Market breadth turns negative

Key benchmark indices continued to trade lower in morning trade. At 10:18 IST, the barometer index, the S&P BSE Sensex, was down 90.65 points or 0.24% at 37,933.72. The Nifty 50 index was down 26.75 points or 0.23% at 11,443.95. The Sensex was trading below the psychological 38,000 level after falling below that level in early trade.

Stocks edged lower in early trade, with the Sensex falling below the psychological 38,000 level tracking mostly negative Asian stocks.

The S&P BSE Mid-Cap index was off 0.21%. The S&P BSE Small-Cap index was off 0.23%. Both these indices outperformed the Sensex.

The market breadth, indicating the overall health of the market, turned negative from positive in morning trade. On the BSE, 915 shares rose and 1089 shares fell. A total of 108 shares were unchanged.

Overseas, most Asian stock markets dropped as trade and broader geopolitical concerns continue to weigh on over investor sentiment. Japan's economy expanded in the April-June period after a mild contraction in the previous three months. The world's third-largest economy expanded at an annualized pace of 1.9% in the second quarter of 2018 after a revised 0.9% contraction in the first quarter.

The US stock market ended mostly lower on Thursday, as investors weighed the continuing trade dispute between the US and China against the backdrop of strong corporate earnings and a healthy economic performance.

Back home, telecom stocks rose. Bharti Airtel (up 1.21%), MTNL (up 0.13%), Tata Teleservices (Maharashtra) (up 1.94%) and Reliance Communications (up 0.6%) rose. Idea Cellular (down 2.31%) fell.

Shares of Bharti Infratel fell 0.77%. Bharti Infratel is a provider of tower and related infrastructure and is a unit of Bharti Airtel.

Jet Airways (India) lost 7.31%. The company said that its board of directors deferred the matter of consideration of the unaudited financial results for the quarter ended 30 June 2018. The audit committee did not recommend the financial results to the board for its approval, pending closure of certain matters. The announcement was made after market hours yesterday, 9 August 2018.

However, shares of other aviation companies SpiceJet (up 3.85%) and InterGlobe Aviation (up 1.32%) rose.

On the macro front, the government will declare industrial production (IIP) data for June at 17:30 IST today, 10 August 2018.

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