Keeping themselves above Wednesday’s low, the Indian indices moved mostly in a range throughout the session on Thursday. Positive data from the US also helped to keep the momentum going.
S&P BSE Sensex opened at 25,541 while the NSE's CNX Nifty opened at 7,613, which was also its intra-day low. Sensex hit a low of 25,494. From the lows, the benchmarks reached up to 25,613 and 7,656. After hitting their respective highs, the indices tried keeping themselves higher. During this period, the indices witnessed volatile moves.
Sensex closed at 25,561 (up 11 points or 0.04%) while Nifty closed at 7,640 (up 16 points or 0.21%). The NSE recorded a volume of 89.87 crore shares. India VIX rose 1.60% to close at 14.9650.
Except for Realty (0.59%), Finance (0.17%) and Auto (0.11%) all the other Asian indices closed in the green. The top five gainers were Metal (2.49%), Commodities (1.69%), Nifty Midcap 50 (1.56%), Infra (1.50%) and Smallcap (1.49%).
Of the 50 stocks on the Nifty, 31 ended in the green. The top five gainers were Tata Power (3.72%), Grasim (3.27%), Kotak Mahindra Bank (3.18%), ACC (3.06%) and Hindalco (3.02%). The top five losers were M&M (3.28%), IDFC (2.48%), Bajaj Auto (2.34%), DLF (1.66%) and ONGC (1.20%).
Of the 1,598 companies on the NSE, 1,032 companies closed in the green, 500 companies closed in the red while 66 companies closed flat.
With the monsoon covering the entire country, though delayed, it is 15% below average in the past week, which is better as compared to the earlier weeks where it was around 40% below average.
Achieving the budgetary target of Rs 6.24 lakh crore in indirect tax collection during the current fiscal will be a challenge, a senior Finance Ministry official said today. The amount budgeted Rs6.24 lakh crore from indirect tax collection in 2014-15 is around 25% higher than the indirect tax mop-up (revised estimates) last fiscal.
With the positive move in the budget by raising export duty on bauxite companies like Hindalco may be benefitted by this move. Hindalco hit its 52-week high today and was the top gainer (3.91%) in the Sensex 30-pack.
Mahindra & Mahindra (3.18%), top loser in the ‘A’ group on the BSE and the top loser in the Sensex 30 stock, traded ex-dividend today. The company filed its shareholding pattern for June 2014 quarter on Wednesday, which saw an increase in the FII holding from 36.92% in March 2014 quarter to 39.24% in June 2014 quarter, while DIIs holding fell marginally from 15.88% to 15.52%.
Crompton Greaves (up 13.45%) was the top gainer in the ‘A’ group on the BSE. Its board of directors at its annual strategic review meeting proposed to demerge its consumer products business unit into a separate listed company. The board believes that such a demerger will create better growth opportunities for its two large but significantly different businesses - power, industrial and automation which are B2B business, and the consumer products business which is B2C. The board has constituted a committee of directors to examine all relevant aspects of the process of demerger and listing and make suitable recommendations to the board.
US indices closed Wednesday in the positive. The Federal Reserve said in its Beige Book business survey released on Wednesday, 16 July 2014 that economic growth was modest to moderate in the latest period as all 12 of its districts reported stronger consumer spending and expanded manufacturing.
Except for Straits Times (0.07%) and Seoul Composite (0.37%) all the other Asian indices closed in the negative. Jakarta Composite (0.84%) was the top loser.
European indices were in the red and US Futures too were trading lower on the news that Housing starts fell to a nine-month low in June, and US and European Union imposed sanctions on Russian banks, energy companies and defense firms in the latest attempt to pressure the country to end support for Ukranian rebels.