Market breadth turns negative; metal stocks tumble

Key benchmark indices extended losses and hit fresh intraday low in mid-morning trade. Negative cues from global markets weighed on domestic market. A bout of volatility was seen on account of weekly index options expiry.

At 11:21 IST, the barometer index, the S&P BSE Sensex, was down 75.15 points or 0.18% at 40,576.49. The Nifty 50 index was down 28.25 points or 0.24% at 11,970.85.

The S&P BSE Mid-Cap index was down 0.09%. The S&P BSE Small-Cap index was down 0.04%.

The market breadth turned negative. On the BSE, 985 shares rose and 1043 shares fell. A total of 124 shares were unchanged. In Nifty 50 index, 16 stocks advanced and 34 stocks declined.

Buzzing Index:

Metal stocks witnessed selling pressure. The Nifty Metal index was down 1.01% at 2449.40.

Hindustan Copper (down 4.46%), Steel Authority of India (down 1.98%), NMDC (down 1.62%), Tata Metaliks (down 1.47%), Jindal Steel & Power (down 1.46%), National Aluminium Company (down 1.31%), Tata Steel (down 1.24%), Vedanta (down 0.71%), Hindustan Zinc (down 0.7%) and Hindalco Industries (down 0.05%) were top losers in metal segment.

Stocks in Spotlight:

Union Bank of India informed that the Reserve Bank of India has found that it has under-reported bad loans by Rs 589 crore in the year ended 31 March 2019. The divergence is the difference in bad loans reported by the bank and the assessment done by RBI. RBI also reported a divergence in provision by Rs 1587.7 crore. After adjusting divergence, net loss now stands at Rs 3978 crore.

Shares of Union Bank were trading 0.26% lower at Rs 58.20.

Godrej Industries announced that credit rating agency ICRA has assigned [ICRA] AA rating with a stable outlook on company's Non-Convertible Debentures of Rs 1500 crore.

Godrej Industries was trading 0.5% higher at Rs 447.4.

Thomas Cook announced on Wednesday that it has completed 51% acquisition of stake in Digiphoto Imaging Solutions. Thomas Cook was trading 0.77% lower at Rs 148.15.

Foreign Markets:

Asian markets were trading lower Thursday amid concerns 'phase one' US-China trade deal may not be signed in 2019 as China seeks more extensive tariff rollbacks.

US stocks ended lower Wednesday after a report that a trade deal might not be completed this year and after China condemned a U.S. Senate resolution supporting human rights in Hong Kong.

Minutes of the October meeting of the Federal Reserve's interest-rate-setting committee suggested the bank will not change interest rates soon.

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