Key benchmark indices continued to trade with small losses in early afternoon trade after a rangebound and listless session of trade so far during the session. At 12:25 IST, the barometer index, the S&P BSE Sensex was down 32.21 points or 0.1% at 31,239.07. The Nifty 50 index was down 7.97 points or 0.08% at 9,656. Indices hovered in a narrow range as investors maintained caution ahead of key global events of elections in the UK and the European Central Bank's monetary policy review.
Capital goods stocks were mixed. Cement stocks dropped.
Indices edged higher in early trade tracking steady Asian stocks. Stocks soon slipped into the red only to stage recovery in morning trade. Indices hovered in negative terrain after once again slipping into the red in mid-morning trade.
The S&P BSE Mid-Cap index rose 0.23%. The S&P BSE Small-Cap index advanced 0.24%. Both these indices outperformed the Sensex.
The breadth, indicating the overall health of the market, was positive. On the BSE, 1,218 shares rose and 1,174 shares declined. A total of 104 shares were unchanged.
JSW Steel rose 1.97% to Rs 199.15 on reports that a foreign broker upgraded its rating on the stock to 'buy'. JSW Steel reportedly received a rating and target price upgrade from a foreign brokerage firm based on better outlook for the company going forward. The brokerage upgraded the stock from 'outperform' to 'buy' with a target of Rs 300 from Rs 185 earlier.
The broker reportedly said that JSW Steel will be a big beneficiary of improving pricing and demand-supply outlook in the steel industry for the coming years. The broker added that the anti-dumping duties on HRC (hot rolled coil) and CRC (cold rolled coils) steel getting extended until August 2021 is a signal of continuation of import protection for the industry.
Capital goods stocks were mixed. BEML (up 1.15%), Bharat Heavy Electricals (Bhel) (up 0.62%), Havells India (up 0.25%) and Siemens (up 0.97%) gained. L&T (down 0.37%), Bharat Electronics (down 0.41%) and Thermax (down 0.09%) declined.
Cement stocks dropped. Shree Cement (down 0.14%), Ambuja Cements (down 0.23%), and UltraTech Cement (down 0.32%) declined. ACC rose 0.23%.
Grasim Industries declined 0.98%. Grasim has exposure to the cement sector through its holding in UltraTech Cement.
Tata Power Company fell 0.57% after the company said that rating agency ICRA has revised lower long term rating of the company from AA to AA-, while the short term rating has been reaffirmed at A1+. The announcement was made after market hours yesterday, 7 June 2017.
The rating from ICRA had negative outlook in view of the under-recovery of fuel costs at the 4000 megawatts Mundra Ultra Mega Power Project (UMPP) operated by the company's wholly owned subsidiary. The revision of long term rating takes into account the disallowance of any relief to Mundra UMPP under Force Majeure or change in law clauses as per the recent judgement of the Supreme Court.
Separately, the company's distribution arm TP Ajmer Distribution signed distribution franchisee agreement (DFA) with Ajmer Vidyut Vitran Nigam (AVVNL) to cater to the power requirements of customers in Ajmer for a period of 20 years. The announcement was made during market hours today, 8 June 2017.
Bharat Wire Ropes rose 4.65% after the company said that it has booked approximately Rs 37 crore exports and domestic orders to be executed mainly from new facility set up at Chalisgaon, Maharashtra. The announcement was made during market hours today, 8 June 2017.
Petronet LNG fell 3.36% on media reports that a France-based investor offloaded its entire stake in the company. According to reports, GDF International offloaded its entire 10% stake, comprising 7.50 crore shares, in Petronet LNG in block trades today, 8 June 2017. GDF sold the shares in a price range of Rs 417-440 a share with the deal size of up to $512 million. GDF International distributes and markets liquefied natural gas.
HealthCare Global Enterprises rose 0.59% after the company announced the launch of a comprehensive cancer center in Nagpur, Maharashtra. The announcement was made after market hours yesterday, 7 June 2017.
HCG NCHRI cancer center is a 125 bed dedicated comprehensive cancer hospital established in collaboration with the Nagpur Cancer Hospital and Research Institute (NCHRI), HealthCare Global Enterprises (HCG) said. The new center is based on a multi-disciplinary team, adherence to proven clinical protocols and quality norms and features advanced technology including the TrueBeam STxTM radiotherapy system, PET-CT as well as a Bone Marrow Transplant Unit, the company said.
Overseas, Asian stocks were mixed ahead of a number of news events with global implications. Later today, elections in the UK will get under way, the European Central Bank will hold its latest meeting and James Comey, the former director of the Federal Bureau of Investigation, will testify on Capitol Hill.
China's May exports rose 8.7% from a year earlier, while imports expanded 14.8%, both beating expectations, official data showed. That left the country with a trade surplus of $40.81 billion for the month, the General Administration of Customs said.
Japan's economy grew at a slower pace than initially estimated in the first quarter. The nation's gross domestic product, the broadest measure of economic activity, grew at an annualized pace of 1.0% from the previous three months, according to government data.
Banks and other financial companies led US stocks slightly higher yesterday, 7 June 2017, snapping a two-day losing streak for the market.
Powered by Capital Market - Live News
Disclaimer: No Business Standard Journalist was involved in creation of this content
