Live Market Updates: Despite good Jan IIP data, weak CPI deflates Sensex

Moneycontrol Bureau

Stock indices rose after Industrial growth came in at a decent 2.4 percent but the enthusiasm deflated after CPI inflation number showed an incline. January IIP (Index of Industrial Production ) data showed Manufacturing and Electricity picked up momentum, but performances of Mining and Capital Goods remain circumspect. February CPI inflation number disappointed market, coming in at over 10 percent for the third consecutive month. The 10-year bond yield also rose on the back of negative inflation numbers. Elevated CPI inflation may weigh on Reserve Bank's (RBI)decision to cut interest rates in it March policy meet.

At 11.23 AM, the Sensex was down 1.88 points or 0.01% at 19644.33, and the Nifty fell 2.25 points or 0.04% at 5940.10. HUL, Tata Motors, Reliance, Hindalco and Mahindra and Mahindra gained around 1 percent on the Sensex. Index heavyweight Hindustan Lever was trading at Rs 445.85 up 1.56% from its previous close of Rs 439.00.

Bharti, Bajaj Auto, Hero MotoCorp were seen declining  along with IT leaders Infosys and TCS. Private banking giants ICICI Bank, HDFC Bank, HDFC and Axis Bank were on the losing side while shares of public sector lenders SBI, PNB and Bank of Baroda moved up.

Real Estate sector was seeing some spark with Oberoi Realty, Shobha Developer, Godrej Properties and DLF gaining 2.3 percent, 1.18 percent, 1 percent and 0.54 percent, respectively.