Shares of sugar refiners slump; Bajaj Hindusthan down 6 pct

Reuters Market Eye - Shares of sugar refiners slump as sugar futures fall to their lowest level in 10 weeks on sluggish demand from bulk consumers ahead of the monsoon season.

Bajaj Hindusthan Ltd shares lower 6.02 percent after gaining 44.67 percent in May until Monday.

Balrampur Chini Mills Ltd is down 5.64 percent after gaining 34.21 percent during the same period.

Stocks had rallied on hopes of firmer prices during the summer.

"As the season ends, the price outlook is weak and investors are taking profits," said an analyst with a Mumbai-based brokerage. "Demand for sugar from bulk consumers like cold drink and ice-cream makers usually softens during the monsoon season."

 

(indulal.p@thomsonreuters.com/rajendra.jadhav@thomsonreuters.com)