BSE Sensex, Nifty close higher; Bajaj Auto, BHEL up 2%

3:45 pm Market closing: After a tug of war, the market ended the day on a negative note. The Sensex closed down 68.32 points at 21032.71, and the Nifty ended at  6268, down 16.10 points. About 1442 shares have advanced, 1019 shares declined, and 161 shares are unchanged.

3:40 pm Exclusive interview: Jayanti Natrajan's exit from the environment ministry is viewed by some as the UPA government's olive branch to industry. Ajit Gulabchand, CMD, Hindustan Construction Company , says the move is not just a case of change of guard but a change in the thinking of handling environment protection in the country. He says India lacks objectivity and there have been too many arbitrary decisions taken with reference to environmental nods. Many projects got stalled during Natarajan regime. Gulabchand said there's a need to remove case-by-case approach on environmental clearances. "There's a need to establish procedures with uniform applications," he said on CNBC-TV18.

3:30 pm Update: Advocating relaxation of gold import norms to check smuggling, Commerce and Industry Minister Anand Sharma said the government will take action at an appropriate time.     "There is a mechanism to periodically review it (gold import norms). We will take an appropriate view as and when required," Sharma told PTI.      The government has raised import duties on the yellow metal in order to check rising current account deficit (CAD). The RBI had imposed curbs on its import and had also laid down various pre-conditions for inward shipments.

Indian equities are struggling to stay positive. The Sensex is down 61.27 points at 21039.76, and the Nifty is down 14.60 points at 6269.90. About 1432 shares have advanced, 1014 shares declined, and 174 shares are unchanged. Bajaj Auto, BHEL, Dr Reddy's Labs, Larsen, NTPC are top gainers in the Sensex. Among the losers are Tata Power, Sesa Sterlite, Wipro, Sun Pharma and GAIL. All of Asian markets end positive as Japan's Nikkei hits a 6-year high. China stays positive as inter-bank liquidity eases. Europe opens with gains as well, a resurgent dollar pushing the euro lower. The US 10 year yield holds above 2.9 percent.

The rupee fights back a stronger dollar, outperforming other Asian currencies. Bond prices hold steady. Gold was hovering below USD 1,200 on Tuesday and looked likely to fall to its lowest in six months in thin year-end trade, with strong US spending data hurting the metal's safe-haven appeal. The impending tapering of the Federal Reserve's stimulus measures also dimmed gold's allure as a hedge against inflation. Gold is down nearly 30 percent for the year, and is headed for its biggest annual decline in 32 years.

02:59pm GMR Infrastructure off day's high on profit booking GMR Infrastructure shares came off day's high on profit booking. The stock rallied as much as 4.6 percent intraday to Rs 24.95 as the Bangalore-based listed developer is set to sell its entire 40 percent stake in Istanbul's Sabiha Gökçen International Airport for euro 225 million (Rs 1,900 crore) to Malaysia Airport Holdings Berhad (MAHB). MAHB holds 20 percent stake in the Turkey project and Turkey-based Limak Construction holds another 40 percent. The stake sale will help the company to reduce its huge debt which has grown to Rs 40,000 crore. In an interview to CNBC-TV18 on Monday, Madhu Terdal, Group CFO of the company said that proceeds of the sale will be used substantially to reduce their corporate debt and for equity funding of some of their energy projects. (Read the interview here ) Meanwhile, the MAHB has exercised its right of first refusal (ROFR) to acquire the stake in the company and is in the evaluation process. The stock rose 0.42 percent to Rs 23.95 pm the BSE.

02:55pm Power Grid in focus The board of directors of the company approved investment up to Rs 144 crore for eastern region project. The project will be completed in 24 months. The stock fell 0.95 percent to Rs 98.60, down 0.95 percent on the BSE.

