Market slides on negative Asian cues

Key benchmark indices were trading lower in early trade. At 9:20 IST, the barometer index, the S&P BSE Sensex, was down 25.17 points or 0.10% at 25,982.13. The Nifty 50 index was down 14.10 points or 0.18% at 7,948.55. The selling was triggered by negative Asian cues.

The broad market depicted strength. There were more than two gainers against every loser on BSE. 565 shares rose and 272 shares fell. A total of 39 shares were unchanged. The BSE Mid-Cap index was currently up 0.28%. The BSE Small-Cap index was currently up 0.23%. Both these indices outperformed the Sensex.

In overseas markets, most Asian stocks edged lower as traders awaited policy decisions from the Federal Reserve and the Bank of Japan. The Bank of Japan (BOJ) holds a two-day monetary policy meeting today, 27 April 2016 and Thursday, 28 April 2016. Market participants are becoming more confident in their expectations of further easing from the Bank of Japan. The BOJ in January decided to begin charging 0.1% interest on some bank reserves parked with the institution, in a bid to kick-start the economy and pull it out of two decades of deflation.

US stocks closed with mixed results yesterday 26 April, with the Nasdaq turning lower ahead of tech earnings. Meanwhile, the S&P 500 and Dow Jones ended higher following a third straight day of losses. The US Federal Reserve holds a two-day policy meeting today, 26 April 2016 and tomorrow, 27 April 2016. As per market expectations, the Fed is likely to hold rates steady this week. The Fed statement could provide clues on the future path for interest rates.

Axis Bank was down 2.88%. The bank's net profit fell 1.2% to Rs 2154.28 crore on 9.75% rise in total income to Rs 13592.97 crore in Q4 March 2016 over Q4 March 2015. The announcement was made after market hours yesterday, 26 April 2016. The bank's gross non-performing assets (NPAs) stood at Rs 6087.51 crore as on 31 March 2016 as against Rs 5724.05 crore as on 31 December 2015 and Rs 4110.19 crore as on 31 March 2015. The ratio of gross NPAs to gross advances stood at 1.67% as on 31 March 2016 as against 1.68% as on 31 December 2015 and 1.34% as on 31 March 2015. The ratio of net NPAs to net advances stood at 0.7% as on 31 March 2016 as against 0.75% as on 31 December 2015 and 0.44% as on 31 March 2015. The bank's provisions and contingencies jumped 64.59% to Rs 1168.33 crore in Q4 March 2016 over Q4 March 2015.

Bharti Infratel was up 2.80%. The company's consolidated net profit rose 19% to Rs 661.70 crore on 7% growth in revenue to Rs 3161.90 crore in Q4 March 2016 over Q4 March 2015. The company's earnings before interest, taxation, depreciation and amortization (EBITDA) rose 9% to Rs 1443.90 crore in Q4 March 2016 over Q4 March 2015. EBITDA margin edged higher to 45.7% in Q4 March 2016, from 45.1% in Q4 March 2015. The result was announced after market hours yesterday, 26 April 2016.

Bharti Infratel's board of directors at the meeting held on 26 April 2016, has considered and approved the proposal to buyback equity shares of the company on a proportionate basis through a tender offer. The buyback shall be up to an aggregate amount not exceeding Rs 2000 crore at a maximum price of Rs 450 per share. At maximum buyback price, the buyback translates into approximately 4.44 crore equity shares of the company, representing 2.34% of the total paid up equity share capital of the company.

Mangalore Refinery and Petrochemicals (MRPL) was down 0.07%. The company said that considering the acute water shortage in the dakshina kannada district of Karnataka and the restrictions imposed by the district administration in pumping river water for industrial use, MRPL has initiated partial shutdown of certain units and also running some units on reduced capacity without disrupting fuel production and supplies to the extent possible. The announcement was made after market hours yesterday, 26 April 2016.

NHPC was down 6.07%. The President of India, acting through and represented by the Ministry of Power, Government of India, announced an offer for sale (OFS) of up to 125.76 crore shares of NHPC on 27 April 2016 (for non-retail investors only) and on 28 April 2016 (for retail investors and for non-retail investors who choose to carry forward their bids) through a separate, designated window on the stock exchanges, representing 11.36% of the total paid up equity share capital of the company on 31 December 2015. The floor price of the OFS shall be Rs 21.75 per share.

Seperately, NHPC said that the board of directors of the company at its meeting held on 26 April 2016, has considered and approved the proposal for raising of debt up to Rs 900 crore through issuance of U-Series secured Redeemable Non cumulative Non Convertible Corporate bonds in the nature of debentures on private placement basis. The announcement was made after market hours yesterday, 26 April 2016.

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