Wednesday, the Indian market is trading in the red after opening higher in the morning. While a recovery in the other Asian markets helped the market open firmer in the morning, it pared all its gains on profit taking amid uncertainty in the global markets and a slowdown in the domestic economy. A weak rupee and concerns of capital outflows are also weighing on investor sentiment.
The BSE Sensex opened higher at 8,473 and rose to a high of 8,485 before paring its losses. The index is now trading in negative territory at 8,400, down 27 points or 0.32% and the S&P CNX Nifty is trading at 2,621, down 0.06%.
On the BSE, the market breadth is slightly negative, with 647 advancers compared to 712 stocks that are declining. The mid-cap, the small-cap and the broad-based BSE 500 indexes are trading almost flat. Select metal, realty and banking stocks are showing gains, while oil/gas, technology and IT stocks are coming under selling pressure.
Among the major gainers, ACC is moving up 3.19%, Sterlite Industries is gaining 2.63%, Grasim Industries is adding 1.66%, TCS is advancing 1.53% and HDFC is rising 1.46%.
Reliance Infrastructure, Hindalco, HDFC Bank, Ranbazy Laboratories, ONGC, ICICI Bank, DLF, ITC and Wipro are the other prominent gainers.
However, Tata Power, Sun Pharma, Reliance Industries, Bharti Airtel, Infosys, NTPC, Tata Motors, Hindustan Unilever and Maruti Suzuki are trading in the red.
Jaiprakash Associates is rising 1.66% on reports that it will hire 2,000 people in 2009 for its ongoing expansion projects and that it has plans to give performance bonus and salary hikes to its existing employees this year.
Satyam Computers is down 1.02% amid reports that the government-appointed board has asked the SEBI to allow the successful bidder to take control of the company before the completion of the offer.
Mahindra & Mahindra is up 0.99% following reports that it is looking to grow business from the defence sector through global partnerships. Jet Airways is gaining nearly 1% following reports that it could lease out more aircraft to foreign airlines.
Eicher Motors is adding 1.07% after VE Commercial Vehicles, the joint venture between Eicher Motors and Sweden's Volvo, passed on an excise duty cut of 2% to its customers.
Stocks of oil-exploration companies are trading mixed after crude oil price jumped nearly 4% in New York trading on Tuesday. ONGC is rising 1.41% and Cairn India is moving up 1.26%, but Reliance Industries is losing 0.58%.