02:48pm Wockhardt on Indian pharma industry The Indian pharma industry has seen slew of deals this year – these include companies like Strides Arcolab , Elder Pharmaceuticals , GSK Pharmaceuticals and several non-listed private equity deals such as KKR in Gland Pharma and Blackstone in Emcure Pharmaceuticals. Speaking to CNBC-TV18 on the outlook of this sector, Habil F Khorakiwala, founder chairman & group CEO, Wockhardt said that the pharmaceutical industry is growing rapidly in India and hence it has a great future that is the reason why giant player like GSK is increasing its stake holding at a multiple of 5-10 times of sales in India . He further added that India is becoming a research and manufacturing hub for global pharmaceutical generic companies and Indian companies that have well established base in the generic space like Strides are getting high valuation.

02:38pm HCC talks to CNBC-TV18 Jayanti Natrajan's exit from the environment ministry is viewed by some as the UPA government's olive branch to industry. Ajit Gulabchand, CMD, Hindustan Construction Company, says the move is not just a case of change of guard but a change in the thinking of handling environment protection in the country. He says India lacks objectivity and there have been too many arbitrary decisions taken with reference to environmental nods. Many projects got stalled during Natarajan regime. Gulabchand said there's a need to remove case-by-case approach on environmental clearances. "There's a need to establish procedures with uniform applications," he said on CNBC-TV18. He feels the change of guard may speed up project clearances but many issues on the policy front still need to be adressed. He said it may take another 6 months for investment to pick up.

02:28pm Apollo Tyres hits 52-week high Apollo Tyres shares surge as much as 8.9 percent to their highest since September 2012 as investors bet the Indian company will drop its USD 2.5 billion deal to buy US-based Cooper Tire & Rubber Company, traders say. The merger agreement, signed in June, is valid up to December 31 after which Apollo can walk away from the deal. "We believe that in the event of the Cooper Tire acquisition failing to materialise and no break-up fees is involved, this could be significantly positive for Apollo shareholders," Ambit Capital said in a research note, reports Reuters. The stock rose 7.7 percenet to Rs 100.65 on the BSE.

02:18pm Market Expert The market certainly has the legs to move up. There seem to be more positives than negatives, said Anup Bagchi, MD & CEO at ICICI Securities in an interview to CNBC-TV18 According to him there is possibility of Nifty going to 6700 levels due to pre election rally. However, although the market seems to be supported by a lot of positives like good agri-growth, unchanged rates, currency and current account deficit (CAD) under control, there is fear of slowdown in Gross Domestic Product (GDP) if the government cuts expenditure sharply. IT space continues to remain a top pick for the house and they would also look at investing in select midcap stocks in 2014.

02:08pm Equity benchmarks are marginally under pressure amid volatility in afternoon trade weighed down by HDFC twins. Index heavyweight ITC too slipped into red. The Sensex declined 27.26 points to 21,073.77, and the Nifty fell 5.40 points to 6,279.10. Advancing shares outpaced declining ones by a ratio of 1314 to 968 on the BSE. Bajaj Auto , Aban Offshore , Aurobindo Pharma , Apollo Tyres, Century Textiles, Infosys , SBI and ICICI Bank are the most active shares on exchanges. Shares of Sesa Sterlite and Tata Power lost more than 2 percent followed by HDFC, Wipro , Tata Steel , Hindalco and Hero Motocorp with a 1-1.5 percent loss. HDFC, Tata Motors , ONGC , Sun Pharma and Maruti Suzuki declined more than 0.5 percent. However, Bajaj Auto and BHEL continued to be top gainers, rising 1.7 percent each. Larsen and Toubro , ICICI Bank, Reliance Industries , Infosys, TCS and State Bank of India are other gainers.

1:50 pm Buzzing: Apollo Tyres shares surge as much as 8.9 percent to their highest since September 2012 as investors bet the Indian company will drop its $2.5 billion deal to buy U.S.-based Cooper Tire & Rubber Co(CTB.N), traders say. The merger agreement, signed in June, is valid up to December 31 after which Apollo can walk away from the deal. "We believe that in the event of the Cooper Tire acquisition failing to materialise and no break-up fees is involved, this could be significantly positive for Apollo shareholders," Ambit Capital said in a research note.

1:40 pm RBI's take: The Reserve Bank of India (RBI) could soon unveil a major change in monetary policy as part of a deep review of monetary policy ordered by Reserve Bank of India Governor Raghuram Rajan after his appointment in September, reports Reuters. Due by the end of the month, the report is meant to issue recommendations aimed at sharpening the focus of the central bank and increasing its accountability.

