Nifty breaches 5000; RIL, ICICI Bank, SBI, ITC, Infy drag

ALSO READ See Key Market Stats - Top Gainers/ Losers, Most Actives, Highs/Lows See how Global Markets are trading Indian ADRs Nifty BSE | NSE 29/05/12 Are Mutual Funds betting on Nifty?

Nifty southbound; telecom, cement, Hero Honda buck trend

At 13:26 hours IST - the Nifty was trading marginally lower amid volatility, as Asian markets declined further. China's Shanghai lost 3.6% on concern that banks will have to raise more capital to meet swelling loan demand which dragged financial companies lower. Hang Seng and Jakarta slipped 2% each. Other Asian markets fell 0.2-0.9%. European markets also opened 0.6% lower.

Banking stocks were the major losers today. SBI was down 1.8%, as the bank said it is further scaling down its credit growth forecast below the 20% mark. And it is not just SBI - other large PSU banks have also said that the Reserve Bank of India's scaled down target of 18% credit growth this fiscal may be tough to achieve.

Among other banking stocks, Union Bank, ICICI Bank and SBI were down 1.9-2.4%. Bank of Baroda, HDFC Bank, IDBI Bank and PNB fell 1-1.4%.

Reliance went ex-bonus today, which announced one bonus share for one equity share held. The stock was down 0.4%.

In the metal space, Tata Steel tanked 3.22%. Jindal Steel was down 1.33% and Sesa Goa down 0.53%. However, Hindalco, NALCO, Jindal Saw and Sterlite Industries gained 0.9-2.8%.

Power stocks like GVK Power, GMR Infra, Power Grid Corp, Neyveli Lignite and Suzlon Energy slipped 1-1.9%. NTPC and Reliance Infrastructure fell 0.3-0.4%.

Tata Motors, L&T, ITC, Ranbaxy Labs, BPCL and Unitech were other losers.

However, buying in telecom and cement stocks capped the losses to major extent. Hero Honda was the leader with over 3% gain.

The Nifty declined 30 points to 5,077 and the Sensex fell 97 points to 17,101. The broader indices were marginally down, as about 1,136 shares advanced while 1,708 shares declined on the BSE. Nearly 589 shares were unchanged.

Reliance Communications and Idea Cellular were up 1.3-1.7% in the telecom space. Bharti Airtel was up 0.7%. 

In the cement sector, ACC, Ambuja Cements and Grasim gained 1-2%.

In the midcap space, Bayer Cropscience, India Cements, Birla Corp, KGN Industries and Jet Airways were up 5-6% while HOEC, Dena Bank, Vijaya Bank, Mcleod Russel and PTC India lost 4-6%.

In the smallcap space, Atlanta, TV TodayNetwork, Binani Industries, Graphite India and Money Matters gained 6-11% while Allied Digital, Savita Oil Tech, Mercator Lines, Marathon Nextgen and Jindal Worldwide slipped 5-6.6%. 

Sensex trades lower; SBI, ICICI Bank, Tata Steel, RIL dip

At 12.12 hrs IST, the markets were trading in a narrow band with negative bias on expiry day. The Sensex was down 55.97 points or 0.33% at 17142.98, and the Nifty down 21.10 points or 0.41% at 5087.05. Selling was seen in banks, FMCG, IT and capital goods. Buying was seen in auto and metal stocks. The BSE Midcap index was trading with positive bias while the BSE Smallcap index was marginally in the red. Banks fell the most after Chinese banks plunged on concerns of capital raising to meet the growing loan requirements.

The Nifty November future was trading at discount while Nifty December future was trading with 10 points premium. The rollover for market is seen between 65-70%.

About 1259 shares had advanced, 1575 shares declined, and 599 shares were unchanged.

Asian markets were trading lower. China's stocks fell on concern that banks will have to raise more capital to meet swelling loan demand which dragged the financial companies lower. China's Shanghai Composite plunged 2.40% or 79.066 points at 3,211.099.

In the largecap space, Hindalco was the top gainer on the Nifty with 3.48% gain. Cement stocks like ACC, Ambuja Cements and Grasim rose 1.5-2%. Sterlite Industries was up 1.4% after copper and zinc had hit multi-month highs.

On the losing side, Tata Steel was down 2.35% ahead of its consolidated results. Stocks like HCL Tech, Ranbaxy Labs, Reliance Capital and Jindal Steel were down more than 1% each.

Top gainers on the BSE Midcap: Bayer Cropscience, EIH, India Cements, KGN Industries and Simplex Infra were up 5-6%.

Top losers on the BSE Midcap: Dena Bank, Nagarjuna Construction, United Phosphorous, Vijaya Bank and Hindustan Oil Exploration were down 3-4%.

Top gainers on the BSE Smallcap: Atlanta, Binani Industries, TV Today, HEG and Dalmia Cement were up 6-12%.

Top losers on the BSE Smallcap: Jindal Worldwide, Gee Kay Finance, Allied Digital, Swaraj Mazda and Shristi Infra were down 4-5%.

Nifty struggles at 5100 on weak Asian cues; banks dip

At 11:12 hours IST, the Nifty was consolidating at previous closing value as today is the last day of November series. The sell-off in heavyweights like Reliance Industries, ICICI Bank, BHEL, ITC, Infosys, SBI, HDFC Bank and L&T was keeping the markets on the lower side. However, buying in telecom, cement and realty stocks along with Sterlite, Hindalco, Wipro, Hero Honda and HUL was helping the benchmark indices. Siemens was up over 1% ahead of its results.

