With the mood remaining bearish, the market, which opened lower on weak global cues, continues to languish in the red. Though a few blue chips from information technology, FMCG and oil sectors edged higher on modest support, the market faltered subsequently due to fairly heavy selling in metal, power, capital goods and realty stocks.
Bank and consumer durables stocks are also trading weak. Healthcare and automobile stocks are trading mixed. Midcap and smallcap stocks are mostly subdued this morning.
Reliance Infrastructure is trading lower by over 3%. Jaiprakash Associates, Jindal Steel, Bharti Airtel, ACC, Tata Steel, Ambuja Cements, Maruti Suzuki, HDFC, Tata Power and Bajaj Auto are down 1.5% - 3%.
Tata Consultancy Services is trading 1.3% up on expectations of fairly good quarterly results. Infosys has come off its earlier high, but still holds in positive territory.
Reliance Communications Ltd has set an indicative price range for the Singapore initial public offering of its undersea cable unit that could raise as much as $1 billion and help the parent reduce its debt load, according to reports. Reliance Communications is planning to raise $700-1000 million via listing its subsidiary Flag Telecom in Singapore, say reports. The underseas cable company is likely to offer 642.2-757 million shares at $1.09-1.32 a piece. The Reliance Communications stock is currently trading at Rs 66.90, down 2.4% from its previous closing price.
TVS Motor Co shares moved up 4% on reports that the company is in talks with German auto maker BMW AG’s motorcycle division, BMW Motorrad, to source technological know-how for developing high-end motorcycles.
Engineers India surged more than 5% on strong buying at the counter after the company said it has secured Rs 720-crore consultancy services contract from Bharat Petroleum Corporation Ltd for the Integrated Refinery Expansion Project (IREP), Kochi.
According to the deal, the project involves enhancing the crude oil refining capacity from 9.5 million tonnes per annum to 15.5 mtpa, Engineers India said in a statement to the stock exchanges.
In the currency market, the partially convertible Indian rupee drifted down by 48 paise to 55.90 against the U.S. dollar in early trade today, extending losses for the fourth day in a row on the Interbank Foreign Exchange on increased demand for the American currency.
Weak global economic outlook and lower opening in the stock markets too hurt the rupee to a notable extent. On Friday, the rupee had ended at 55.42 against the greenback.