A close below 5,645 on the Nifty may see the benchmark slipping further whereas a close above 5,700 would be mildly bullish
The volatile market closed marginally higher on buying support towards the end of the trading session. The Sensex and the Nifty wait for fresh signals, but a close below 5,645 may pull the Nifty further down. On the other hand, a close above 5,700 would be mildly bullish. The National Stock Exchange (NSE) saw a volume of 68.09 crore shares and an advance decline ratio of 713:960.
Strong earnings reports from US companies on Tuesday supported the positive opening of the domestic market today. Better-than-expected earnings from Johnson & Johnson and Goldman Sachs helped the US indices log gains of 1% overnight. Reflecting the positive trend in the US, the Asian pack was in the green in morning trade today.
Back home, the Nifty opened 33 points higher at 5,681 and the Sensex resumed trade at 18,668, a rise of 90 points over its previous close. Buying in realty and IT stocks supported initial gains.
The upmove helped the benchmarks hit their intraday highs in initial trade itself with the Nifty going up to 5,684 and the Sensex climbing to 18,705. However, profit booking in blue chips soon saw the indices paring their gains.
The market continued its gradual downward journey amid sharp volatility which saw the indices fluctuate on both sides of their previous close.
While the local market notched early gains on support from the US and Asia, a flat opening of the European benchmarks ahead of a crucial two-day meeting of European leaders that begins on Thursday to decide on the bailouts to Spain and Greece, resulted in the Indian market giving up its gains.
The domestic benchmarks slipped to their lows at around 1.30pm. At the lows, the Nifty fell to 5,634 and the Sensex went back to 18,535. The market made feeble efforts to emerge into the green but selling pressure kept the indices down.
A fresh bout of buying in select stock towards the close of trade helped the market close marginally higher. The Nifty rose 12 points (0.22%) to 5,660 and the Sensex finished trade at 18,611, up 33 points (0.18%) over its previous close.
The broader indices reported a mixed close today; the BSE Mid-cap index shed 0.04% while the BSE Small-cap index gained 0.30%.
The sectoral gainers were led by BSE Consumer Durables (up 0.63%); BSE Capital Goods (up 0.60%); BSE Auto (up 0.50%); BSE Power (up0.43%) and BSE Healthcare (up 0.40%). The losers were BSE Realty (down 0.62%); BSE Oil & Gas (down 0.53%); BSE Metal (down 0.19%); BSE IT (down 0.10%) and BSE PSU (down 0.04%).
Eighteen of the 30 stocks on the Sensex closed in the positive. The key gainers were Tata Power (up 2.12%); HDFC (up 1.22%); BHEL, Larsen & Toubro (up 1.02% each) and Tata Motors (up 0.99%). The main losers were GAIL India (down 1.98%); TCS (down 1.05%); Reliance Industries (down 0.97%); Sun Pharma (down 0.86%) and State Bank of India (down 0.64%).
The top two A Group gainers on the BSE were—Torrent Pharma (up 4.78%) and Dish TV India (up 4.68%).
The top two A Group losers on the BSE were—Jain Irrigation (down 4.15%) and IRB Infrastructure Developers (down 3.97%).
The top two B Group gainers on the BSE were—Aarvee Denims (up 20%) and Dr Agarwal’s Eye Hospital (19.96%).
The top two B Group losers on the BSE were—Bio-green Papers (down 10.87%) and KM Sugar Mills (down 10.78%).
Out of the 50 stocks listed on the Nifty, 28 stocks settled in the positive. The top gainers were Lupin (up 2.93%); Tata Power (up 2.06%); Cairn India (up 1.72%); Ranbaxy Laboratories (up 1.64%) and L&T (up 1.51%). The major losers were DLF (down 3.51%); Ambuja Cement (down 2.67%); GAIL (down 1.96%); ACC (down 1.37%) and RIL (down 1.15%).
Markets in Asia closed mostly firm as optimism from corporate earning reports from the US supported investors’ risk appetite. Global ratings agency Moody’s decision to keep Spain investment grade rating intact also helped the upmove.
The Shanghai Composite gained 0.32%; the Hang Seng surged 0.99%; the Jakarta Composite rose 0.20%; the KLSE Composite advanced 0.43%; the Nikkei 225 climbed 1.21% and the Seoul Composite settled 0.70% higher. On the other hand, the Straits Times shed 0.04% and the Taiwan Weighted lost 0.09%.
