Nifty ends below 5200, Sensex loses 309 points; Re @ 51.42/USD

The BSE Sensex could not see any resurrect on Monday even after falling in previous five consecutive weeks. Rising bond yields, falling rupee and GAAR issues remained tricky aspects leading to yet another weak closing.

The market ended at two-month low. The BSE benchmark fell 308.96 points or 1.78% to close at 17,052.78, with all 30 stocks closing in the red. The NSE benchmark closed down 93.95 points or 1.78% at 5,184.25, underperforming global peers. European markets were moderately higher.

The Indian rupee depreciated by 25 paise to 51.42 a dollar while 8.79% 2012 yield rose by 0.05 to 8.42 ahead of announcement of government's market borrowing calendar for first half of FY 2013 this week.

According to Ambareesh Baliga of Way2wealth, the market is surely worried due to some of promissory-notes selling and some sort of advance selling by local investors.

With new General Anti-Avoidance Rules (GAAR) coming into effect from April 1, which will make P-Note based transactions taxable,  the market saw widedpread selling by foreign institutional investors. Foreign institutional investors (FIIs), including Mauritius based FIIs, will need to revaluate all PNs/ offshore derivative instruments now.

Baliga further said, the market could break most important 200 day moving average at about 5170 and could look at levels of about 5000-5050.

All sectoral indices closed in the red; the BSE Realty hit quite badly, falling 3.6%. Power, Bank, Metal, Oil & Gas and Capital Goods indices were down 1.8-2.6%.

ICICI Bank, country's largest private sector lender plunged 4.3% while rivals State Bank of India and HDFC Bank fell 1-2%. Housing finance company HDFC slipped 1.5%.

Oil & gas producers and index heavyweights Reliance Industries and ONGC dropped 2% each. Engineering and construction major Larsen & Toubro was down 1.77% and state-run Bharat Heavy Electricals lost 3%.

Tata Consultancy Services and Infosys, India's top software service exporters were down 1.7% while telecom player Bharti Airtel tumbled 2.3%.

NTPC, country's largest power generation company and Tata Power, No. 1 private power producer plummeted over 3.5%.

Shares of Bajaj Auto, Sterlite, Cipla and DLF among other largecaps tanked 3.5-4%.

However, Kotak Mahindra Bank rose 1% post block deal. Warburg Pincus sold 2.65 crore shares at Rs 530 a share on BSE via block deal.

Jaiprakash Associates outperformed other infrastructure stocks, rising 3% after the company received two contracts worth Rs 913 crore.

In the second line shares, Indiabulls Real Estate and HDIL plunged 6-7% after cash strapped Maharashtra government proposed to hike stamp duty on leave-license to 0.1% on market value or 1% of the average annual rent or deposit paid, whichever is higher, for residential properties. For commercial properties, the duty proposed is 0.4% for lease agreements over 60 months. This is a whopping 160 times hike from the previous fixed amount of Rs 25,000 for residential and Rs 50,000 for commercial properties for 60 months.

EIH Associated Hotel shot up 6% amid heavy volume as the company will consider rights issue and merger of company's wholly owned unit, Maharaj with itself.

Manappuram Finance crashed 11% today, which had fallen 20% last week after the RBI tightened rules for gold financing companies

About two shares declined for every share gaining on the BSE. The BSE Midcap and Smallcap indices were down 1.4-1.6%.

At 14:53 hours IST: Sensex crashes 300 pts; rupee touches 51.43/$

The BSE Sensex stayed under pressure in afternoon trade as selling across sectors weighed on the market while the NSE Nifty was struggling at 5200 level. The Indian rupee too extended its fall, losing 26 paise to 51.43 a dollar.

Shares of country's largest private sector lender ICICI Bank, largest private power producer Tata Power and London listed Vedanta group's Sterlite Industries tumbled 4-4.5%. BHEL, Cipla, Hindalco, DLF and NTPC tanked 3-3.6%.

The BSE benchmark dropped 1.77% or 307 points to 17,055 and the NSE benchmark was down 96 points to 5,182, underperforming global peers due to GAAR related selling.

New General Anti-Avoidance Rules (GAAR) provisions will be applicable from April 1, which means P-Note based transactions will now be subject to tax. Accordingly foreign institutional investors (FIIs) are revaluating all their PNs/ offshore derivative instruments now. Mauritius based FIIs will need to reassess strategy.

Oil & gas producers and index heavyweights ONGC and Reliance Industries slipped 1.9% each.

Shares of Infosys, TCS, Larsen & Toubro, SBI, Tata Motors, HDFC Bank, HDFC, Bharti Airtel and Tata Steel were down 1-2%.

Tilaknagar Industries tanked 4% after Tamil Nadu government proposed 14.5% tax on alcohol purchased from bars and restaurants while there is no tax on alcohol from TASMAC (Tamil Nadu State Marketing Corporation which enjoys monoploly in retail of Alcohol).

About three shares declined for every share rising on the National Stock Exchange.

