Nifty hovers around 8000, Sensex steady; SBI, NTPC drag 1%

1:50 pm Brokerage view: Shares of Eicher Motors jumped over 3 percent intraday after CLSA has initiated coverage on the stock with a buy rating and a target price of Rs 21800 per share.

The brokerage expects Eicher to deliver sector-leading 52 percent consolidated EPS Cagr over the next three years. Premium valuations should sustain given robust outlook and low competitive threat for Royal Enfield, it adds.

Royal Enfield will be a key beneficiary of rising replacement demand and shift in motorcycle demand profiletowards premium bikes. Commercial vehicle business should also deliver strong growth led by commercial cycle recovery and market share gains in heavy truck segment driven by new products,"it says in a report.

1:30 pm Buzzing: Shares of Glenmark Pharma climbed 1.7 percent intraday on receiving final approval from the USFDA for its extended cycle oral contraceptives.

The pharma company has received final approval from the US Food and Drug Administration (USFDA) for the extended cycle oral contraceptive, Levonorgestrel & Ethinyl Estradiol tablets USP, 0.15 mg. 0.03 mg, the AB-rated generic version of seasonable by Teva Women's Health.

Seasonale is indicated for the prevention of pregnancy in women who elect to use oral contraceptives as a method of contraception. According to IMS Health sales data for the one year period ending April 2015, the Seasonale market achieved annual sales of approximately USD 53.7 million.

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The market maintains its strength as the Sensex is up 113.07 points or 0.4 percent at 26538.37. The Nifty is up 20.25 points or 0.2 percent  at 8003.15. About 1340 shares have advanced, 1067 shares declined, and 161 shares are unchanged.

Sun Pharma,  M&M, HDFC, ONGC and Reliance are top gainers while Infosys, SBI, Hindalco, Tata Power and NTPC are among laggards in the Sensex.

The annual rate of inflation, based on monthly Wholesale Price Inflation, stood at -2.36 percent (provisional) for the month of May, 2015 (over May, 2014) as compared to -2.65 percent (provisional) for the previous month and 6.18 percent during the corresponding month of the previous year.

This was the seventh straight fall in WPI aided by fall in Food articles inflation (3.8 pecent vs 5.73 percent MoM), Manufactured products inflation (-0.64 pecent Vs -0.52 percent MoM) and Primary articles inflation (-0.77 percent Vs -0.25 percnt MoM). For the month of March, 2015, the final Wholesale Price Index and annual rate of inflation remained unchanged at its provisional level of 176.1 and -2.33 percent respectively.