Weakness continued on the bourses in afternoon trade. The S&P BSE Sensex was down 146.62 points or 0.69%, up about 92 points from the day's low and off close to 66 points from the day's high. The market sentiment was hit adversely after a survey showed that India's vast service sector activity remained weak in the month just gone by. Yet, the market breadth, indicating the overall health of the market, turned positive from negative in afternoon trade.
The market edged lower in early trade on weak Asian stocks. Key benchmark indices extended initial losses and hit fresh intraday low in morning trade. Key benchmark indices extended losses and hit fresh intraday low in mid-morning trade after a survey showed continued contraction in the service sector activity. A bout of volatility was witnessed as key benchmark indices trimmed losses in early afternoon trade. Weakness continued on the bourses in afternoon trade.
At 13:15 IST, the S&P BSE Sensex was down 146.62 points or 0.69% to 21,092.74. The index fell 239.07 points at the day's low of 21,000.29 in mid-morning trade, its lowest level since 31 October 2013. The index dropped 80.80 points at the day's high of 21,158.56 in early trade.
The CNX Nifty was down 29.95 points or 0.47% to 6,287.40. The index hit a low of 6,247.55 in intraday trade, its lowest level since 31 October 2013. The index hit a high of 6,304.75 in intraday trade.
BSE Small-Cap and Mid-Cap, indices, were both in green. The S&P BSE Mid-Cap index was up 0.91% and the S&P BSE Small-Cap index was up 0.73%. Both these indices outperformed the Sensex.
The market breadth, indicating the overall health of the market, turned positive from negative in afternoon trade. On BSE, 1,139 shares rose and 1,035 shares fell. A total of 127 shares were unchanged.
Among the 30-share Sensex pack, 20 stocks fell and rest of them rose. Sun Pharmaceutical Industries (down 2.27%), Sesa Sterlite (down 2.05%), TCS (down 1.98%), Bharti Airtel (down 1.79%), Dr. Reddy's Laboratories (down 1.75%), Bajaj Auto (down 1.51%), ONGC (down 1.48%) and Wipro (down 1.40%), edged lower from the Sensex pack.
Tata Motors (up 1.90%), Coal India (up 1.39%), State Bank of India (up 0.86%), HDFC (up 0.71%), Hindalco Industries (up 0.60%), Cipla (up 0.49%) and NTPC (up 0.44%), edged higher from the Sensex pack.
Index heavyweight and cigarette maker ITC was off 2.87% at Rs 321.10. The scrip hit high of Rs 330.20 and low of Rs 319.10 so far during the day.
Torrent Power (up 11.22%), Andhra Bank (up 9.06%), IRB Infrastructure Developers (up 8.21%), Dena Bank (up 6.56%), Central Bank of India (up 6.37%) and Future Retail (up 6.09%), were among the leading gainers in the BSE's 'A' group.
Shriram Transport Finance Company (down 3.51%), L&T Finance Holdings (down 3.01%), Power Grid Corporation of India (down 2.95%), Dabur India (down 2.78%), Gitanjali Gems (down 2.7%) and Gujarat Mineral Development Corporation (down 2.69%), were the among the major losers in the BSE's 'A' group.
In the foreign exchange market, the rupee recouped entire intraday losses against the dollar in choppy trade. The partially convertible rupee was hovering at 61.75, compared with its close of 61.74/75 on Friday, 1 November 2013.
Indian services firms recovered slightly last month from the worst slump in over four years in September but activity still shrank and a shortage of new orders means a rebound looks some way off, a survey showed on Tuesday, 5 November 2013. The HSBC Services Purchasing Managers' Index (PMI), compiled by Markit, rose to 47.1 last month from 44.6 in September, which was the weakest reading since April 2009. But the PMI still lingered below the 50 mark that divides growth and contraction for the fourth consecutive month. Services contribute about 60% of India's gross domestic product.
Asian stocks were mixed on Tuesday, 5 November 2013. Key benchmark indices in Hong Kong, Taiwan, and South Korea shed 0.21% to 1.10%. Key benchmark indices in China, Singapore and Japan rose 0.17% to 0.35%.
A HSBC and Markit Economics China services index released today, 5 November 2013, rose in October 2013, after an official non-manufacturing gauge rose to the highest level this year. The HSBC/Markit services PMI rose to 52.6 from September's 52.4, holding well above the 50 line that separates expansion from contraction. New business growth reached a seven-month high and employment rose for the second straight month.
China's leaders will meet in Beijing on November 9-12 to map out economic policies as the country heads for its slowest annual growth in more than two decades.
Chinese Premier Li Keqiang said late last month that China's economy needs to grow at least 7.2% a year in order to ensure the urban unemployment rate remains around 4%, reports said Tuesday, citing an account of the speech on a trade-union website. Li said that although 7.2% would be the minimum growth rate needed, he added that the government's target remains at 7.5% and will be achieved this year. Li also said China must keep a close watch on credit growth and avoid loose monetary policy.
Australia's central bank left its benchmark interest rates unchanged at a record low and said a lower currency will be needed to achieve balanced growth. Governor Glenn Stevens and his board kept the overnight cash-rate target at 2.5%, the Reserve Bank of Australia said in a statement today in Sydney
Trading in US index futures indicated a flat opening of US stocks on Tuesday, 5 November 2013. US stocks settled with modest gains Monday, 4 November 2013, as investors took a cue from upbeat earnings and shook off fears the market is overdue for a correction.
The US government will on Friday, 8 November 2013, release nonfarm payrolls figures for October 2013. The job data is a key economic indicator that has been watched closely in recent months to see whether the US Federal Reserve will roll back its bond-buying program.
"Monetary policy is likely to need to remain accommodative for some time so that we can achieve full employment within a reasonable forecast horizon. The economy remains challenged," Boston Fed President Eric Rosengren, who votes on monetary policy this year, said in a speech in Boston on Monday, 4 November 2013. Richmond Fed President Jeffrey Lacker gives a speech on the labor market in Charlotte, North Carolina today, 5 November 2013. Earlier this month he said the probability of another recession is "bigger than we thought."
In Europe, European Union Economic and Monetary Affairs Commissioner Olli Rehn will release economic growth forecasts for the region in Brussels today, 5 November 2013. The European Central Bank (ECB) holds a monetary policy meeting on Thursday, 7 November 2013. The ECB is seen retaining its key policy rate at a record-low 0.5%.
UK retail sales rose only modestly in October, an industry group said Tuesday, raising doubts about the ability of consumers to support the economy at a time when Britons' incomes are falling in real terms. The British Retail Consortium said sales in shops that have been open at least a year rose 0.8% in October from the comparable month of 2012. That is only a very slight rebound from September, when growth stalled to 0.7% from 1.8% in August.
Powered by Capital Market - Live News
