Nifty is trying to form a short-term bottom around 7,490
As we mentioned in our last week's closing report, the Indian indices suffered further losses, with only few minutes of trading in the green on Monday. The market sentiments were worsened by the rising crude oil price and consequent effect of it on the current account deficit (CAD) of the country. Even the positive comments coming from the prime minister couldn’t revive the market strength.
The S&P BSE 30-share Sensex opened at 25,240 while the NSE 50-share Nifty opened at 7,535. Sensex moved in the range of 25,064 and 25,268 and closed at 25,190 (down 38 points or 0.15%) while the Nifty moved between 7,488 and 7,549 and closed at 7,534 (down 9 points or 0.11%). The NSE recorded a volume of 111.42 crore shares. India VIX rose 1.24% to close at 17.9825.
Among the other indices on the NSE the top five gainers were IT (1.39%), CPSE (1.32%), Realty (1.26%), PSE (0.97%) and Nifty Midcap 50 (0.74%); while the top five losers were Auto (1.04%), PSU Bank (0.69%), Finance (0.67%), Bank Nifty (0.51%) and Infra (0.47%).
Of the 50 stocks on the Nifty, 23 ended in the green. The top five gainers were Gail (4.77%), BPCL (3.29%), TCS (2.55%), Sun Pharma (2.43%) and DLF (2.42%). The top five losers were M&M (2.94%), Axis Bank (2.54%), LT (2.32%), HDFC (2.01%) and Tata Motors (1.97%).
Of the 1,579 companies on the NSE, 675 closed in the green, 840 closed in the red while 64 closed flat.
Prime Minister Narendra Modi on Saturday said the government would lay targeted focus on the areas of infrastructure, entrepreneurship and skill development.
The annual rate of inflation based on the monthly wholesale price index (WPI) accelerated to 6.01% (provisional) for May 2014, from 5.2% in April, data released by the government said on Monday. The WPI inflation for March 2014 was revised upwards to 6%, from 5.7% reported earlier.
Gail India (3.95%), the top gainer in the Sensex 30 pack, will cut its equity stake in ONGC's mega petrochem sproject at Dahej to 11.6% as the project faces major cost overruns.
With news making round that Mahindra & Mahindra is planning to acquire a stake in Swedish premium car maker Saab, the stock was among the top two losers (2.34%) in the Sensex.
Strides Arcolab (4.97%) was among the top three gainers in the ‘A’ group on the BSE. The stock hit its 52-week high today at Rs 647.60 on the BSE.
Of the PSU Banks, Oriental Bank (3.25%) and Dena Bank (2.99%), were among the top five losers in the ‘A’ group on the BSE.
US indices closed Friday in the green.
The University of Michigan/Thomson Reuters sentiment gauge fell in June to 81.2 — the lowest level in three months. Separately, government data ahead of the open showed wholesale prices for May fell unexpectedly. The Federal Open Market Committee undertakes monetary policy review at a two-day meeting that is to be held on Tuesday.
Except for NZSE 50 (0.16%), Seoul Composite (0.14%) and Taiwan Weighted (0.07%) all the other Asian indices closed in the red. Nikkei 225 (1.09%) was the top loser.
European indices were trading in the red. US Futures were trading lower.