Markets trim gains; Tata Steel up 2%

Tata Steel has emerged as the top gainer in percentage terms on the back of robust sales in September

Markets came off their early highs as investors booked profits at higher levels in index heavyweights while gains in metals helped capped further downside.

At 10:50am, the S&P BSE Sensex was up 57 points at 28,118 and the Nifty50 was up 21 points at 8,719. In the broader market, the BSE Midcap and Smallcap indices were up 0.4%-0.6% each. Market breadth was positive with 1532 gainers and 779 losers on the BSE.

Index heavyweights Reliance Industries and ITC came off their early highs and were trading with marginal gains.

Tata Steel was up 2.5% after the company said its sales rose by 12% year on year (y-o-y) to 2.62 million tonnes (MT) in the quarter ended September 30, 2016 (Q2FY17). The company had recorded sales of 2.33 MT in the same quarter of 2015-16 fiscal.

Among others, shares of metal companies were trading higher in an otherwise range-bound market as the Nifty Metal Index hitting 52-week high on the National Stock Exchange (NSE) on Monday. National Aluminium Company, NMDC, Vedanta, Hindalco Industries and Steel Authority of India were up over 1% each.

Steel Strips Wheels (SSWL) has moved higher to its new high of Rs 748, up 6.5% on the National Stock Exchange (NSE) after the company said it has bagged an export order for supply of Caravan Steel wheels for EU Trailer market.

Sunil Hitech Engineers has surged 12% to Rs 358 on the BSE in early morning trade after the company announced that the board will meet on Tuesday, October 11, 2016, to consider issue of bonus shares to existing shareholders.
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(Updated at 9:30am)
Markets opened higher on Monday after a bout of consolidation in the previous session while global events such as the ongoing US election debate is likely to cap further upsides in the latter half of the trading session.

At 9:30am, the S&P BSE Sensex was up 104 points at 28,166 and the Nifty50 was up 33 points at 8,730.

"If the Nifty manages to witness follow up buying above 8720 then immediate bottom may place for a bounce back move towards 8780 and 8820 zones. While on the downside holding below 8680-8665 zones may start the fresh down leg towards 8600 and recent low of 8558 mark. Index has been finding selling pressure on bounce back move but follow up and pace of selling is missing which may keep the index in a range for next coming sessions," Anand Rathi Securities said in a technical note.

Foreign institutional investors were net buyers in equities worth Rs 56 crore on Friday, as per provisional stock exchange data.

Index heavyweights RIL and ITC were among the top gainers in early trades with banks and pharma shares among the top gainers.

Tata Steel was up nearly 2% amid reports that the steel major is close to finalising a pension deal for its UK operations.

ONGC was trading with marginal gains. Reports suggest that the state-owned exploration major is likely to buy an operating stake in the Gujarat State Petroleum Corporation (GSPC)’s KG basin gas block.