Sensex ends below 20K; IT, realty, infra dip

Equity benchmarks ended sharply lower on Tuesday, pulled down by oil & gas exploration, technology, telecom, capital goods, realty, power and FMCG companies' shares. The Sensex closed below 20,000 level while the Nifty managed to hold 6000 mark. On the positive side, Hero Honda, Cipla, GAIL, BPCL, SAIL, Ambuja Cements, Dr Reddys Labs, Sun Pharma, Tata Motors and ACC witnessed buying interest. The Sensex closed at 19983, down 185 points and the Nifty was at 6027, down 48 points. Even the Nifty October futures turned into discount at end after a long time. _PAGEBREAK_ Sensex tests 20K; IT, telecom, realty, metal dip At 15.18 hrs IST, the Sensex lost nearly 270 points from its intraday high and slipped below the psychological mark of 20000. Heavy selling was seen in IT, telecom, realty, metal and power stocks. On the global front, European markets were flat in trade. However, Nasdaq futures fell 1% and Dow Futures went down just 0.2%. The Sensex was down 163.29 points or 0.81% at 20005.60, and the Nifty was down 43.65 points or 0.72% at 6032.30. About 1453 shares advanced, 1515 shares declined, and 463 shares remain unchanged. In the largecap space, Sesa Goa, Infosys, IDFC, DLF and Hindalco were down 2.5-4%. Cipla, Hero Honda, Ambuja Cements, BPCL and GAIL were up 1-2%. Index heavyweight Reliance was trading at Rs 1,045.35 down 0.34% from its previous close of Rs 1,048.90. Refinery major HPCL was trading at Rs 493.30 up 0.09% from its previous close of Rs 492.85. Tech major Infosys was trading at Rs 3,011.90 down 3.06% from its previous close of Rs 3,107.00. Cigarette major ITC was trading at Rs 170.95 down 0.35% from its previous close of Rs 171.55. Hindustan Lever was trading at Rs 296.50 down 0.35% from its previous close of Rs 297.55. Top gainers on the BSE Midcap: Biocon, ING Vysya Bank, Motilal Oswal, Jyothy Labs and Jain Irrigation were up 5-12%. Top losers on the BSE Midcap: Shree Global, Petronet LNG, Alstom Projects, SpiceJet and Triveni Engg were down 3-8%. Top gainers on the BSE Smallcap: Mangalore Chemicals, Prakash Steelage, Tilaknagar Industries, Steel Strips Wheels and  Gemini Communications were up 9-16%. Top losers on the BSE Smallcap: Intra Infotech, Camlin, JVL Agro Industries, Binani Industries and MSK Projects were down 5-8%. _PAGEBREAK_ Sensex lacklustre; broader indices outperform At 14:11 hours IST - the 30-share BSE Sensex was extremely volatile in trade though it rallied more than 100 points in last half an hour of trade. FMCG, telecom, cement, auto, select banking and oil & gas were on buyers' radar. However, the volatility continued in markets as the sell-off was seen in Infosys, TCS, ONGC, DLF, HDFC Bank, NTPC, Sesa Goa, Hindalco, HDFC, Tata Power and Tata Steel. The broader indices continued to outperform benchmarks; the BSE Midcap Index was up 1.4% and Smallcap up 1.2%. About 2050 shares advanced while 1215 shares declined on BSE. Nearly 166 shares were unchanged. The Sensex was trading at 20280, up 110 points and the Nifty was at 6114, up 38 points. The Nifty October futures were trading at 35 points premium. Jeff Chowdhry, Head of Emerging Equities, F&C Investments said that India is the most favoured one among all the emerging markets. He elaborated, “Global liquidity is in good shape. The problem that most global investors have is that they don’t invest in the developed world because the returns are so low and so where else can they look can they look apart from emerging market. India, as they say, is right at the top of the pile.” Heavyweight Reliance Industries gained 1.4% and ONGC was up 0.3%. BPCL rose 2% as the company announced another gas discovery in offshore Mozambique. Videocon has 10% stake in Mozambique block; the stock went up 2%. HUL and ITC from FMCG space were up 0.7-1.5%. In banking pack, ICICI Bank rallied 2.9% and PNB was up 1.5%; SBI, HDFC Bank, Axis Bank and Kotak Mahindra Bank moved up 0.8% each. Tata Motors, Bajaj Auto (post numbers), Maruti, Hero Honda and M&M from auto segment climbed 0.8-2.6%. BHEL and L&T were marginally in green. In midcap space, Biocon jumped 13.69%. ING Vysya Bank, Motilal Oswal, Jyothy Labs and JM Financial were up 6-10% while S Kumars Nationwide, Alstom Projects, AIA Engineering, Amara Raja Batteries and Manappuram fell 1.8-2%. In smallcap space, Prakash Steelage, Mangalore Chemical, Steel Strips Wheels, Tilaknagar Inds and Hanung Toys rallied 10.5-15% while Prabhav Indust, Tatia Global, Camlin, Empee Distiller and Odyssey Fin slipped 4-5%. Nifty choppy; Cipla, Suzlon, Ambuja