Key benchmarks hover in green

Key benchmark indices were hovering in positive terrain in morning trade. At 10:21 IST, the barometer index, the S&P BSE Sensex, was up 119.53 points or 0.39% at 30,484.78. The Nifty 50 index was up 25 point, or 0.27% at 9,411.15.

The Sensex rose 132.71 points, or 0.44% at the day's high of 30,497.96 in early trade. The index rose 30.44 points, or 0.10% at the day's low of 30,395.69 in early trade. The Nifty rose 29.85 points, or 0.32% at the day's high of 9,416 in early trade. The index rose 0.20 points at the day's low of 9,386.35 in early trade.

Among secondary barometers, the BSE Mid-Cap index was down 0.16%. The BSE Small-Cap index was up 0.16%. Both these indices underperformed the Sensex.

The market breadth, indicating the overall health of the market, was negative. On BSE, 1,054 shares fell and 973 shares rose. A total of 102 shares were unchanged.

Metal shares declined after Moody's downgraded debt rating of China, the world's biggest consumer of metals. Bhushan Steel (down 3.03%), Vedanta (down 1.43%), Hindalco Industries (down 0.91%), NMDC (down 0.55%), Hindustan Copper (down 0.47%), National Aluminium Company (down 0.3%), Steel Authority of India (down 0.25%), JSW Steel (down 0.18%) and Tata Steel (down 0.13%), edged lower. Hindustan Zinc (up 0.23%) and Jindal Steel & Power (up 2.27%), edged higher.

Meanwhile, copper price edged lower in the global commodities markets. High Grade Copper for July 2017 delivery was currently down 1.06% at $2.5685 per pound on the COMEX.

Pharmaceutical shares slipped. Glenmark Pharmaceuticals (down 2.17%), Cadila Healthcare (down 1.94%), Piramal Enterprises (down 1.58%), Dr Reddy's Laboratories (down 1.23%), Strides Shasun (down 1.05%), Divi's Laboratories (down 0.99%), Aurobindo Pharma (down 0.95%), GlaxoSmithKline Pharmaceuticals (down 0.78%), Wockhardt (down 0.64%), Sun Pharmaceutical Industries (down 0.56%) and Cipla (down 0.03%), edged lower. Alkem Laboratories (up 0.05%) and IPCA Laboratories (up 0.35%), edged higher.

Pharma major Lupin was up 0.16%. The company will announce its Q4 results today, 24 May 2017.

Overseas, most Asian shares were trading higher as investors looked ahead to US Federal Reserve views on interest rate hike prospects and await an upcoming OPEC meeting. Investors are awaiting the release of minutes from the Fed from its previous meeting for details on the probability of a rate hike in June.

China's Shanghai Composite was down 0.36%. Moody's Investors Service downgraded China's credit rating to A1 from Aa3, changing its outlook to stable from negative, citing concerns efforts to support growth will spur debt growth across the economy.

In US, shares closed higher yesterday, 23 May 2017, marking a fourth straight session in the green following the White House's release of its 2018 budget proposal. On the economic data front, US flash PMI reading for services and manufacturing for May were mixed. Manufacturing PMI dipped to an 8-month low, while services PMI rose to a 4-month high.

Powered by Capital Market - Live News