1:30 pm Market outlook: The festive cheer seen in the Indian equity market may continue for some more time, but from a longer term perspective, third quarter corporate earnings in January and the central bank's move on rate hikes are cues one should watch, Manishi Raychaudhuri, MD, Asian Equity Strategist, HOR, BNP Paribas Securities said. In an interview to CNBC-TV18, he said India Inc's Q3 earnings are likely to show some downtick. Earnings growth has been in single digit for last six years, for FY14 it will hover in the 8-10 percent range. On specific stocks, Raychaudhuri likes rural consumption and export-oriented companies. He sees more upside in IT shares from the current level. From the pharma pack, Lupin , Sun Pharma , DRL are his preferred bets. He is overweight on auto sector and is betting on Bajaj , Hero , M&M and Tata Motors .

The market remains volatile ahead of December series expiry on Thursday. The Sensex is up 1.31 points at 21102.34, and the Nifty up is up 3.30 points at 6287.80. About 1261 shares have advanced, 905 shares declined, and 149 shares are unchanged. However midcaps and small caps continue to see buying especially in the pharma counters. Extending its rising streak for third straight day, rupee strengthens on increased selling of dollars by exporters. Bond yields edge lower tracking gains in the rupee, traders say bond gains were also helped by fall in global crude oil prices.

12:55pm Sushil Finance initiates buy rating on Apollo Hospital Sushil Finance initiated coverage with a buy rating on the stock and target price of Rs 976 apiece based on 17 times one-year forward EV/EBITDA. "Apollo is the largest private healthcare service provider in Asia with around 38 owned hospitals and 13 managed hospitals. It has also consistently maintained its growth trajectory with its key operating metrics improving every fiscal. With the company already having an early mover advantage, a healthy BS & strong cash flows from existing hospitals, we think, Apollo will steadily enter a high-growth phase aided by major expansion projects, profitability improvement in its pharmacy business along with highly favorable industry dynamics," Sushil Finance report said. The brokerage house believes Apollo is investing for longer term growth and thereby asserting it position as a leading player in the Indian healthcare service space.

12:50pm Infotech Enterprises surges 4.4% intraday Infotech Enterprises gained 4.4 percent in intraday trade to touch a record high of Rs 348.60 apiece on the BSE. More than Rs 30 crore worth of equity shares changed hands via two block deals. More than 9.3 lakh shares traded at the rate of Rs 327 apiece through these deals. The stock rose 1.41 percent to Rs 338.5 amid large volumes.

12:40pm Titan talks to CNBC-TV18 With consumer sentiment continuing to remain weak, sales across Titan company's various divisions stay sluggish. The Dussehra-Diwali period sales had not been encouraging for the company, and sales in jewellery and watches segments remain flat even in the wedding season, said comapny MD Bhaskar Bhat on CNBC-TV18. However, the company is seeing a consistent growth in utility segment like eyewear. Among watches, Fastrack continues to do well, whereas sales of Titan brand have dipped the most. The company sees the debt levels stabilising around Q4FY14.

12:30pm Brent Update Brent crude stayed above USD 111 a barrel todsay as conflict in South Sudan threatened its oil output at a time when production cuts in Libya are already curbing global supply. Traders also eyed tighter fuel supply as a strike by workers shut a third of France's refinery capacity, boosting gasoline futures in the United States. Brent is on track to close flat this year from 2012 amid a well supplied market and slower fuel demand growth in China, despite outages in Iraq, the North Sea and Libya. West Texas Intermediate (WTI) crude is up 7.5 percent for the year, narrowing its gap with Brent which widened to almost USd 20 earlier this year, as more pipelines diverted oil away from the contract's delivery point in Cushing, Oklahoma, reducing a supply glut. February Brent crude had edged down 1 cent to USD 111.55 a barrel by 0607 GMT, while WTI for February delivery slipped 21 cents to USD 98.70. NYMEX trading will close an hour early today, reports Reuters.

