Market Opens Higher

The market today opens higher but suddenly lost ground and slipped into the negative territory. The selling pressure is seen in the selective scrips mainly led by the IT, Auto and FMCG stocks. However, the significant buying is witnessed in the Capital Goods, Realty and Power stocks. The broader market managed to is trade higher and has surpassed the benchmark index in the opening trade.

The overall market breadth is positive as 1464 stocks are advancing whereas 337 stocks are declining on BSE.

At 10.30AM, the BSE Sensex was up by 24.78 points at 17,624.90 and the Nifty was down by 2.85 points to 5,225.35.

The BSE Mid Cap increased by 79.04 points to 7,316.51 and the BSE Small Cap advanced by 50.84 points to 8,872.56.

L&T reported the top gainer from the BSE Sensex pack. It is trading with a gain of 3.09% at Rs.3232 while Tata Motors reported the top loser down by 2.38% at Rs.674.

BSE Capital Goods index surged by 187.94 points to trade at 14,432.81. The major gainers are L&T, Havells India, BEML and BHEL grew by (3.09%), (1.36%), (0.94%) and (0.56%) to Rs.3,232, Rs.506.95, Rs.1,115.70 and Rs.1,920 respectively.

BSE IT index dropped by 33.93 points to trade at 4,324.65. The top losers are Wipro declined by (1.47%) to Rs.494.85, HCL Technologies decreased by (1.45%) at Rs.292.75 followed by TCS and Infosys Technologies down by (1.35%) and (0.48%) to Rs.931 and Rs.1,778.95.

L&T is trading higher by (3.09%) at Rs.3,232. The company is set to revamp its corporate structure to create a dozen operating companies in order to fend off hostile bids.

Mkts: Bharti Airtel, Infosys Decline Sharply

The Sensex, which moved up sharply after a cautious start this morning, has pared most of its gains now due to stiff resistance encountered by a few blue chip stocks at higher levels.

Even as the Sensex hangs on in the positive territory with a small gain of 13.79 points at 17,029.75, the Nifty has slipped into the red to 5086.30, netting a small loss of 3.35 points.

Information technology, power, capital goods and FMCG stocks remain subdued. Metal stocks, which opened on a high note, continue to rule firm. Select pharma, consumer durables, PSU, auto and bank stocks have also posted notable gains.

Not much buying is seen in midcap and smallcap segments at present. The market breadth is marginally positive. Out of 2031 stocks traded on BSE this morning, 1097 stocks have posted gains. 886 stocks are down in the negative territory and 48 stocks trade flat.

Tata Steel (up 2.7% at Rs 798.50) remains the top gainer in the Sensex despite having come off its high of Rs 808.50. Jaiprakash Associates is up nearly 2% at Rs 256. Ranbaxy Laboratories, Hindalco and Cipla are up by 1% - 1.25%.

ACC, State Bank of India, ONGC, Wipro, Grasim Industries, ICICI Bank, ITC, Maruti Suzuki and NTPC hold on in the positive territory with modest gains. Ambuja Cements, Reliance Industries, Tata Motors, DLF and Larsen & Toubro are up marginally over their previous closing levels.

Bharti Airtel has slipped nearly 2% to Rs 909.80. Infosys Technologies is down with a loss of 1.3%. BHEL has declined 1.25% to Rs 1844. Tata Consultancy Services, Reliance Communications, HDFC Bank and Reliance Energy are down by 0.5% - 0.75%. Hindustan Unilever, Satyam Computer Services, Tata Motors and Mahindra & Mahindra are also down in the red, albeit with marginal losses.

Reliance Industrial Infrastructure, Engineers India, Glenmark Pharmaceuticals, Bharat Electronics, Sesa Goa, Titan Industries, Chennai Petroleum Corporation, Deccan Aviation, Lanco Infratech, Gammon India, Bhushan Steel, Aditya Birla Nuvo, Tata Communications, United Phosphorus, Reliance Capital, Dr. Reddy's Laboratories, Century Textiles and Canara Bank have posted sharp gains.