Sensex extends losses post 5% fall in Shanghai

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Nifty slips in red as Shanghai down 2%; IT, FMCG lose

At 10:48 hours IST, the Nifty slipped into the red following over 2% fall in China's Shanghai and was volatile in trade. Technology, FMCG, cement and auto stocks along with Bharti, L&T, NTPC, Reliance Industries, HDFC Bank, Reliance Infrastructure, Idea, Axis Bank and Sun Pharma were under pressure. Other Asian markets were flat in trade.

However, buying continued in HDFC, ONGC, DLF, Sterlite, Tata Power, Cipla, Nalco, Ranbaxy and Suzlon Energy.

The Sensex fell 72 points, to 14,962 and the Nifty lost 22 points, to 4,438. About 712 shares advanced while 404 shares declined on the NSE.

In the midcap space, Koutons Retail, Puravankara Projects, Hindustan Oil Exploration, JM Financial and IVRCL Infrastructure were up 5-7%. However, Glenmark lost 10.5%. Bharat Forge, Godrej Industries, GlaxoSmith Consumer and REI Six Ten fell 2.5-3.5%.

In the smallcap space, Numeric Power gained 17.66% and Alkali Metals up 13.26%. Bharati Shipyard, IOL Chemicals and Godawari Power gained 6.5-9.7%. However, Swaraj Engines, Fem Care Pharma, Sagar Cement, Sujana Towers and Kothari Product slipped 4-5%.

Sensex choppy in early trade; DLF, HDFC, Cairn gainers

The Sensex was choppy in the early trade. Among the frontliners, L&T, HUL, Bharti, BPCL, Wipro, ITC, Hero Honda, Sun Pharma, Tata Steel, Power Grid, Tata Motors and ICICI Bank were the losers in the early trade.

However, Cipla was up 3% (the company can sell generic version of Bayer's cancer drug post HC judgement), Cairn India (crude jumped 3.7%), Sterlite Industries, DLF, ABB, HCL Tech, Siemens India, Ranbaxy Labs, HDFC, Unitech and ACC were the gainers.

At 9:57 am, the Nifty was up just 1 point, to 4,459 while the Sensex was flat   at 15,035. The CNX Midcap rose 25 points, to 5,834. The market breadth was positive; about 530 shares advanced while 98 shares declined on the NSE.   

Midcap space

Mahindra Satyam, Alok Industries, Mercator Lines, Indiabulls Financial, HOEC, Moser Baer, Provogue, Orchid Chemical, Prism Cement, Balaji Tele and 3i Infotech were up 1.5-4%.

Glenmark slipped 16% in the early trade, as Forest Labs said Oglemilast did not show positive results in phase II-B. Glenmark outlicenced Oglemilast to Forest Labs.

Global cues:

Asian markets were trading mixed. Shanghai, Hang Seng, Nikkei and Straits Times fell 0.2-0.5%. However, Kospi and Taiwan Weighted gained over 0.3%.

The US markets gained after strong earnings from retailers offset unexpected drop in housing starts. Dollar was down for the first time in last 3 days and crude rose 3.7%.

The Dow Jones Industrial Average was up 82.6 points at 9,218; S&P 500 Index up 10 points at 990 and Nasdaq Composite rose 25 points at 1,956. European markets gained nearly 1% at close on Tuesday.

Commodities:

The Reuters CRB Index was up 1.02% at 255.92.

Crude oil rose for the first time in three days; up 3.7% at $69.19/bbl.

Aluminium went up 2.3% at $2005/tonne.

Lead and Zinc were up 1.5%.

Baltic Dry Index fell 2.5%.

Market cues:

-FIIs net sell USD 200 million in cash on August 17
-Total F&O Open Interest up by Rs 2536 crore at Rs 81,278 crore
-FIIs net sell Rs 722 crore in cash on August 18 (prov)
-DIIs net buy Rs 467 crore in cash on August 18 (prov)
-FIIs net buy Rs 850 crore in F&O on August 18

F&O cues:

-Total Futures Open Int up by Rs 1405 crore
-Total Options Open Int up by Rs 1131 crore
-Nifty up 1.6%, Futures Open Int down 1%
-Nifty August Fut trading at 4-pt discount versus 15-pt
-Stock Futures add 3.4 crore shares in Open Int
-Nifty IVs at 35-38% levels
-Nifty Open Int Put Call Ratio at 0.98 versus 0.93
-Nifty Puts Adds 23.4 lakh shares in Open Int
-Nifty Calls Shed 62,000 shares