Cem, ICICI Bk shine At 13.06 hrs IST, the Nifty was trading volatile within narrow band of 40 points. It was a choppy session for the markets as largecaps failed to gain momentum on either side. The action was mainly seen in the broader markets. European markets too were trading marginally in red. Heavy buying was seen in pharma, auto and banking stocks. Selling was seen in IT, telecom and metal stocks. BSE Midcap and Smallcap index were up 1% each. The Sensex was up 13.95 points or 0.07% at 20182.84, and the Nifty was  10.40 points or 0.17% at 6086.35. About 1847 shares advanced, 1085 shares declined, and 499 shares remain unchanged. In the largecap space, Cipla, Suzlon Energy, Ambuja Cements, ICICI Bank and Dr Reddys Labs were up 1.5-2.5%. On the losing side, Infosys, Sesa Goa, Tata Power, IDFC and Hindalco were down 1-2%. Hindustan Lever was trading at Rs 294.90 down 0.89% from its previous close of Rs 297.55. Index heavyweight Reliance was trading at Rs 1,055.50 up 0.63% from its previous close of Rs 1,048.90. Tech major Infosys was trading at Rs 3,041.15 down 2.12% from its previous close of Rs 3,107.00. Cigarette major ITC was trading at Rs 170.15 down 0.82% from its previous close of Rs 171.55. Refinery major HPCL was trading at Rs 494.50 up 0.33% from its previous close of Rs 492.85. The most active shares on NSE were Bedmutha Industries, Biocon, Infosys, ICICI Bank and Reliance Industries. Top gainers on the BSE Midcap: Motilal Oswal, Biocon, ING Vysya Bank, Man Infra and Federal Bank were up 4-12%. Top losers on the BSE Midcap: Petronet LNG, Rajesh Exports, Den Networks, Manappuram and Indiabulls were down 1.5-2.5%. Top gainers on the BSE Smallcap: Prakash Steelage, Steel Strips Wheels, Pradip Overseas, Visa Steel and Indosolar were up 8-14%. Top losers on the BSE Smallcap: PTL Enterprises, Shree Nath Comm, Prabhav Industries, IT People and Camlin were down 4-5%. Nifty in narrow range; TCS, ITC, Infosys slip At 12:09 hours IST - the 50-share NSE Nifty was lacklustre in trade annd was trading in a narrow range of 6060-6090 due to consolidation. Technology and FMCG companies' shares along with NTPC, HDFC, Tata Power, Hindalco, IDFC and Sun Pharma were witnessing selling pressure. However, the markets were getting support from oil & gas, telecom, auto, healthcare and banking companies' shares along with Sterlite Industries, SAIL and BHEL. The Sensex was trading at 20182, up 13 points and the Nifty was at 6080, up 4 points. The Nifty October futures were trading at 32 points premium. However, the broader indices were outperforming benchmarks; the BSE Midcap and Smallcap indices rose 1% each. Breadth was positive; about 2069 shares advanced while 1196 shares declined on BSE. Nearly 166 shares were unchanged. Robert Parker, Senior Advisor of Credit Suisse said that they are sceptical of investing at current levels in India. According to him, we are likely to see rotation in capital within EMs. Parker said that margin of outperformance of India compared to China is down to 24%. However, he still feels that India and other EMs will end FY11 on a higher note. Top losers - Infosys was trading at Rs 3,037.75, down 2.23%; Tata Power was at Rs 1,373.50, down 1.5%; ITC was at Rs 169.50, down 1.19%; Hindalco was at Rs 208.80, down 1.11%; HUL was at Rs 294.75, down 0.94%; Sesa Goa was at Rs 368, down 1.18% and HCL Tech was at Rs 441.35, down 1.14%. Top gainers - Suzlon Energy was trading at Rs 60.35, up 2.46%; Cipla was at Rs 333.05, up 2.16%; Ambuja Cements was at Rs 139.35, up 1.94%; Bharti Airtel was at Rs 333.05, up 1.77%; ICICI Bank was at Rs 1,135.45, up 1.73%; ACC was at Rs 986.80, up 1.73% and Reliance Communications was at Rs 178, up 1.19%. In midcap space, Motilal Oswal rallied 12.34%. ING Vysya Bank, Biocon, Pipavav and Coromandel International went up 5-9% while Petronet LNG, Rajesh Exports, AIA Engineering, Den Networks and Amara Raja Batteries slipped 1.7-2.2%. In smallcap space, Prakash Steelage, Steel Strips Wheels, Pradip Overseas, Jai Balaji Inds and Hanung Toys gained 7.7-14% while PTL Enterprises, Camlin, Empee Distiller, IT People and JMD Telefilms lost 3.8-5%. Top percentage gainers - Vardhman Inds, Bedmutha Inds, Birla Shloka and Arcotech jumped 19-19.5%. Sensex choppy; RIL, Bharti, ICICI Bank up At 10:44 hours IST - the benchmark Sensex has strengthened a bit amid volatility, on account of buying in banking, cement, auto, healthcare and telecom companies' shares along with Reliance Industries, BHEL, DLF, SAIL and Sterlite Industries. The Nifty was trying to catch 6100 level. But the sell-off in