Weak Asian markets also weighted on the markets. Shanghai lost 1.7%. Jakarta and Hang Seng fell 1% each. Nikkei and Straits Times were down 0.5% each. Kospi and Taiwan Weighted fell 0.2% each.

The Sensex slipped 50 points to 17,148 and the Nifty declined 16 points to 5,092. The Nifty December future was trading with 11 points premium.

The market breadth was mixed; about 1,451 shares advanced while 1,367 shares declined on the BSE. Nearly 615 shares were unchanged.

In the midcap space, Bayer Cropscience, Birla Corp, India Cements, EIH and KGN Industries gained 5-6% while Dena Bank, United Phosphorous, Vijaya Bank, Bannariamman and Asian Star slipped 3-4%.

In the smallcap space, Atlanta, Dalmia Cement, JK Cement, Heidelberg Cement and BL Kashyap were up 5-8% while Jindal Worldwide, Swaraj Mazda, Allied Digital and Pratibha Industries lost 3.5-5%.

Asian Hotels declined 3.36% post disappointing set of numbers. Its July-September quarter's net profit fell 95% to Rs 0.94 crore. The company said results were impacted by low occupancies and rates. However, it also said, "Occupancies have shown signs of improvement and room rate improvement will follow."

Jyothy Labs was up over 2%, as the management expects over 35% topline growth going forward, mainly driven by volumes. "Gross margins expected to be about 45% after first 6 months."

Sensex choppy with negative bias; RIL goes ex-bonus

The Sensex started the day on a negative note and was consolidating ahead of F&O expiry. Reliance Industries was down 1% at Rs 1,087, the stock went ex-bonus today (bonus issue was 1:1). Metal stocks were seeing buying interest as the CRB Index was up 2.3%. Cement stocks were the strongest.

At 9:56 am, the Nifty was down 12 points at 5,095 and the Sensex fell 39 points to 17,159. However, the CNX Midcap was up 13 points at 7,244, as about 427 shares advanced while 239 shares declined on the NSE.

Among the frontliners, ICICI Bank, HDFC Bank, Reliance Industries, NTPC, HDFC, Tata Steel, TCS, L&T, BHEL, HCL Tech, DLF, Unitech and Tata Steel were the losers. Siemens was flat ahead of its numbers.

Mahindra Satyam lost another 7.5%, which had lost 11% on Wednesday. Tech Mahindra lost 4%, which fell 7% yesterday.

However, ACC, Sun Pharma, Hindalco, Ambuja Cements, PNB, Sterlite, Industries, SAIL, Axis Bank and Bharti Airtel were the gainers in the early trade.

Midcap space:

Heidelberg Cement was up 4.5%. Prism Cement rose 4% and India Cements was up 2%.

Edserv Soft shot up 5% and KPIT Cummins was up 3.7%.

EIH rose 7.5%, as ITC board is considering several options for EIH stake and may consider counter-offer for the company.

Newly listed Astec Life was up 1%. 

Dena Bank was down 1%.

Global cues:

Asian markets were down. Hang Seng and Shanghai fell 1% each.

The Dow Jones and S&P 500 closed at fresh 13-month highs on the back of strong economic data and weak dollar. The CRB Index was up 2.3% and the Dollar Index down 1%.

The Dow Jones Industrial Average was up 31 points at 10,464, S&P 500 Index up 5 points at 1,110 and Nasdaq Composite was up 7 points at 2,176.

Initial jobless claims fell to 466,000, lowest level in more than a year. Continuing claims fell to 5.42 million, multi-month low. New home sales were up 6.2% in October to an annualized rate of 430,000, at 1-year high.

Commodities

Reuter CRB Index was up 2.3%.

Crude gained over 2% at $77.9/bbl, as inventories gained less than expected.

Gold ended up 1.7% at $1185.5/ounce.

Gold made record high at $1193/ounce, which gained 16% MTD (month-to-date).

There were reports that India may consider more bullion buying from IMF.

Baltic Dry Index was down 2.4%.

Copper was at 14-month highs and Zinc at 18-month highs.

Market cues:

-FIIs net buy USD 65 million in cash on November 24
-MFs net sell Rs 278.5 crore in cash on November 24
-Total F&O Open Int up by Rs 2,568 crore to Rs 1,19,755 crore
-FIIs net sell Rs 331 crore in cash on November 25 (prov)
-DIIs net buy Rs 141 crore in cash on November 25 (prov)
-FIIs net buy Rs 520 crore in F&O on November 25

F&O cues:

-Total F&O turnover at Rs 91,235 crore versus 1.06 lakh crore on D-1 of last expiry
-Nifty down 0.3% , Futures Open Int up 8%
-Total Futures Open Int up by Rs 2403 crore
-Total Options Open Int up by Rs 165 crore
-Nifty IVs at at 22-26% levels
-Nifty Open Int PCR up from 1.66 to 1.71
-Nifty Dec PO PCR at 1.62
-Nifty Dec Fut trading at 12-pt prem versus 7-pt prem
-Nifty Calls shed 9.8 lakh shares in Open Int
-Nifty Puts adds 8.5 lakh shares in Open Int
-Nifty Dec 5100 Put adds 5.3 lakh shares in Open Int
-Nifty Dec 5000 Put adds 5.2 lakh shares in Open Int
-Nifty Dec 4900 Put adds 2.9 lakh shares in Open Int
-Nifty Nov 5200 Put adds 2.7 lakh shares in Open Int
-Nifty Nov 5100 Call sheds 10.3 lakh shares in Open Int
-Stock Futures add 2.1 crore shares in Open Int