Market slides on weak global cues

Metal, auto sector stocks and index heavyweights ITC and HDFC led losses for key benchmark indices. The barometer index, the S&P BSE Sensex, lost 262.10 points or 0.9% at 28,783.18, as per the provisional closing data. The Nifty 50 index fell 86.75 points or 0.97% at 8,865.75, as per the provisional closing data. The Sensex provisionally settled below the psychologically important 29,000 level after falling below that level in early trade. Weakness in global stocks weighed on sentiment on the domestic bourses.

The Sensex lost 290.20 points or 0.99% at the day's low of 28,755.08 in afternoon trade, its lowest level since 6 September 2016. The barometer index rose 17.62 points or 0.06% at the day's high of 29,062.90 in opening trade. The Nifty lost 93.80 points or 1.04% at the day's low of 8,858.70 in late trade, its lowest level since 6 September 2016. The index fell 13.35 points or 0.14% at the day's high of 8,939.15 at the onset of trading session.

In overseas stock markets, Asian and European stocks edged lower after the European Central Bank (ECB) decided not to extend the deadline of its bond-buying program after the conclusion of its monetary policy meeting yesterday, 8 September 2016. Also, reports on earthquake in North Korea possibly due to an explosion from a nuclear test in that nation weighed on sentiment. US stocks closed lower yesterday, 8 September 2016, as the outcome of ECB's latest monetary policy meeting suggested that central banks have little left to spur up demand.

Closer home, the market breadth indicating the overall health of the market was negative. On BSE, 1,598 shares declined and 1,155 shares rose. A total of 197 shares were unchanged. The BSE Mid-Cap index provisionally lost 0.99%. The decline in this index was higher than the Sensex's decline in percentage terms. The BSE Small-Cap index provisionally fell 0.47%. The decline in this index was lower than the Sensex's decline in percentage terms.

The total turnover on BSE amounted to Rs 3548 crore, lower than turnover of Rs 3978.93 crore registered during the previous trading session.

Index heavyweight and cigarette major ITC fell 2.22% at Rs 259.40. The stock hit a high of Rs 264.40 and a low of Rs 257.45 in intraday trade.

Index heavyweight and housing finance major HDFC lost 2.14% at Rs 1,406.55. The stock hit a high of Rs 1,437.35 and a low of Rs 1,398 in intraday trade.

Metal and mining stocks edged lower as copper prices declined in global commodities markets. Hindalco Industries (down 4.38%), National Aluminium Company (down 1.88%), Vedanta (down 2%), JSW Steel (down 1.37%), Tata Steel (down 1.96%), Hindustan Zinc (down 1.3%), Hindustan Copper (down 2.19%) and NMDC (down 1.2%) declined.

High Grade Copper for December 2016 delivery was currently down 0.48% at $2.09 per pound on the COMEX.

Steel Authority of India (Sail) dropped 5.68% after company reported net loss of Rs 535.52 crore in Q1 June 2016, higher than net loss of Rs 248.18 crore in Q1 June 2015. Total income fell 3.84% to Rs 9327.36 crore in Q1 June 2016 over Q1 June 2015. The result was announced after market hour yesterday, 8 September 2016.

Jindal Steel & Power (JSPL) fell 2.6% after the company reported consolidated net loss of Rs 1082.15 crore in Q1 June 2016, higher than net loss of Rs 542.42 crore in Q1 June 2015. Total income rose 4.34% to Rs 4686.60 crore in Q1 June 2016 over Q1 June 2015. Higher revenues in Jindal Power (JPL) & Oman helped consolidated turnover rise 6% to Rs 4655 crore in Q1 June 2016 over Q1 June 2015. The result was announced after market hours yesterday, 8 September 2016.

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