At 13:35 hours IST: Sensex moves towards day's low; Bank Nifty tanks 2.5%

The NSE Nifty moved towards day's low again as the European markets slipped after initial gains. The Bank Nifty tanked 2.5% as its components like ICICI Bank, Axis Bank, Union Bank and Canara Bank lost 3-4%. PNB, Bank of India, SBI, IDBI Bank, HDFC Bank and Bank of Baroda were down 1.5-2.8%.

The BSE benchmark plummeted 290 points or 1.67% to 17,071.66 and the NSE benchmark was down 1.69% or 89 points to 5,189.15.

Tata Power, country's largest private power producer tumbled 4%. Telecom services provider Bharti Airtel slipped 1.7%.

Oil & gas producers and index heavyweights Reliance Industries and ONGC were down 1.6% and 1.4%, respectively.

Country's largest software services exporters Tata Consultancy Services and Infosys declined 2% and 1.4%, respectively.

Tata Motors, owner of luxury brand Jaguar & Land Rover tanked 2%. Capital goods majors L&T and BHEL fell 1.5-2%.

However, shares of Jaiprakash Associates rallied 3% after the company received orders worth Rs 913 crore from Bhutan. Kotak Mahindra Bank too gained 1.8% after a block deal; Warburg Pincus sold 2.65 crore shares at Rs 530 a share.

At 12:40 hours IST: Sensex off day's low; SBI, Reliance most active

The BSE Sensex continued to trade sharply lower since early trade, though it showed somewhat recovery from day's low. Shares of ITC and Wipro outperformed, rising 0.6% each.

The BSE benchmark slipped 204 points to 17,157.53, which recovered more than 80 points from intraday low. Meanwhile, the NSE benchmark was down 63 points to 5,214.90.

Varatharajan Sivasankaran of ICICI Securities expects India to underperform against its peers globally due to weak macro economics conditions. European markets started off trade with 0.4% gap up.

Back home, shares of Tata Power, IDFC and ICICI Bank topped the selling list, losing 3.5% among largecaps. NTPC, Sesa Goa, DLF and Tata Motors were down 2-3%.

Major largecaps like Reliance Industries, TCS, SBI, Infosys, L&T, HDFC Bank, HDFC and ONGC declined 1-1.4% while Jaiprakash Associates shot up 3% and Kotak Mahindra Bank rose 1.8%.

Most active shares on exchanges were Kotak Mahindra Bank, Cipla, State Bank of India, Vikas WSP, Reliance Industries, Tata Motors, ICICI Bank and JSW Steel.

The BSE Midcap and Smallcap indices fell 0.8% each as about two shares slipped for every share gaining on the BSE.

In the second line shares, Indiabulls Real Estate, Oberoi Realty and HDIL slipped 2-4.5% after The Times of India reports that the Maharashtra government plans 160 times hike in stamp duty for leave and licence properties.

Among smallcaps, EIH Associated Hotel shot up 16% as the company will consider rights issue and merger of company's wholly owned unit, Maharaj with itself.

Hinduja Foundries, Shristi Infra, Sanwaria Agro and EPC Irrigation gained 6-13% while Varun Industries, Shrenuj and Company, Rasoya Protein, Kalyani Invest and Shree Ganesh Jewellery dropped 6-10%.

At 11:54 hours IST: Sensex cracks 1.5%; Kotak Mah, JP Associates outperform

The BSE Sensex plunged more than 250 points due to fresh waves of selling in index heavyweights. Tata Power, country's largest private power producer topped the selling list, falling 4%. The Indian rupee depreciated by 15 paise to 51.32 a dollar.

The 30-share BSE benchmark was down 269 points or 1.55% to 17,092.87 and the 50-share NSE benchmark fell 83 points to 5,195.55.

Private sector lender ICICI Bank dropped over 3% as high oil prices are sparking fears of a delay in rate cuts from the RBI, and adding to caution ahead of the government's borrowing calendar due this week. State Bank of India, HDFC and HDFC Bank were down 1.5-2%.

Oil supply disruptions from countries including Iran, Syria and Yemen have supported oil prices this year, with Brent crude rising 16% so far this year, though prices were slightly lower on Monday on hopes of a possible resumption in production from South Sudan.

"Inflation fears led by high oil prices are capping the chances of a rate in cut in April," said Jitendra Tolani, Institutional sales trader at Jaypee Capital Services.

Index heavyweights Reliance Industries, ONGC and Infosys lost over 1%. TCS, country's largest IT exporter slipped 2%.

Engineering and construction major Larsen & Toubro and state-run Bharat Heavy Electricals dropped nearly 2%. However, high beta stock Jaiprakash Associates shot up 2% as the company bagged two orders worth Rs 913 crore from Bhutan.

About three shares declined for every share rising on the National Stock Exchange.

Stocks in news

Gammon Infrastructure received order from NHAI worth Rs 935 crore; the stock surged 7% amid heavy volume.

Kotak Mahindra Bank was up 1.5% after a block deal. Warburg Pincus sold 2.65 crore shares at Rs 530 a share on BSE via block deal.

Deep Industries shot up 6% after the company signed contract with Government of Indonesia awarding coal bed methane blocks for exploration of gas for the period of 30 years.