12:20pm Sesa Sterlite in focus Shares of Sesa Sterlite, controlled by billionaire Anil Agarwal, fell 3 percent to a one-week low on Tuesday after the Central Bureau of Investigation (CBI) said it started a probe into possible irregularities in its stake buy in Hindustan Zinc , reports Reuters. A Sterlite unit bought a 26 percent stake in Hindustan Zinc from the government in 2006. The unit now owns 64.92 percent in Hindustan Zinc, while the government has a 29.54 percent stake. "We've launched a preliminary enquiry based on information from some source," said Kanchan Prasad, a spokeswoman for the CBI. "We'll look into documents to see whether there is any prima-facie evidence (of irregularities) or not, and then chargesheet them if needed."

12:10pm Morgan Stanley cuts stake in Bajaj Finserv Bajaj Finserv fell 1.7 percent in intraday trade today. Morgan Stanley Asia (Singapore) reduced its stake in the company from 2.36 percent to 0.11 percent by selling Rs 258.7 crore worth of shares through a block deal on Monday. Morgan Stanley offloaded 35,82,795 equity shares at Rs 722 apiece on the National Stock Exchange. However, Valiant Mauritius Partners purchased 23,08,083 shares at Rs 722 and Valiant Mauritius Partners Offshore 20,46,790 shares at same price through block deals that were worth Rs 314.42 crore. The stock was down 0.81 percent to Rs 713.05.

12:00pm The market is directionless in noon trade as investors are cautious ahead of expiry of December derivative contracts on Thursday. The Sensex advanced 12.21 points to 21,113.24, and the Nifty added 7.60 points to 6,292.10. Advancing shares outnumbered declining ones by a ratio of 1258 to 725 on the BSE. The festive cheer seen in the Indian equity market may continue for some more time, but from a longer term perspective, third quarter corporate earnings in January and the central bank's move on rate hikes are cues one should watch, Manishi Raychaudhuri, MD, Asian Equity Strategist, HOR, BNP Paribas Securities said. In an interview to CNBC-TV18, he said India Inc's Q3 earnings are likely to show some downtick. Earnings growth has been in single digit for last six years, for FY14 it will hover in the 8-10 percent range. Bajaj Auto and BHEL are top gainers in the Sensex, rising over 1.5 percent followed by Larsen and Toubro with a 1 percent upmove. However, Tata Power and Sesa Sterlite fell more than 2 percent. HDFC and Wipro declined 1 percent each.

11:50 am Buzzing: Shares of Jindal Steel and Power (JSPL) fell more than 1.5 percent on profit booking on Tuesday. It rallied 5.5 percent, topping the buying list in the Nifty in previous session. Valiant Mauritius Partners on Monday sold 92,11,895 equity shares at Rs 255 apiece and Valiant Mauritius Partners Offshore offloaded 84,33,027 shares at same price through block deals on the National Stock Exchange. However, Morgan Stanley Asia (Singapore) was the seller, buying 1,76,44,922 shares at Rs 255. The block deal was worth Rs 450 crore.

11:40 am Interview: With consumer sentiment continuing to remain weak, sales across Titan company's various divisions stay sluggish. The Dussehra-Diwali period sales had not been encouraging for the company, and sales in jewellery and watches segments remain flat even in the wedding season, said comapny MD Bhaskar Bhat on CNBC-TV18. However, the company is seeing a consistent growth in utility segment like eyewear. Among watches, Fastrack continues to do well, whereas sales of Titan brand have dipped the most. The company sees the debt levels stabilising around Q4FY14.

11:30 am Market outlook: The market certainly has the legs to move up. There seem to be more positives than negatives, said Anup Bagchi, MD & CEO at ICICI Securities in an interview to CNBC-TV18 According to him there is possibility of Nifty going to 6700 levels due to pre election rally. However, although the market seems to be supported by a lot of positives like good agri-growth, unchanged rates, currency and current account deficit (CAD) under control, there is fear of slowdown in Gross Domestic Product (GDP) if the government cuts expenditure sharply. IT space continues to remain a top pick for the house and they would also look at investing in select midcap stocks in 2014.

