Market drifts lower on negative Asian stocks

Domestic stocks edged lower in early trade on negative Asian stocks. At 9:21 IST, the barometer index, the S&P BSE Sensex, was down 81.23 points or 0.24% at 33,598.01. The Nifty 50 index was down 41.25 points or 0.4% at 10,348.45.

Key equity benchmarks had logged gains for prior seven trading days in a row to Friday, 24 November 2017. The Sensex had jumped 918.80 points or 2.8% in seven sessions, from a close of 32,760.44 on 15 November 2017.

The S&P BSE Mid-Cap index was down 0.13%. The fall in this index was lower than Sensex's decline in percentage terms. The S&P BSE Small-Cap index was up 0.04%, outperforming the Sensex.

The market breadth, indicating the overall health of the market, was positive. On the BSE, 836 shares rose and 601 shares fell. A total of 69 shares were unchanged.

Overseas, Asian stocks gave back earlier modest gains and fell back from a decade high on Monday, weighed by weakness in the Chinese and South Korean markets.

In US, the S&P 500 and Nasdaq Composite finished at all-time highs on Friday, 24 November 2017 as retailers were in focus amid the Black Friday shopping holiday, a day after domestic markets were closed in observance of Thanksgiving.

On the data front, a survey of purchasing managers showed that businesses grew in November at the slowest pace in four months. The Markit flash manufacturing PMI fell to 53.8 from 54.6, while the flash services PMI fell to 54.3 from 54.6. A reading of 50 or better indicates improving conditions.

Back home,Infosys (down 1.27%), State Bank of India (down 1.04%) and Bajaj Auto (down 0.58%) were the key losers from the Sensex pack.

Sun Pharmaceutical Industries (Sun Pharma) fell 0.76% after the company said it is recalling two lots of Riomet (Metformin Hydrochloride Oral Solution), 500 mg/5ml, to the retail level (Class II Recall). This product is manufactured for SPII by a contract manufacturer. The Riomet has been found to be contaminated. The contamination was discovered during sample preparation for the Antimicrobial Preservative Effectiveness Testing (AMPET) being performed as part of the 12 month stability study interval. The announcement was made after market hours on Friday, 24 November 2017.

Meanwhile, global ratings agency Standard & Poor's Ratings Services affirmed its 'BBB-' long-term and 'A-3' short-term sovereign credit ratings on the Republic of India. The outlook remains stable. The ratings on India reflect the country's sound external profile and improved monetary credibility. The announcement was made after market hours on Friday, 24 November 2017.

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