Market opens lower on negative global cues

Key benchmark indices were trading with small losses in early trade due to negative global cues. At 9:21 IST, the barometer index, the S&P BSE Sensex, was down 143.29 points or 0.42% at 34,233.70. The Nifty 50 index was down 57.95 points or 0.56% at 10,258.50.

Among secondary barometers,the BSE Mid-Cap index was down 0.66%. The BSE Small-Cap index was down 0.47%. Both these indices underperformed the Sensex.

The market breadth, indicating the overall health of the market, was negative. On BSE, 507 shares rose and 724 shares fell. A total of 47 shares were unchanged.

Overseas, Asian markets slipped further on Monday. Japan's markets are closed for a public holiday. China's markets tumbled following a week-long holiday and after its central bank cut banks' reserve requirements in a bid to support growth.

US stocks closed sharply lower Friday as worries about rising interest rates overshadowed the September jobs report, which pointed to strength in the labor market and the broader economy.

On the US data front, the September jobs report showed 134,000 jobs added in the month. The report showed the unemployment rate dropping to 3.7%. In addition, average hourly wage paid to American workers rose 0.3% an hour, while the 12-month rate of hourly wage gains came in at 2.8%. The wage data were of particular interest because of what it can communicate about inflation in the US economy.

Back home, ONGC (up 1.40%), State Bank of India (up 0.87%), Power Grid Corporation of India (up 0.59%), Tata Motors (up 0.53%), Coal India (up 0.32%) and Axis Bank (up 0.30%), were the major Sensex gainers.

Yes Bank was up 2.81%. The bank said it finalised "search and selection committee" to find a new CEO. The board inducted TS Vijayan, former chairman of IRDAI and LIC, and OP Bhatt, former CMD of State Bank of India, as external experts in the committee. The internal members include Brahm Dutt, Mukesh Sabarwal and Subhas Chander Kalia. The bank has invited proposals from global leadership advisory firms specialising in banking, financial services and insurance. The first meeting of the committee will be on 11 October 2018. The announcement was made after market hours on Friday, 5 October 2018.

Vedanta (down 2.95%), HDFC (down 2.21%), Wipro (down 1.43%), NTPC (down 1.13%), Larsen & Toubro (down 0.7%) and Bajaj Auto (down 0.64%), were the major Sensex losers.

On the political front, the Election Commission (EC) on Saturday announced the dates for the Rajasthan, Madhya Pradesh, Chhattisgarh, Telangana and Mizoram Assembly polls. While Chhattisgarh will go to the polls in two phases on November 12 and 20, the Madhya Pradesh and Mizoram Assembly elections will be held on November 28. Polling in Rajasthan and Telangana will be held on December 7. Counting of votes will be held across all the five states on December 11.

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