Tata Metaliks rose 1% ahead of board of directors meeting to consider the issue and allotment of preference shares today.
 
Varun Industries locked at 10% lower circuit on rumours that pledged shares by promoters may have sold in the open market. It had fallen 20% on Friday.

At 10:43 hours IST: Nifty near 3-week low, tests 5200; ICICI tops sell list

The NSE Nifty fell below the 5200 level - nearly three-week low - due to consistent fall in index heavyweights ICICI Bank, Reliance Industries and Bharti Airtel. SBI, Infosys, TCS and L&T too were under pressure while Jindal Steel retained its top position in the buying list, rising 1.5%.

Kotak Mahindra Bank too gained 1%, even after private equity firm Warburg Pincus sold 2.65 crore shares of the company at Rs 530 a share on BSE via block deal. Jaiprakah Associates rallied nearly 2% as the company received two contracts worth Rs 913 crore from Bhutan.

The BSE benchmark tumbled 254.45 points or 1.47% to 17,107.29. Meanwhile, the NSE benchmark was down 80.90 points or 1.53% to 5,197.30 led by 46 stocks. However, the Indian rupee depreciated by 12 paise to 51.29 a dollar.

All sectoral indices were in bear grip; the BSE Realty Index tanked 2% whereas Bank, Power and Oil & Gas indices slipped 1.6-1.8%.

India's largest private sector lender ICICI Bank dropped more than 3% while others like Reliance Industries, Infosys, TCS, HDFC, HDFC Bank, Tata Motors, Bharti, L&T, SBI and ONGC were down 1-2%.

Declining shares outnumbered advancing by 1334 to 849 on the BSE. The BSE Midcap Index was down 0.7% and Smallcap down 0.5%.

In the second line shares, Hotel Leela, Alstom T&D, EIH, Vaarad Ventures and Max India were up 4-9% while Manappuram Finance, State Bank of Bikaner, DB Realty, HDIL and Pantaloon Retail lost 4-9%.

At 9:56 hours IST: Sensex loses 1% on broadbase selling; JSPL gains

The BSE Sensex shed more than 200 points led by further fall in banks, technology, oil & gas and capital goods stocks. The broader markets were down over 0.5%.

The 30-share BSE benchmark dropped 202.57 points to 17,159.17, weighed down by 28 stocks. Meanwhile, the 50-share NSE benchmark tanked 61 points to 5,217.10.

Given that the Budget was at best mediocre, and that fiscal deficit looks like it will come in around 5.3-5.5%, Sandeep Shah of Sampriti Capital says that the downside for the market is around 5000-5200. "However, if global economic data weakens, Nifty may correct below 5000," he added.

Index heavyweights and oil & gas producers Reliance Industries and ONGC fell over 1% each.

Country's largest private sector lender ICICI Bank tanked 2.7% while rivals State Bank of India and HDFC Bank were down 1%.

Tata Consultancy Services and Infosys, country's largest software services exporters tumbled 2% and 1%, respectively.

Capital goods majors Larsen & Toubro and BHEL lost 1.5-2%. Bharti Airtel, India's largest telecom player was down 1.5%.

However, shares of Jindal Steel (may be on short covering) and Maruti outperformed, rising 1.4% and 0.4%, respectively.

At 9:19 hours IST: Sensex falls over 100 pts on opening; banks, Reliance down

The BSE Sensex dropped over 100 points in early trade, weighed down by banks, capital goods, FMCG and technology stocks. Index heavyweight Reliance Industries too slipped more than a percent.

The BSE benchmark was down 145 points at 17,216.39 and the NSE benchmark fell 42.55 points to 5,235.65.

Among frontliners, Bharti Airtel, ICICI Bank, IDFC, Reliance Industries, Coal India, NTPC, SBI, HDFC, HDFC Bank, ITC, L&T, BHEL, Infosys and HUL wer under pressure.

However, Jaiprakash Associates was up 1.5% after the company bagged two contracts worth Rs 913 crore from Bhutan.

Jindal Steel & Power, Kotak Mahindra Bank, Sterlite and Hindalco outperformed.

In the second line shares, Indiabulls Real Estate, Oberoi Realty and HDIL slipped 2-3% after The Times of India reports that the Maharashtra government plans 160 times hike in stamp duty for leave and licence properties.

Lanco Infratech gained after The Economc Times reports that Blackstone, Carlyle and 3i are eyeing stake in company's power business.

Hexaware was down 1.5% post sources say that Citi is likely to have scaled down its contract with the company due to Citi's consolidation strategy.

Manappuram Finance tanked 4% and Muthoot Finance was down 1%.

GMR Infra, Voltas and IVRCL were down 1-2%.

However, EIH rallied 4%. EIH Associated Hotels shot up 5% as the company is going to consider rights issue and will consider merger of company's wholly owned unit, Maharaj with company.

Among other hotel stocks, Hotel Leela too jumped 8%.

Shree Renuka Sugars and Bajaj Hindusthan gained over 1.5% as EGoM headed by Finance Minister will meet today to decide on allowing additional export up to 1 million tones of sugar in the 2011-2012 marketing year.