Weak China, India PMI data drag markets sixth straight day

HDFC twins along with select pharma shares were the top losers contributing the most to the decline

Benchmark share indices ended lower for the sixth straight session, amid weak global cues, after sluggish manufacturing data from China and India dampened investor sentiment.

The 30-share Sensex ended down 98 points at 26,559 and the Nifty eased 15 points to end at 8,051.

Broader markets ended mixed, BSE Midcap gained 0.1% and Smallcap index slipped 0.2%. Market breadth ended weak with 1,541 losers and 1,157 gainers.

"Markets recovered marginally in late trades since it is already in oversold territory after losses in the previous few sessions. Further, the weak economic data from China and sluggish October manufacturing output in India dampened sentiment. Further, September quarter earnings did not meet street expectations," said Alex Mathews, Head of Research, Geojit BNP Paribas Financial Services

The Nikkei Manufacturing Purchasing Managers' Index, compiled by Markit, fell to 50.7 in October from September's 51.2. The 50-mark divides expansion from contraction

On the global front, China's factory activity declined for the eighth straight month in October, according to a private survey on Monday, highlighting weakness in the world's second-largest economy.

The Indian rupee weakened further to Rs 65.57 amid demand for the US dollar from banks and importers.

SECTORS & STOCKS

BSE Metal index was the top loser down 1.9% along with Capital Goods, Healthcare and Power indices.

Maruti Suzuki ended up 1%. The auto major today reported a 29.1% rise in total sales in October at 1,34,209 units as against 1,03,973 units in the same month a year ago.

Mahindra & Mahindra gained 2.2% after automaker reported 20% year on year (YoY) growth in total sales of 51,383 units in the month of October 2015. It had sold 42,780 units in the same month year ago.

However, Bajaj Auto slumped 4.9% after the company reported 8.6% drop in total sales at 3,52,822 units in October 2015 compared with 3,86,017 units in October 2014.

Metal shares dropped after weak economic data from China. Vedanta, Hindalco and Tata Steel were down 3-3.7% each.

HDFC and HDFC Bank were among the top losers down 1-2.8% each contributing the most to the Sensex decline.

ICICI Bank ended up 0.8%. The bank's September quarter met analysts expectations on Friday with standalone profit increasing 11.8 percent year-on-year to Rs 3,030 crore, aided by revenue, other income and operating profit.

Sun Pharmaceuticals ended 2.6% down as its profits and revenue is likely to be adversely impacted due to the temporary supply constraints at its Halol facility and charges arising out of Ranbaxy integration as well as remedial actions.

Larsen and Toubro ended down 1.6% after the engineering major slashed its full-year growth forecast for both order intake and revenue because of a subdued domestic market and a slowdown in the Middle East.

Among other shares, IPCA Laboratories was down nearly 3% at Rs 760 on the Bombay Stock Exchange after the company's net profit for the quarter ended September 30, 2015 slumped nearly 81% to Rs 11.7 crore compared with Rs 61.3 crore in the corresponding quarter last fiscal on the back of lower sales.

JK Cement was down over 3% after the company reported nearly 58% drop in net profit at Rs 13.7 crore for the quarter ended September 30, 2015 compared with Rs 32.3 crore in the corresponding quarter last fiscal because of rise in finance costs.