The Christmas cheer seems to be muted on Dalal Street today. The Sensex is down 8.50 points at 21092.53, and the Nifty is up 2.05 points at 6286.55. About 1118 shares have advanced, 634 shares declined, and 92 shares are unchanged. The rupee is trading slightly higher tracking gains in Asian and local share indices. Dollar sales by exporters aids although possible dollar purchases by importers are seen to be restricting rupee's rise. Dollar index dropped marginally in thin trade only to bounce back post better than expected economic data. Government bonds are a tad lower amid low trading volumes. Dealers may avoid building positions ahead of Christmas holiday although mild value buying may limit the downside. Asia is trading with strength with the Japanese markets hitting a six year high helped by a weaker yen Commodities saw gold end under USD 1200 an ounce while Brent ended marginally lower sub USD 112 after gaining over 2.5 percent last week.

11:00am Market Update The market is hovering around its previous closing value. The Sensex declined 6.44 points to 21,094.59 while the Nifty rose 1.50 points to 6,286. About 1120 shares have advanced, 615 shares declined, and 89 shares are unchanged. Ranbaxy Labs, BPCL, UltraTech Cement, Lupin and ACC are top gainers in the Nifty, rising 2-3 percent whereas Sesa Sterlite, Tata Power, Jindal Steel, Maruti Suzuki and Hindalco fell 1-3 percent.

10:50am Gold Update Gold was hovering below USD 1,200 today and looked likely to fall to its lowest in six months in thin year-end trade, with strong US spending data hurting the metal's safe-haven appeal. The impending tapering of the Federal Reserve's stimulus measures also dimmed gold's allure as a hedge against inflation. Gold is down nearly 30 percent for the year, and is headed for its biggest annual decline in 32 years, reports Reuters.

10:40am Valiant Mauritius Partners picks 7% stake in Jindal Saw Valiant Mauritius Partners picked up 6.88 percent stake in Jindal Saw on Monday through four block deals while Macquarie Bank and Morgan Stanley sold entire shareholding. Valiant Mauritius Partners bought 78,83,665 equity shares at Rs 48 apiece and 21,88,900 shares at Rs 46.45 on the NSE while Valiant Mauritius Partners Offshore purchased 69,91,175 shares at Rs 48 and 19,41,100 shares at Rs 46.45 apiece. However, Macquarie Bank offloaded 41,30,000 shares or 1.5 percent stake at Rs 46.45 and Morgan Stanley Asia (Singapore) sold 1,48,74,840 or 5.39 percent stake at Rs 48 through block deals. The stock on Monday rallied 8.18 percent to close at Rs 50.25 on the National Stock Exchange. It is up 3.08 percent at Rs 51.80 today, 10:40 hours IST.

10:30am Market Expert The market certainly has the legs to move up. There seem to be more positive than negatives said Anup Bagchi, MD & CEO at ICICI Securities in an interview to CNBC-TV18 According to him there is possibility of Nifty going to 6700 levels due to pre election rally. However, although the market seems to be supported by lot of positives like good agri-growth, rates remain unchanged, currency and current account deficit (CAD) under control but there is one lurking fear or negative that if the government cuts expenditure sharply it could have an impact on Gross domestic product (GDP) for sure. IT space continues to remain a top pick for the house and they would also look at investing in select midcap stocks in 2014, said Bagchi.

10:20am NHPC rises a percent NHPC has entered into a pact with Orissa government to form joint venture for six hydroelectric projects. The Orissa Hydel projects will have a total capacity of 1,020 MW. Meanwhile, the PSU has bought back equity worth Rs 2,368 crore under an offer that ended earlier this month after attracting more shares than targeted. NHPC bought back 123 crore equity shares at Rs 19.25 apiece, the company said. More than 142.6 crore shares were tendered in the offer, which started on November 29 and closed on December 12.

10:10am GMR Infrastructure gains 2% The company is offloading its stake in Istanbul airport. The Bangalore-based listed developer, is set to sell its entire 40 percent stake in Istanbul's Sabiha Gökçen International Airport for euro 225 million (Rs 1,900 crore) to Malaysia Airport Holdings Berhad (MAHB). MAHB holds 20 percent stake in the Turkey project and Turkey-based Limak Construction holds another 40 percent. The stake sale will help the company to reduce its huge debt which has grown to Rs 40,000 crore. In an interview to CNBC-TV18 on Monday, Madhu Terdal, Group CFO of the company said that proceeds of the sale will be used substantially to reduce their corporate debt and for equity funding of some of their energy projects. (Read the interview here ) Meanwhile, the MAHB has exercised its right of first refusal (ROFR) to acquire the stake in the company and is in the evaluation process.

