is down 78 points to trade at 25,151 and the Nifty50 has shed 22 points to quote at 7,725.

Geojit BNP Paribas in a technical note says “Yesterday Nifty’s early push above 7,847 could not muster enough short covering, and the subsequent fall back, re affirmed the bearish stance testing the downside objectives of 7,765. Given the voluminous plunge yesterday, the conviction that 7,765 region could attract bargain hunting stands threatened.”

“However, such hopes are still alive, as oscillators have not turned outright bearish. To this end, the potential for 7,765 to stage an upswing can still be played, albeit with more caution. Fall back below the same could dilute such positive hopes, but may not lead to sharp falls,” he adds.

Foreign Institutional Investors turned net sellers in equities worth Rs 755 crore on Tuesday, as per provisional stock exchange data.

GLOBAL MARKETS

Asian markets witnessed selling pressure after weak manufacturing data from China and UK raised global growth concerns. Among the major indices, Straits Times and Hang Seng were down 1% each while China's Shanghai Composite was trading flat.

US stocks ended lower after weak manufacturing data from China, the world's second largest economy, fuelled concerns over global growth while drop in crude oil prices also weighed on investor sentiment. The Dow Jones industrial average ended down 0.8% at 17,751, S&P 500 closed 0.9% lower at 2,063 and Nasdaq ended down 1.1% at 4,763.

STOCKS

JSW announced its plans to acquire Jindal Steel & Power's (JSPL) Chhattisgarh power plant for Rs 6,500 crore. The Naveen Jindal-promoted JSPL has been looking to sell its assets as part of monetisation plans to generate cash flows. JSPL is trading with marginal gains. However, JSW Steel down 1%.

After a two-year gap, Pune-based two- and three-wheeler maker Bajaj Auto has regained its third rank, in terms of number of units sold, displacing Chennai-based TVS Motor. The stock is trading flat with a negative bias.

Reliance Industries Ltd (RIL) is perusing whether to withdraw a pending arbitration with the government on the gas price issue so that it can benefit from the higher prices. The stock trading flat.

TVS Motor reported a 30% growth in profit during the fourth quarter ended March 31, 2015, at Rs 118 crore against Rs 91 crore a year ago. However, the stock is down 1%.

Jet Airways is launching its first large scale multi-media campaign in nearly a decade, as it looks to position itself as a carrier offering the best customer experience. The stock is up 0.5%.

Cairn India is drawing a lot of interest from traders who see a probable 20-30 per cent upside in the stock owing to the ambiguity related to the rollover of $1.25 billion loans given to Vedanta Resources two years ago.  The stock slipped 1%.

Adani Ports & SEZ on Tuesday posted second-worst sales performance this year. In Q4, the company's net sales were Rs 1,860 crore, 12.5% more than the year-ago quarter, with the growth rate being better than that in the previous quarter (Q3) but lower than the five quarters preceding Q3. The stock cracked 8%.