Sensex comes off higher levels; Cipla up 3%

Sensex comes off higher levels; Cipla up 3%

Last Updated: Thu, May 16, 2013 07:29 hrs
Investors watch share index at local share trading market in Chandigarh

The market has pared most of its gains in early afternoon trade, due to profit taking in several front line stocks. Though there are expectations that the central bank will consider some monetary easing following the decline in wholesale price inflation, investors have turned a bit cautious today amid doubts about the market's near term prospects following the hectic upmove on Wednesday.

The Sensex is now up just 25.37 points or 0.13% at 20,238.33, nearly 90 points down from the day's high of 20,326.48. The Nifty, which rose to 6187.30 earlier in the day, is now at 6165.20, up 18.45 points or 0.3% from its previous close.

FMCG and information technology stocks are among the most prominent losers. Consumer durables and automobile stocks are off their highs. Metal stocks too have given up a good portion of their gains.

Capital goods, bank, oil, healthcare and realty stocks continue to trade firm. While midcap stocks are fairly steady, smallcap stocks have retreated after a firm start. The market breadth is slightly negative.

ITC is down with a loss of 2.7% at Rs 333. NMDC, Jindal Steel & Power, Infosys and Tata Consultancy Services are down 1.5% - 2%. Tata Motors, Hero Motocorp, HCL Technologies, Sun Pharmaceutical Industries and Hindustan Unilever are also trading notably lower.

Cipla is up nearly 3% at Rs 422.60 following an announcement from the company that the shareholders of Cipla Medpro South Africa have approved the takeover offer of company. Earlier this year, Cipla had made a cash offer to acquire 100% shareholding of Cipla Medpro, and its shareholders have now approved the takeover offer from Cipla at 10 Rand per share. The move would help Cipla to integrate its marketing or front-end arm in South Africa with its manufacturing, regulatory and research units, they had added.

Larsen & Toubro is trading higher by a little over 1% at Rs 1597 on new order wins. L&T Construction has won new orders valued over Rs2542 crores across various business segments in April and May 2013.

Jaiprakash Associates is up with a strong gain of 4.6%. Dr Reddy's Laboratories and IDFC are trading higher by 3.3% and 3.2%, respectively. Grasim Industries, Reliance Infrastructure, State Bank of India, Reliance Industries, ICICI Bank, Lupin, Bank of Baroda, BPCL, Ranbaxy Laboratories, ACC, IndusInd Bank, Axis Bank, Tata Steel, Power Grid Corporation, ONGC and BHEL are also trading notably higher.

Manappuram Finance shares are down more than 8% following the company reporting a loss of Rs 141 crore in the fourth quarter ended March 31, 2013 due to rising non-performing assets and lower income from operations. The non-banking finance company had registered a profit of Rs 187 crore in the corresponding quarter last year.

More from Sify: