If Nifty closes below 8,250, we may see some more weakness
We had mentioned in Monday’s closing report that the S&P CNX Nifty may continue to rise higher if it manages stay above 8,227. Today the benchmark opened flat and after a minor setback at the beginning, it moved higher to hit the day’s high. The index then started moving in a range up to 11.25 am. However, after this a gradual decline followed for the remaining session and the index closed in the negative after three consecutive days of gains.
Sensex opened at 27,733 while Nifty opened at 8,325. Sensex moved lower to the level of 27,475 after hitting a high of 27,851 while Nifty hit a high 8,365 before reaching the low of 8,253. Sensex closed at 27,506 (down 195 points or 0.71%), while Nifty closed at 8,267 (down 57 points or 0.68%). NSE recorded a volume of 69.17 crore shares. India VIX rose 7.65% to 15.2975.
The futures & options segment contracts for December 2014 expire tomorrow as the stock market remains closed on Thursday on account of Christmas.
The market was awaiting the outcome of the assembly elections results held at Jharkhand and Jammu & Kashmir. The latest trends showed that the BJP was leading in the Jharkhand assembly while People's Democratic Party was leading in Jammu & Kashmir.
Gujarat Gas (18.24%) and DCB Bank (6.08%) were among the top two gainers in ‘A’ group on the BSE. Both of them hit their 52-week high today. It has been reported that mobile payments solutions provider iKaaz has tied up with DCB Bank to offer tap and pay mobile payment which will allow consumers to perform cashless transactions across various retailers in India.
Rasoya Proteins (4.65%) was the top loser in ‘A’ group on the BSE. It went on to hit a new 52-week low today.
NTPC (2.88%) was the top gainer in the Sensex 30 pack. NTPC has signed of a term loan facility of Rs 2,000 crore with Bank of Baroda. The loan has a door-to-door tenure of 15 years and will be utilised to part finance the capital expenditure.
Tata Power (3.09%) was among the top two losers among the Sensex 30 stocks. Tata Power informed the BSE that a technical snag developed in Unit No.7 at Trombay Thermal Power Generating Station. The gas turbine generator rotor of the combined cycle gas based unit developed an inter-turn short and ground. However, there is no associated damage to any other equipment. The exact extent of the fault / repair and schedule required would be known once the rotor end rings are dismantled and fault / damage is closely examined.
On Monday, US indices closed in the green. Asian indices showed mixed performance. Among those indices trading today, KLSE Composite (0.29%) was the top gainer while Shanghai Composite (3.03%) was the top loser.
China recorded a deficit of $20.8 billion in its services trade with the rest of the world in November, official data showed on Tuesday. That was wider than a $17.2 billion deficit in the services trade for October. China previously reported a record $54.47 billion surplus on its merchandise trade in November. In November, the tourism sector recorded a deficit of $7.5 billion, while "other business services" had a deficit of $9.5 billion, the State Administration of Foreign Exchange said in a statement on its website Tuesday. Over the first 11 months of the year, the country's services trade posted a deficit of $154.9 billion, the regulator said. The nation had a surplus of $332.5 billion in its merchandise trade over the same 11-month period.
European indices were trading in the green. US Futures too were trading marginally higher.