Mid-Cap, Small-Cap indices tumble around 1.5% each

Key indices nosedived and hit fresh intraday low in afternoon trade. At 13:20 IST, the barometer index, the S&P BSE Sensex, was down 359.75 points or 1.06% at 33,651.01. The Nifty 50 index was down 119.05 points or 1.14% at 10,333.25. The recent detection of a massive fraud at a Mumbai branch of the state-run Punjab National Bank (PNB) continued to weigh on sentiment. A recent rebound in global crude oil prices also raised concerns of its adverse impact on fiscal deficit as India imports most of its oil requirements.

The Sensex was trading below the psychological 34,000 mark after drifting below that level in early trade. A bout of volatility was seen in early trade as the key benchmark indices opened higher but quickly erased gains to sink in the negative zone. Stocks extended slide and hit fresh intraday low in morning trade. Key benchmark indices hovered in negative zone in mid-morning trade. Selling aggravated and indices nosedived to hit fresh day's low in afternoon trade.

The S&P BSE Mid-Cap index was down 1.59%. The S&P BSE Small-Cap index was down 1.57%. Both these indices underperformed the Sensex.

The broad market depicted weakness. There were almost four losers against every gainer on BSE. 2,086 shares fell and 531 shares rose. A total of 131 shares were unchanged.

Cement stocks were mixed. ACC was down 1.48% and Ambuja Cements fell 0.6%. However, UltraTech Cement rose 0.24% and Shree Cement was up 0.09%

Grasim Industries declined 0.15%. Grasim has exposure to the cement sector through its holding in UltraTech Cement.

IT stocks dropped. HCL Technologies was down 2.56%, Tech Mahindra 2.93%, TCS 0.79% and Wipro fell 0.34%.

Infosys slipped 0.23%. Infosys announced that it has on 15 February 2018 signed an agreement for divestment of its entire investment from Onmobile Systems Inc. USA for a total consideration of $2.5 million. The announcement was made after market hours on Friday, 16 February 2018.

Dr Reddy's Laboratories dropped 0.67% after the company said with regard to US Securities class action suit reported in late November, that an amended complaint has been filed by the lead plaintiff wherein, the company's Chairman, COO and wholly owned subsidiary in the US, Dr Reddy's Laboratories Inc., have been added as defendants. The announcement was made during market hours today, 19 February 2018.

As intimated earlier, the company believes that the asserted claims are without merit and intends to vigorously defend itself against the allegations.

Andhra Petrochemicals rose 0.69% after the company said that its Visakhapatnam plant has resumed operations from 19 February 2018. The announcement was made during trading hours today, 19 February 2018. Last month, Andhra Petrochemicals announced that its plant at Visakhapatnam stopped operations from 26 January 2018 for annual maintenance work.

Overseas, Asian shares rose as sentiment improved gradually from a recent shakeout that stemmed from fears of creeping inflation and higher borrowing costs. Markets in China, Hong Kong and Taiwan remain closed for the holiday. US markets will be closed today, 19 February 2018 in observance of Presidents Day.

Japanese exports rose for a 14th straight month in January 2018, helped by continued demand from Asia for equipment to make semiconductors, data from Japan's finance ministry showed today, 19 February 2018. Exports grew 12.2% in January from a year earlier, following a 9.3% year-on-year gain in the previous month.

In US, the Dow industrials and S&P 500 logged their sixth straight advance on Friday, 16 February 2018 but the Nasdaq lagged its peers, as political drama sparked turbulent trade late in the session. Special Counsel Robert Mueller announced the indictments of 13 Russian nationals and three Russian entities, accusing them of interfering in the 2016 US presidential election. The indictment said the defendants were supporting Donald Trump's campaign and disparaging Hillary Clinton.

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