Sensex moves in tight band amid lackluster trades

Last Updated: Tue, Oct 23, 2012 05:59 hrs

The market is moving in a tight band amid lackluster trades this morning with investors largely staying away on the sidelines, choosing to wait for some clear signals to emerge.

Wall Street closed on a weak note on Monday amid a slew of disappointing earnings reports and the mood on the Asian bourses too is quite subdued today.

At 18,763.04, the Sensex is now down 30.40 points or 0.16% from its previous closing mark. The Nifty is down 9.45 points or 0.17% at 5707.70.

Capital goods stocks are steady, thanks largely to upbeat quarterly results from Larsen & Toubro. Healthcare and realty stocks are finding some support.

PSU stocks saw some brisk buying this morning ahead of the meeting of several PSU chiefs with Prime Minister Manmohan Singh. The meeting has be convened to discuss capital expenditure plans, as well as issues hurting growth of their respective industries.

Several PSU stocks, including HMT, ITI, MMTC, STC, Hindustan Copper, Dredging Corporation of India and CCL moved up smartly in opening trades on fairly strong buying enquiries.

Bank, power, metal and FMCG stocks are mostly trading flat. Information technology, automobile and oil stocks are trading slightly weak. Consumer durables stocks are reeling under a bout of selling pressure.

Larsen & Toubro is trading 1.8% up, extending previous session's gains. following upbeat results. Siemens, Thermax, AIA Engineering, Alstom T&D, Jindal Saw and Praj Industries are also up with strong gains.

Cipla, Lupin, Strides Arco and Wockhardt are among the notable gainers in the healthcare space. Biocon, IPCA Laboratories, Dr Reddy's Laboratories and Cadila Healthcare are also trading firm, while Aurobindo Pharma, Glenmark Pharmaceuticals and Sun Pharmaceutical Industries are trading weak.

BPCL, IDFC, Cairn India, Punjab National Bank, Ambuja Cements and Sesa Goa are up with modest gains.

Hero Motocorp, Kotak Bank, Reliance Industries, Jindal Steel, Infosys, HDFC Bank, HCL Technologies, ACC, Bajaj Auto, ITC, GAIL India, ONGC, Tata Power and Mahindra & Mahindra are trading weak.

Tata Coffee rallied to Rs 1,058, gaining 5%, following an announcement from the company that its consolidated net profit more than doubled to Rs 65 crore in the quarter ended September 2012. Tata Group Company had profit of Rs 31 crore in previous year quarter.

The consolidated operating income rose by 19% at Rs 891 crore on year-on-year basis, Tata Coffee said in a filing. The company attributed the results to thanks to improved income through its instant coffee operation which continues to show a substantial growth, as also better operating result from coffee plantations.

BASF Limited shares jumped after the company reported a net profit of Rs 28.1 crore for the second quarter ended September 30, down from Rs 34.2 crore posted in the same period of the previous year.

In the currency market, the rupee advanced to 53.36 against the U.S. dollar in early trade at the Interbank Foreign Exchange on continued selling of the American currency by exporters and banks.

On Monday, the rupee had ended at 53.47, gaining 37 paise, in the process.

More from Sify: