NewsApp (Free)

Read news as it happens
Download NewsApp

Available on  

Rediff News  All News  » Business » Markets end lower amid volatile trading session

Markets end lower amid volatile trading session

Last updated on: June 06, 2013 16:01 IST

BSE buildingBenchmark Indices ended lower, amid a volatile trading session, weighed down by profit taking in index heavyweights RIL and Infosys.

The 30-share Sensex ended at 19,519 down 49 points or 0.25% and the 50-share Nifty ended at 5,921 down by 2 points or 0.04%.

On the global front, the euro hit four-week high against a weaker dollar on Thursday and stocks edged down ahead of a European Central Bank meeting at which no change in rates is expected although economic forecasts may be tweaked.

The ECB cut its main interest rate to a record low 0.5% in May and is likely to sit tight as it waits for signs of the second-half economic recovery it has predicted.

Japan's Nikkei average ended below 13,000 for the first time in two months on Thursday in choppy trade, extending its decline from a 5-1/2 year high hit last month to the verge of bear-market territory.

Analysts said that the sour mood may persist for a while as the market is starting to price in fundamentals including corporate earnings after Prime Minister Shinzo Abe's reflationary policy and the central bank's aggressive monetary easing sparked the rally.

The Nikkei dropped 0.9% to 12,904.02, its lowest close since April 5. Trading was volatile with the index rising as high as 13,238.53 earlier.

Back home, the rupee touched the key psychological level of 57 to the dollar on Thursday, approaching a record low hit nearly a year earlier as fears of an end to the US Federal Reserve's monetary stimulus sent the dollar higher and hit local shares.

Finance minister P Chidambaram today said the weakening of rupee in the recent past is not a cause for alarm as inflows continues to be strong and the currency is expected to stabilse going ahead.

India can achieve its fiscal deficit target of 4.8% in the current fiscal year ending in March 2014, finance minister P. Chidambaram said on Thursday.

On the sectoral front, BSE Healthcare, Oil & Gas, Consumer Durable, TECk, Power and Metal indices declined between 0.5-1%. However, BSE Bankex gained by nearly 1%.

Index heavyweight Reliance Inds dipped by over 1% as no major announcements were made in 39th

AGM today.

The retail business of Reliance Industries would deliver a growth 50% revenue growth, year on year across formats, said RIL chairman Mukesh Ambani at the company's annual general meeting today.

"Our retail business would undertake multi-fold growth in the next few years by delivering over 50% revenue growth in various format sectors year-on-year and is on its way to achieve revenue target of Rs 40,000 crore to Rs 50,000 crore as shared by me in our last AGM," Ambani said.

Infosys declined by over 1%. Other notable losers were Bharti Airtel, Sun Pharma, NTPC, Tata Steel and Hero Moto.

From the banking space, ICICI Bank and SBI gained between 1-2% on account of short covering and value buying.

L&T gained by nearly 1%. The company has bagged an office building construction order at Ahmedabad and Bangalore.

Meanwhile, BSE Midcap index inched up by 0.11% whereas BSE Smallcap index ended marginally higher.

The market breadth in BSE ended marginally weak with 1,226 shares declining and 1,140 shares advancing.


Deccan Chronicle zoomed 14% to Rs 3.59 after the company reported a net profit of Rs 14.82 crore for the Jan-Mar quarter compared with a loss of Rs 2.21 crore in the previous quarter (Sep-Dec 2012).

Shree Ganesh Jewellery (SGJHL), engaged in manufacturing and exports of gold and diamond jewellery gained by nearly 6% after the company announced that the board has allotted 58,00,000 equity shares at Rs 150 per share (which includes a premium of Rs 140 per share) to the promoters/promoter group.

Zuari Agro Chemicals gained over 4% after the fertiliser and seeds company said that it has resumed production of urea/ammonia.

Shares of Titan Industries, Tribhovandas Bhimji Zaveri and others declined after the government today increased Customs duty on gold by two percentage points, to eight per cent.

Surabhi Roy in Mumbai