At the time of writing, the European markets which witnessed a flat opening, were with gains of around half a percent and the US stock futures were flat to positive.
Back home, foreign institutional investors were net sellers of shares amounting to Rs 204.18 crore on Tuesday while domestic institutional investors were net buyers of equities aggregating Rs595.40 crore.
Kamat Hotels India, the hospitality chain which runs The Orchid Hotel, has drawn up a restructuring plan that involves hiving of three land parcels and adopting the franchisee route for expansion. The move comes even as lenders are considering restructuring the Mumbai-based company’s debt aggregating Rs435 crore. The stock gained 1.42% to close at Rs128.30 on the NSE.
The HCL Technologies scrip today declined 0.68% to close at Rs580.55 on the NSE. The company this morning posted 78.1% jump in net profit at Rs884.8 crore for the first quarter ended 30th September 30 compared to Rs496.7 crore in the July-September quarter of 2011.
Geojit BNP Paribas' consolidated revenues rose 4% to Rs66.2 crore during the second quarter of the current fiscal from Rs63.57 crore in the same quarter of the previous fiscal. The net profit increased to Rs45.31 crore from Rs6.05 crore. The PBT and exceptional item rose to Rs18.52 crore from Rs10.44 crore, a jump of 77%. The stock closed 2.54% lower at Rs23 on the NSE.
Kejriwal said, while DLF-Robert Vadra are looting farmers in Haryana, Gadkari and NCP combine are looting farmers in Maharashtra
Social activist Arving Kejriwal on Wednesday alleged that Nitin Gadkari, the president of Bharatiya Janata Party (BJP) received undue favours from the Maharashtra government in allocation of farm land. Gadkari was allotted about 100 acres of farm land by the then minister Ajit Pawar, alleged Kejriwal.
Accusing Gadkari of being in league with Congress-NCP government in Maharahstra, to get undue favours and keeping quiet as quid pro quo on issues affecting people, Kejriwal said the BJP president has used politics to build his business empire. According to him, Gadkari owns a big business empire in Maharashtra that consist five power plants and two sugar companies.
Meanwhile, Gadkari today called on President Pranab Mukherjee and congratulated him on assuming the top post. "After Pranab Mukherjee became President, I had to congratulate him. I congratulated him and held some discussions. I have old personal relations with him. It was a courtesy visit. It had nothing to do with politics," Gadkari told reporters after coming out of Rashtrapati Bhawan.
The meeting between Kingfisher management and striking pilots and engineers failed to resolve the issues, including non payment of salaries since past six months
Mumbai: Embattled Kingfisher Airlines, which has been grounded since 29th September, on Wednesday said it will have to extend its 20th October deadline to resume operations, as a meeting with the striking employees today failed to resolve the deadlock, reports PTI.
On 10th October, the airline had said it would resume operations from 20th October.
"We will have to look at extending the lockout for a few more days... The meeting with the representatives of pilots and engineers was very good. The discussions are moving in the right direction," airline chief executive Sanjay Agarwal told reporters after emerging from a meeting with the employee representatives this evening.
When asked about the next meeting, he said, "We will be meeting again shortly," without offering a direct answer.
The meeting held at the Shaw Wallace House, a UB property in the southern tip of the city, was also attended by airlines' HR head and four pilots and engineers each.
On the outcome on the issue of salary, which has not been paid for the past seven months and on which employees have been striking since the past three weeks, he did not offer a direct answer, but just said that discussions are going on in the right direction and they will be meeting soon again.
Two engineers, who attended the meeting but did not want to be named, also said that the meeting was very positive and they will be meeting shortly.
However, two senior pilots, who did not attend the meeting, said the meeting failed, indicating that there are fissures among the pilots and the engineers, who are the prime-movers behind the strike. In fact, the strike was started by the engineers on 29th September.
When specifically asked whether they are ready to climb down from their demand for complete payment of their salary dues, the engineers said their basic agenda is to get their salaries, but indicated that it is negotiable.
Kingfisher Airlines, launched in May 2005, has never made profit, and is sitting on a debt pile of over Rs8,000 crore including over Rs420 crore of tax arrears, apart from the accumulated loss of over Rs8,000 crore.