10:00am The market continued to consolidate for the second session today with the Nifty facing resistance at 6300. The volatility in market is on account of expiry of December series on Thursday. The Sensex rose 20.39 points to 21,121.42, and the Nifty advanced 6.80 points to 6,291.30, but the broader markets outperformed benchmarks today as well. The BSE Midcap Index climbed 0.5 percent and Smallcap gained 0.8 percent as two shares advanced for every share declining on the BSE. Indian as well as global equity markets will be closed on Wednesday for Christmas holiday. Shares of Larsen and Toubro, BHEL, NTPC and Bajaj Auto soared 1 percent each. Reliance Industries, Infosys, TCS, Bharti Airtel and Dr Reddy's Labs rose over 0.5 percent. However, Tata Power and Sesa Sterlite plunged more than 2 percent on profit booking. HDFC and HDFC Bank slipped 0.8 percent each while other laggards are ITC, ICICI Bank, Axis Bank, Maruti and Wipro.

10:00 am Buzzing: Shares of NHPC rallies around 1 percent as it has entered into a pact with Orissa government to form JV for six hydroelectric projects. The Orissa Hydel projects will have a total capacity of 1,020 MW. 9:50 am Update: HDFC Mutual Fund will acquire all the schemes of Morgan Stanley MF in India. For the three months to September 30, the average combined assets under management of the eight schemes stood at Rs 3,290 crore, the company said in a statement.

9:40 am FII view: Richard Gibbs of Macquarie says that in the wake of the US Fed's decision to reduce the pace of quantitative easing, the issue of global policy coordination looms large. Earlier capital outflows from several emerging economies have highlighted the risks of uncoordinated shifts in key macro policy settings. Lee Jae Hoon of Mirae Asset Securities says, "The recent incremental net outflows from US bonds, in contrast to the sharp reduction in net outflows from US equities, reflect investors' belief that the negative impact of quantitative easing tapering on US equity flows should be limited."

9:30 am Stock in news: GMR jumped around 5 percent in the BSE. The developer is selling its entire 40 percent stake in Istanbul airport to Malaysia airports holdings for 225 million euros thereby reducing its SPV debt by Rs 1,400 crore.

The market makes mild moves as the Nifty opens below 6300. The Nifty is up 11.95 points or at 6296.45. The Sensex is up 43.33 points at 21144.36. About 305 shares have advanced, 109 shares declined, and 24 shares are unchanged. ONGC , BHEL , Coal India , L&T and HUL are top movers in the Sensex. Among the losers are Sesa Sterlite, Tata Power , Maruti Suzuki, HDFC Bank and ITC . The rupee started off trade with 12 paise gains on Tuesday at 61.83 against the US dollar versus previous day's closing of 61.95 per dollar.

Pramit Brahmbhatt, CEO of Alpari India feels the rupee should continue trading strong today. Positive dollar inflows from FII community and weak dollar in the international markets will also help, he adds. "However month end dollar demand from importers and cautious trading ahead of the holiday season might play a bit of spoil sport. The range for the day seen between 61.60-62.47/USD," Brahmbhatt says. Among the global markets, the US added to gains on Monday with key indices closing at record highs following a rally in tech shares and upbeat economic data.

European markets logged their fourth day of gains. In commodities, following a bout of profit taking in yesterday's session, Brent inched a tad higher today aided by refinery strikes in France and internal strife in producers Libya and south Sudan. While Nymex slipped on continued profit booking ahead of holidays in the US. From the precious metals space, gold hovered below USD 1,200 in early trade and looks likely to fall to its lowest in six months in thin year-end trade, with strong US spending data denting the metal's safe-haven appeal. The impending tapering of the Federal Reserve's stimulus measures also dimmed gold's allure as a hedge against inflation.