Shares trade in range; breadth negative

The benchmark indices traded in a narrow range with modest losses in mid-afternoon trade. The Nifty was trading a tad above the 11,900 level. At 14:20 IST the barometer index, the S&P BSE Sensex, was down 207.49 points or 0.51% at 40,369.25. The Nifty 50 index was down 58.80 points or 0.49% at 11,909.60.

In the broader market, the S&P BSE Mid-Cap index was down 0.35%. The S&P BSE Small-Cap index was down 0.07%.

The market breadth was negative. On the BSE, 1069 shares rose and 1331 shares fell. A total of 188 shares were unchanged. In Nifty 50 index, 21 stocks advanced while 29 stocks declined.

Buzzing Index:

The Nifty Auto index rose 0.13% to Rs 8,015.15, reversing yesterday's 0.98% fall.

Mahindra & Mahindra (down 1.52%), Tata Motors (down 1.49%), Ashok Leyland (down 1.27%), Bajaj Auto (down 1.16%), Escorts (down 0.81%) and TVS Motor Company (down 0.55%) declined.

Eicher Motors (up 2.25%), Maruti Suzuki India (up 0.34%) and Hero MotoCorp (up 0.23%) advanced.

Stocks in Spotlight:

Alembic Pharmaceuticals advanced 0.05% to Rs 546.75. The company announced that it received approval from US Food & Drug Administration (USFDA) for abbreviated new drug applications (ANDAs).

Suven Life Sciences soared 5.92% to Rs 312.05. The company's chairman & CEO Venkat Jasti told the media that the phase 2 data for SUVN 502, a drug for Alzheimer's disease, will be out in a week. No new drug to treat the mind-robbing disease has been discovered since 2003, Jasti reportedly added.

Ujjivan Financial Services jumped 4.65% to Rs 304.65. A foreign broker maintained its neutral rating on the stock while raising its target price to Rs 325 from Rs 260 per share.

Numbers to track:

The yield on 10-year benchmark federal paper fell to 6.495% at 14:15 IST compared with 6.505% in the previous trading session.

In the foreign exchange market, the rupee edged lower against the dollar. The partially convertible rupee was hovering at 71.79, compared with its close of 71.765 during the previous trading session.

In the commodities market, Brent crude for January 2020 settlement was down 27 cents at $63.70 a barrel. The contract rose 2.51% or $1.57 to settle at $63.97 a barrel during the previous trading session.

MCX Gold futures for 5 December 2019 settlement rose 0.12% to Rs 38,000.

Economy:

India's GDP data for September quarter is scheduled to be published on 29 November 2019. Ratings firm ICRA expects further deterioration in the growth of India's GDP to 4.7% in Q2 of FY2020, due to weakening momentum in the industry.

The Organisation for Economic Co-operation and Development (OECD) on Thursday cut India's economic growth forecast for 2019 to 5.8%, but said it would pick up to 6.2% in 2020 and further to 6.4% in 2021. India's economy grew 6.8% in FY19.

The World GDP growth is expected to be 2.9% this year - its lowest annual rate since the financial crisis - and remain at 2.9%-3.0% in 2020 and 2021, the OECD said on Thursday in an update of its forecasts. Global GDP expanded 3.5% in 2018.

Trade conflict, weak business investment and persistent political uncertainty are weighing on the world economy and raising the risk of long-term stagnation. Any further escalation of the trade conflict would disrupt supply networks and weigh on confidence, jobs and incomes. Uncertainty about a future EU-UK trade relationship poses a further risk to growth as does the current high level of corporate debt, it added.

Powered by Capital Market - Live News