BSE Sensex and NSE Nifty trade lower on Wednesday. Photo: Mint
Mumbai: The benchmark BSE Sensex dipped below the 32,000-mark in early trade on Wednesday due to sustained selling pressure from investors amid weak global cues. Falling for the third straight session, the 30-share index dropped with sectoral indices, led by realty, healthcare, capital goods, FMCG and bank, were trading in the negative terrain with losses up to 2%. The gauge had lost 311.22 points in the previous two sessions. The 50-share NSE Nifty also dropped in early trade on Wednesday.
Brokers said continued selling by participants on muted earnings by some corporates and a weak trend in other Asian markets following weak Wall Street numbers on worries over tensions between the US and North Korea dampened sentiment. Major losers were Sun Pharma, ICICI Bank, Dr Reddy’s, Axis Bank, ITC Ltd, Hindustan Unilever, Cipla, HDFC Bank, Bharti Airtel, Lupin and L&T, falling up to 2.73%. In Asian markets, Japan’s Nikkei fell 1.28%, while Hong Kong’s Hang Seng shed 0.66% in early trade today. Shanghai Composite Index too was down 0.21%. The US Dow Jones Industrial Average closed 0.15% lower in yesterday’s trade. Here are the latest updates.
■ 10.15am: SRF Ltd fell 7% to Rs1,433 after the company reported 33% decline in its net profit in June quarter to Rs104 crore against Rs155 crore a year ago due to stronger rupee and transitional issues related goods and services tax. sales rose 7% to Rs1,290 crore.
■ 10.10am: Kisan Mouldings Ltd rose 4% to Rs106 after the company said in a notice to BSE that it identified assets worth over Rs15 crore for monetisation.
■ 10.00am: Sugar stocks fell on concerns that India may allow 200,000 tons of duty-free sugar to meet local demand. Shree Renuka Sugars Ltd fell 2.7%, Bajaj Hindusthan Sugar Ltd 1.3%, Balrampur Chini Mills Ltd 1.3%, Dalmia Bharat Ltd 0.5%.
■ 9.50am: Tata Chemicals Ltd fell 5% to Rs568.25 after the company reported weaker then expected earnings. It reported a net profit of Rs178 crore against the Bloomberg estimates of Rs 258 crore.
■ 9.45am: Indraprastha Gas Ltd rose 4% to Rs1,267.60 after Brokerage firm Deutsche Bank upgraded the stock to Buy from Hold and increased its target price to Rs 1370 a share from Rs750 a share.
■ 9.35am: BSE Sensex trades lower by 123 points, or 0.38%, to 31,892, while the Nifty 50 falls 36 points, or 0.36%, to 9,942.
■ 9.30am: Tata Motors Ltd fell 0.6% to Rs427.95 ahead of its June quarter earnings. According to 15 Bloomberg analyst estimates, the company may report net profit of Rs1,479.60 crore while net sales will be at Rs59,788.60 crore.
■ 9.25am: Adani Group stocks fell. Adani Enterprises Ltd fell 2%, Adani Transmission Ltd 1%, Adani Power Ltd 2.2%.
■ 9.20am: JP Group stocks fell. Jaiprakash Associates Ltd fell 7%, Jaypee Infratech Ltd fell 5%, Jaiprakash Power Ventures Ltd 6%.
■ 9.15am: The rupee opened at 63.78 a dollar. At 9.15am, the rupee was trading at 63.76 a dollar, down 0.20% from its Tuesday’s close of 63.81.
■ 9.10am: Sun Pharma shares fell 5% to Rs477.65 after its arm Taro Pharmaceuticals reported weaker earnings. Net sales of $161.3 million, decreased $72.5 million, or 31.0%, the result of continuing increased competition and the challenging pricing environment despite an overall increase in volumes. Gross profit of $116.5 million, decreased $66.2 million and as a percentage of net sales, was 72.2% compared to 78.2%.
■ 9.08am: Housing Development & Infrastructure Ltd (HDIL) fell 15% to Rs47.95. The stock fell for fifth sessions and declined over 44% in this period. The stock started declining after National Company Law Tribunal (NCLT) admitted insolvency application against HDIL arm Guruashish Construction Pvt. Ltd filed by the Union Bank of India.
■ 9.05am: The 10-year bond yield was at 6.458%, compared to its previous close of 6.459%. Bond yields and prices move in opposite directions.
■ 9.00am: Asian currencies were trading lower after US President Donald Trump said North Korea will be “met with fire and fury” if Kim Jong Un’s regime keeps making threats. Traders are focusing on US inflation data due Friday given its potential impact on Federal Reserve’s monetary policy