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Last Updated : Jan 09, 2017 10:16 AM IST | Source: Moneycontrol.com

Nifty below 8250, Sensex in red; ITC, BHEL, Hero early gainers

Axis Bank, Hero MotoCorp, Tata Steel, HDFC and Bajaj Auto are top gainers while Bharti Airtel, TCS, GAIL, Lupin and ICICI Bank are losers in the Sensex.

Moneycontrol Bureau

9:55 am
The decline in gross domestic product (GDP) for the second half of the year is likely to be more stark than government estimates, says Tanvee Gupta Jain, India Economist Research at Macquarie Capital Securities. 

Macquarie estimates 6 percent growth against the 6.7 percent estimate by the CSO for the second half of the current financial year.

The advance estimate for GDP for the fiscal year 2017 released on Friday shows India's growth is set to slow down to 7.1 percent in this financial year but this does not include the impact of demonetisation. 

9:45 am Market check
: The Sensex is down 27.54 points or 0.1 percent at 26731.69, and the Nifty is down 5.05 points at 8238.75. About 1073 shares have advanced, 640 shares declined, and 388 shares are unchanged.

Dr Reddy's, Wipro, Asian Paints, TCS and M&M are losers in the Sensex. ITC, BHEL, Adani Ports, Hero and ONGC are gainers.

9:30 am FII view: Sanjay Mookim of Bank of America Merrill Lynch says while the consensus Sensex earnings growth expectation for FY17 has come down to 8 percent from 20 percent at the beginning of the fiscal, FY18 earnings growth expectations at 18 percent is still high. Factoring the impact of demonetisation, on a top down basis, he expects Sensex FY18-19 EPS growth to be 12-14 percent.
This relatively robust earnings growth could drive Sensex to 29,000 by December 2017, Mookim feels.

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The market has opened in green Monday. The Sensex is up 93.34 points or 0.3 percent at 26852.57 and the Nifty is up 15.95 points or 0.2 percent at 8259.75. About 300 shares have advanced, 97 shares declined, and 323 shares are unchanged.


Axis Bank, Hero MotoCorp, Tata Steel, HDFC and Bajaj Auto are top gainers while Bharti Airtel, TCS, GAIL, Lupin and ICICI Bank are losers in the Sensex.

The Indian rupee declined in the early trade. It has opened lower by 21 paise at 68.17 per dollar versus 67.96 Friday.

Pramit Brahmbhatt of Veracity, "The rupee will continue to trade sideways but with a positive bias as optimism in equity market will help it appreciate. The USD-INR is expected to trade in a range of 67.80-68.20/dollar for the day."

The dollar held steady after mixed US payrolls report. Yields on US 10-year notes rose from 2.33 percent to 2.42 percent on the data.

Asian shares were higher on Monday morning, following the Dow Jones coming within inches of hitting the 20,000 mark at the close of trade last week.

The ASX 200 gained 0.54 percent, seeing broad gains across all sub-indexes except for materials and gold. In South Korea, the Kospi added 0.04 percent in early trade.

Across the Korean peninsula, North Korea had announced Sunday that it could test the launch of its intercontinental ballistic missile at any time from any location, Reuters reported.

US stocks ended at record highs fueled by optimism about Trump's plans to stimulate the economy with lower taxes and infrastructure spending. Both the Nasdaq and the S&P 500 ended at record highs.

First Published on Jan 9, 2017 09:15 am