The markets slipped in the early trade following weak global cues. However, they managed to recover a bit and were trading with extreme volatility. Metal, realty and select technology stocks were under pressure. However, select infrastructure stocks were the gainers.

At 9:56 am, the Sensex was down 30 points, to 14,628 and the Nifty fell 12 points, to 4,336. The CNX Midcap fell 27 points, to 5,468 and the Nifty Junior was down 30 points, to 7,810. About 167 shares advanced while 396 shares declined on the NSE.

Among the frontliners, Cairn (crude slipped 3.7%), Infosys, DLF, Sterlite, Tata Communication, ICICI Bank, Tata Motors, Hindalco, Tata Steel, SAIL and Unitech lost the ground.

However, Ranbaxy, Bharti, L&T, BPCL, PNB, Reliance Power, Reliance Industries, HDFC and HUL were the gainers.

Midcap space

Sesa Goa was down 3% and Neyveli Lignite fell 1%. 

Assam Company was up 5%; yesterday the BSE canceled its block deal due to lack of coordination in bourses on circuit filteres.

ITI locked at 5% upper circuit and Mahindra Satyam was up 1% good volumes. Kalindee Rail and Texmaco were also up ahead of budget.

GVK Power was marginally positive, as its QIP (qualified institutional placement) was oversubscribed and the company raised USD 150 million.

Balaji Telefilms lost 4%, as its got show cause notice on service tax for Rs 63.5 crore.

JP Hydro Power was up 1%, ahead of its board meet on on FPO / QIP / GDR / ADR / FCCB issue.

Global Cues:

Asian markets were trading lower. Nikkei was down 1.35% and Straits Times fell 1%. Kospi, Taiwan Weighted and Hang Seng slipped 0.3-0.6%. SGX Nifty lost 0.9%. However, Shanghai was up 0.3%.

The US markets slid on the back of weaker-than-expected jobless report. Crude and metals dropped. The S&P 500 fell for a third straight week, but was still up 32.5% from March 09 low.

The Dow Jones Industrial Average dropped 223 points or 2.6% to 8,280.7 and the S&P 500 Index slid 26.9 points or 2.9% to 896.4. The Nasdaq Composite tumbled 49.2 points or 2.7% to 1,796.5.

Commodities

Crude oil tumbled 3.7% to $66.7 a barrel.

Gold was down $10 at $931/ounce.

Gauge of 6 metals in London dropped 1.2%.

Copper was down 1% and Aluminium fell 1.5%. Lead declined 2.2%.

Baltic Dry Index lost 1.8% to a three-week low; was down 5.8% for the week.

Sugar declined 1% to 17.58.

Market cues:

-FIIs net buy USD 34 million on July 1
-MFs net sell Rs 166 crore on July 1
-Total F&O Open Interest up by Rs 2183 crore to Rs 62842 crore
-FIIs net buy Rs 247 crore in cash on July 2 (prov)
-DIIs net buy Rs 212 crore in cash on July 2 (prov)
-FIIs net buy Rs 96 crore in F&O

F&O cues:

-Total Futures Open Interest down by Rs 149 crore, Total Options Open Interest up by Rs 2,332 crore
-Nifty remains unchanged, Futures remain flat
-Nifty July Futures trading at 3-pt discount
-Nifty Open Interest Put Call Ratio at up from 0.92 to 0.93
-Nifty Calls Add 23.2 lakh shares in Open Interest, Nifty Puts Add 24.6 lakh shares in Open Interest
-Nifty IVs at 42-45% levels
-Nifty 4800 Call Adds 8.6 lakh shares in Open Interest
-Nifty 4300 Call Adds 6.6 lakh shares in Open Interest
-Nifty 3900 Put Adds 5.6 lakh shares in Open Interest
-Nifty 4200 Put Adds 4.1 lakh shares in Open Interest
-Nifty 4000 Put Adds 3.6 lakh shares in Open Interest
-Nifty 4700 Call Adds 3.5 lakh shares in Open Interest
-Stock Futures Shed 1.2 cr shares in Open Interest