Market Commentary

Activity: Key share indices were down nearly 1% as investor’s unwound positions on March derivatives contracts expiry today.

At 10.15AM, Sensex was 15945.96, down 140.87 points, or 0.9%, from previous close. Nifty was at 4822.70, down 18.40 points, or 0.4%.

Tata Motors fell 3% on concerns the company’s buy of Jaguar and Land Rover brands from Ford Motor Co for $2.3 bn will weigh on the company’s earnings for at least a couple of years. Among gainers, NALCO and Hindalco Industries gained 3% each. Suzlon Energy and HDFC Bank fell 3% each. CNX Mid-cap index fell 0.6%, while BSE Small-cap index was up 0.2%.

In the mid trading session, indices were trading mixed after recouping losses, helped by firm European markets. At 3PM, Sensex was at 16048.80, down 38.03 points, or 0.3%, from Wednesday after momentarily stepping into positive territory. Nifty was at 4835.55, up 6.70 points, or 0.1%. Real estate, metal, and FMCG shares led gains. Hindalco rose nearly 7%, while NALCO was up nearly 5%. Unitech and ITC rose 6% and 2%, respectively. Laggards included technology and auto shares. Tata Motors was down 4%, while HCL Technologies, down 6%, was the worst hit on Nifty.

Key share indices ended off lows on gains in heavyweights like Hindustan Unilever and Unitech up 4% each. Trade was volatile as investors rolled over outstanding positions to the April series on expiry of March derivatives contracts today. Sensex closed at 16015.56, down 71.27 points, from previous close. Nifty ended at 4830.25, up 1.40 points, or flat. HCL Technologies and Satyam Computer Services ended down 5% each. IT shares were the worst hit today. CNX Mid-cap index ended down 0.4%, while CNX Small-cap index bucked the weak trend, rising over 1%.

Sector Activity :

Tech stocks showed down trend with exception: Infosys closed down Rs 1441.75 with volumes of Rs 303.97 crs, TCS closed down at Rs 852.50 with volumes of Rs 132.05 crs, Satyam closed down at Rs 395.55 with volumes of Rs 123.34 crs, and Wipro closed up at Rs 429.45 with volumes of Rs 58.74 crs.

Pharma stocks witnessed positivity with exception: Sun Pharma closed up at Rs 1255.15 with volumes of Rs 171.99 crs, Ranbaxy closed down at Rs 433.45 with volumes of Rs 68.78 crs, Cipla closed up at Rs 212.75 with volumes of Rs 60.10 crs, and Orchid Chemical closed up at Rs 126.65 with volumes of Rs 48.83 crs.

Banking stocks ended in Red: In the Public Sector SBI Bank closed down at Rs 1646.60 with volumes Rs 356.11 crs & Bank Of India closed down at Rs 262.90 with volumes Rs 39.43 crs. In the Private sector ICICI Bank closed down at Rs 843.55 with volume of Rs 464.60 crs & HDFC Bank closed down at Rs 1433.20 with volumes of Rs 122.74 crs.

Auto Stocks closed mixed trend: Tata Motors closed down at Rs 655.35 with volumes of Rs 265.33 crs & M&M closed up at Rs 683.15 with volumes of Rs 46.10 crs. While in the 2 wheeler segment stocks, Hero Honda closed up at Rs 686.05 with volumes of Rs 48.33 crs, Bajaj Holding closed down at Rs 617.85 with volumes of Rs 13.69 crs.

Cement Stocks witnessed positive trend with exception: ACC closed up at Rs 823.15 with volumes of Rs 47.30 crs, Ambuja Cement closed up at Rs 122.85 with volumes of Rs 31.14 crs, India Cement closed up at Rs 194.80 with volumes of Rs 18.41 crs and Dalmia Cement closed down at Rs 279.10 with volumes of Rs 17.71 crs.

Nifty ended at 4830 up by 1 point

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