technology and FMCG companies' shares along with NTPC, ONGC, HDFC, Hindalco, Jindal Steel and IDFC capped the gains. Ralph Acampora, New York Institute of Finance is bullish on the Indian market. Acampora said India has potential for another 15-20% upside. He explained, “I think the Indian market for the first half of this year was relatively flat like most other markets, but that flatness set the stage for the strength that you are seeing now. I don't think the strength is over. In fact I would not be surprised if you had at least another 15-20% upside potential, generally speaking for the Indian market.” The Sensex was trading at 20207, up 37 points and the Nifty was at 6089, up 13 points. The Nifty October futures also trimmed down to 22 points from yesterday's 46 points. Top gainers - Bharti Airtel was trading at Rs 334.20, up 2.25%; Cipla was at Rs 333.50, up 2.03%; ICICI Bank was at Rs 1,136, up 1.80%; Reliance Industries was at Rs 1,061.15, up 1.17%; Hero Honda was at Rs 1,829.55, up 1.17%; Suzlon Energy was at Rs 60.45, up 2.63% and Ambuja Cements was at Rs 139.75, up 2.23%. The broader indices were outperforming benchmarks; the BSE Midcap Index was up 1.3% and Smallcap up 1%. In midcap space, Biocon, Motilal Oswal, ING Vysya Bank, PTC India and Shree Ashtavinayak gained 5-9.5% while Rajesh Exports, Himadri Chemical, BASF, Amara Raja Batteries and Kirloskar Brothers fell 1.2-2%. In smallcap space, Prakash Steelage was up 18% and Steel Strips Wheels up 14.04%. Jagatjit Inds, Hanung Toys and Gemini Comm went up 8-9% while Intra Infotech, Camlin, PTL Enterprises, JMD Telefilms and GMR Industries lost 3.4-6%. About 2060 shares advanced while 1185 shares declined on BSE. Nearly 186 shares were unchanged. Nifty volatile after initial spike; broader mkts outperform The benchmark Nifty started the day on a strong note, reacting to pre-market opening session cues but could not hold that gains. Benchmarks turned volatile in trade and were consoildating around previous closing values. At 9:17 hours IST, the Sensex was trading at 20210, up 41 points and the Nifty was at 6087, up 11 points. The CNX Midcap rose 55 points to 9372; about 700 shares advanced while 133 shares declined on NSE. Among the frontliners, Dr Reddys Labs, Reliance Industries (up 1.7%), Sterlite Industries (up 2%), Suzlon Energy, Bajaj Auto (ahead of numbers today), BHEL, Bharti Airtel, HDFC Bank (ahead of numbers today) and Axis Bank were on buyers' radar in early trade. However, HCL Tech (tanked 2%), Infosys, TCS, ITC and HUL were witnessing selling pressure. Midcap & Smallcap space: Biocon surged 8% and Pfizer was up 1.5% post agreement between both companies. Pfizer will make upfront payments totalling USD 200 million and Biocon is eligible to get additional payments of up to USD 150 million. Additional payments linked to sales of Biocon Insulin Biosimilars. Pipavav Shipyard rose 3%. Vijaya Bank gained 2% (out of NSE F&O curb). Kingfisher went up 1.5% and PTC India up 3%. However, Petronet LNG was down 0.8%, Shree Renuka down 0.4% and RCF down 1.5%. CEBBCO (listing on Monday) was down 5% at Rs 107 as against issue price of Rs 127 a share. Results Reaction Essar Oil was up 1.5% and Indiabulls Securities up 0.5%. ING Vysya Bank rallied 8% and Jay Bharat Maruti jumped 9%. Crisil was up 1.8% while Sesa Goa was down 0.7%. Global cues: Asian markets were mixed in trade. Hang Seng was up 0.66% and Nikkei up 0.5%. Straits Times rose 0.2%. Shanghai, Kospi and Taiwan were flat. The US markets gained post rebound in banking stocks led by positive results and comments from Citi. The Dow Jones Industrial Average ended up 81 points at 11144. The Nasdaq Composite was up 12 points at 2481 and S&P 500 Index up 9 points at 1185. Commodities November crude oil contract was up 2.3% at USD 83.08 a barrel November natural gas contract was down 1.4% at USD 3.43 per MMBtu; traded to a fresh 13-month low December gold contract ended up fractionally higher at USD 1372.1/ounce December silver contract rose 0.8% at USD 24.41/ounce F&O cues: Futures Open Int up Rs 1327 crore, Options Open Int was up Rs 749 crore Nifty futures add 7 lakh shares in Open Int, at 46-point premium Nifty Open Int PCR at 1.26 versus 1.28 Nifty Puts shed 3.7 lakh shares, Calls add 13 lakh shares in Open Int Nifty 6100 Put adds 5 lakh shares in Open Int Nifty 6300 Put sheds 10.8 lakh shares in Open Int Nifty 6200 Put sheds 7.8 lakh shares in Open Int Nifty 6000 Call adds 10 lakh shares in Open Int Nifty 6100 Call adds 5.5 lakh shares in Open Int Stock futures add 2.4 crore shares in Open Int