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Rediff.com  » Business » Markets end flat, IT shares end higher

Markets end flat, IT shares end higher

Last updated on: June 10, 2013 16:24 IST

The markets ended the day on a flat note after a volatile session of trade. The Sensex changed directions several times over the day with visible strength in IT shares while auto and FMCG stocks declined.

The BSE benchmark ended at 19,441 - up just 11 points. Nifty ended down three points at 5,878.

 Meanwhile, the rupee today fell by a whopping 90 paise to hit a new life-time low of 57.96 in the late noon trade on persistent dollar demand from importers and and banks amid the US currency gaining overseas.

However, Economic Affairs Secretary Arvind Mayaram told reporters that "if you see weakening of all currency vis-a-vis dollar, rupee is also not unaffected in that sense. But I think this is panic (in) the market which is unwarranted."

Foreign institutional investors (FIIs) bought shares worth a net Rs 157.90 crore on Friday, according to data available with the stock exchanges.

Most Asian stocks edged higher on Monday after a report showed the US added more workers than expected last month. Japan's Nikkei share average jumped 4.9 percent on Monday, marking its biggest one-day gain since March 2011, after U.S. jobs data eased growth concerns but was not strong enough for the Federal Reserve to scale back massive stimulus. Mainland Chinese markets are closed from today till Wednesday for the Dragon Boat Festival.

BSE IT index was the top gainer - up 1% at 6,200. The IT index gained as the dollar strengthened. The US is the biggest market for IT services firms such as TCS, Wipro and Infosys.

According to Nandish Patel, Derivative Analyst, Sharekhan, “As mentioned earlier overall IT stocks are looking extremely positive. HCL Tech is looking good for 2-3 days. One can buy HCL Tech Call option strike 760 at 16 with Sl of 12 & Targets of 20-25. Sharp selling was seen in Titan from the levels of 300. Aggressive short position has seen adding on rise. However, 260 is the good levels to watch on lower side & I think there will be a technical bounce or some short covering in Titan.”

Oil and gas index was up marginally at 5498. On the other hand, BSE consumer durables index shed 2% at 7,230. Realty, bank and metal shares also showed some pressure.

From the IT pack, Wipro and Infosys gained 1.6-2% each. While Wipro ended at Rs 343, Infy settled at Rs 2,487. TCS, meanwhile, ended flat at Rs 1,526.

Bajaj Auto ended up 1.3% at Rs 1,769. NTPC, HDFC added 1.5% each, followed by HDFC Bank, M&M, ITC and Reliance.

On the other hand, Jindal Steel shed 4.5% to end at Rs 267. BHEL ended down 3% while Tata Motors and Maruti slipped 2% each.

Jet Airways India dipped 11% to end at Rs 404 ahead of regulatory meet to decide on approval for Jet’s stake sale to Gulf carrier Etihad Airways. The Foreign Investment Promotion Board (FIPB), headed by Economic Affairs Secretary Arvind Mayaram, on Tuesday will take a call on the Rs 2,000 crore Jet-Etihad deal, the largest foreign investment in the Indian aviation sector, the PTI report suggests.

Bombay High Court today directed YES Bank to advance its board meeting to June 27 to consider appointment of Shagun Kapur Gogia as the director on the board. Earlier YES Bank was to hold the board meeting on July 24 to consider Gogia's appointment. Shares of YES Bank ended down 2.5% at Rs 490.

Cinemax India ended locked in upper circuit of 10% at Rs 125 on BSE on merger with the multiplex chain operator PVR.

BSE market breadth was weak. Out of 2,445 shares traded, 1,422 shares declined while 878 shares advanced in trades.

Sohini Sen in Mumbai
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