Negative bias prevails, Bajaj Auto down 5%

The markets continue to maintain the choppy movement with negative bias prevailing. By 1130, the Sensex was down 30 points at 15,908 and the Nifty dropped 11 points to 4,754.

BSE auto index has slumped by nearly 2%. Bajaj Auto is the top Sensex loser, down 5% on a disappointing volume performance in December and a slowing growth outlook. Hero MotoCorp and M&M have fallen by nearly 3% each.

Telecom major Bharti Airtel is 2% down.

In the banking space, ICICI Bank has jumped for the second consecutive session, rising nearly 3%. However, SBI, HDFC Bank and HDFC are trading moderately lower.

Capital goods stocks L&T and BHEL have gained between 1-1.5%.

Index heavyweights Reliance Industries is marginally positive whereas ONGC is up over 1%.

Among metal stocks, Sterlite Industries has increased 2% and Hindalco is up 1%. Tata Steel has gained 0.4%.

Tata Motors has jumped 2% after a foreign brokerage firm upgraded the stock to outperform from underperform.

FMCG stock HUL has fallen by 1% after a foreign brokerage downgraded the stock to sell from underperform.

Technology stocks like Infosys and TCS are marginally down while Wipro has extended yesterday’s rally. 

The broader markets are trading on a higher note, both gaining by nearly 0.5% each.

Shares of Network18 Group companies –Network18 Media and Investments (Network18), TV18 Broadcast (TV18) – have rallied 20% each, extending their Tuesday’s 20% surge, as the proceeds of the proposed rights issues of both companies would render them debt free.

KEC International has rallied 9% to Rs 39.70 after the company said that it has secured new orders worth of Rs 1,253 crore.

Shares of select public sector undertakings (PSU) – MMTC, Hindustan Copper, STC India and Dredging Corporation of India are trading higher for the second straight day, after market regulator Securities and Exchange Board of India (SEBI) allowed companies to buy back their own equity from shareholders.

Kingfisher Airlines has dropped 2% as C-B-E-C asked the company to clear December service tax dues by January 5/6 or face action.

Mundra Port too has fallen 1.5% as sources reports that Home Ministry shot down company's bid again to develop a port in Kerala on security grounds.

The market breadth in BSE remains positive with 1,398 advancing and 847 shares declining.