Sensex, Nifty volatile; Grasim, Tech Mah, Adani Ports rally 2-3%

Moneycontrol Bureau12:40 pm Buzzing: Usha Martin shares gained more than 6 percent after board of directors, in today's meeting, has appointed a consultant to evaluate the possibility of sale of wire and wire rope business of the company."A committee of independent of directors will oversee the process and recommend suitable offers to the board for its consideration," the company said.12:20 pm IPO: Pharmaceutical firm Eris Lifesciences has filed draft papers with capital market regulator Sebi to float an initial public offering.

The IPO will see sale of 28,875,000 equity shares by the existing shareholders.

"The company expects that listing of the equity Shares will enhance our visibility and brand image and provide liquidity to our shareholders. Listing will also provide a public market for the equity shares in India," Eris said in the draft documents.

Axis Capital, Citigroup Global Markets India Pvt Ltd and Credit Suisse Securities (India) Pvt Ltd are book running lead managers to the issue.

The equity shares are proposed to be listed on the BSE and the NSE.

Also read - Infosys board a let-down; not a Sikka vs founders duel: V Bala12:00 pm Market Check

The market remained rangebound in noon trade, with the Nifty hovering around 8800 level as investors awaited quarterly earnings from State Bank of India, Bank of Baroda and Mahindra & Mahindra due today.

The 30-share BSE Sensex gained 29.98 points at 28359.68 and the 50-share NSE Nifty was up 17.85 points at 8796.25.

UR Bhat of Dalton Capital says he is unsure if the current rally will sustain. According to him, US President Donald Trump’s policies pose a huge risk for the market.

“The big problem we have is what can come out of the Trump administration. There are lot of uncertainties, especially regarding the relationship with China or the border tax,” Bhat says.

Aurobindo Pharma shares fell 3 percent, spooked by weak management commentary after Q3 earnings. Company sees a hyper competitive scenario in the US and says price pressure in US is expected in the first six months of the year.

Banking heavyweight, SBI will report numbers today. A CNBC-TV18 poll expects a sharp earnings boost on a low base but loan growth is seen falling to 5 to 6 percent. Slippages are expected to remain similar to last quarter's levels.

Bank of Baroda is also expected to report numbers. All eyes are on its asset quality.

M&M is expected to post a subdued quarterly performance, pressurised by slowing volume growth. Margin may be steady led by an increasing share in high margin tractors.

SAIL lost over 4 percent after the company reported a net loss for the seventh straight quarter. Also on the losing side is Triveni Engineering, down 6 percent after the management called off the demerger of the engineering business and shrugged off strong earnings.

Grasim Industries rose 3 percent on inclusion into the MSCI Emerging Market index and FIIs holding too hiked to 49 percent. Tech Mahindra was up 2 percent after a weightage increase in the MSCI India index.

Chennai Petroleum rallied nearly 7 percent on hopes of merger with IOC. Max Ventures gained 2.6 percent on likely announcement of a stake sale in subsidiary.