Indian equity indices drifted lower and are trading weak with a negative bias after paring off the gains it accumulated during the late trading session. Sentiments in the local bourses failed to improve even though premier rating agency S&P's opined that there would be no immediate impact of US debt rating downgrade on India, providing the much-needed respite. Market participant were seen piling up the positions in FMCG while selling was witnessed in IT, TECk and Metal sector. Stocks like Warren Tea, Inventure Growth & Securities, Residency Project and Aanjaneya Lifecare hit new high while stocks like Goldstone Technologies, Alps Industries, Alka India, NDTV, Four Soft, Todays Writing, Cambridge Solutions, GTL Infra, GT Offshore, FCS Software, Tanla Solutions, Indowind Energy, Koutons Retail, WWIL, Onmobile Global, Bang Overseas, Indiabulls Power, Persistent System, MOIL and Punjab & Sind Bank hit new low. Fears of possible recession in the US led to investors selling off heavily the stocks of Indian IT companies in a weak market and blue-chips like TCS, Infosys and Wipro which were seen trading under pressure. Stock of Aviation Company like Jet Airways, KingFisher Airlines and SpiceJet were seen trading firm after a steep fall in crude oil prices as aviation turbine fuel, or jet fuel constitutes more than 50% of operating cost for airliners. Prices of jet fuel are directly linked to crude oil prices while shares of oil marketing company like HPLC, BPCL and IOC were too trading firm on lower crude prices. Heavy activity was seen in counters of Dhanlaxmi Bank and Texmaco with heavy volumes due to fund based activity as of yesterday. Sal Real Estates sold 544,198 shares of Dhanlaxmi Bank while SBI Mutual Fund sold 1,000,759 shares of Texmaco. On the global front, Asian markets are trading in red while the European markets too were trading in red on pessimistic note. Back home, the NSE Nifty and BSE Sensex were trading below their psychological 5,050 and 16,800 levels, respectively. The market breadth on the BSE was negative in the ratio of 672:2104 while, 101 scrips remained unchanged.
Moreover, India's tea production rose by 10% to 114.70 million kg (mkg) during June, 2011, on the back of higher output in Assam and West Bengal. According to Tea Board data, overall production of the country stood at 104.03 million kg of tea in the same month last year. Stocks of tea producing company like Jay Shree Tea, Tata Global, Bombay Burmah and Mcleod Russel were trading in red.
Production in Assam, which accounts for more than 50% of the tea produced in the country, rose by good 24% to 62.82 mkg in June, 2011, from 50.70 mkg in the year-ago period. Assam's share in the country's tea output has risen to 44% in the first half of current calendar year from 41% in the corresponding period last year. Similarly, output in West Bengal rose by more than 2% to 25.95 mkg from 25.34 mkg in the year-ago period. In the first half, West Bengal's production rose to 76.45 mkg from 72.90 mkg, up 4.87% with Darjeeling accounting for 3.73 mkg compared to 3.22 mkg last year first half.
North India's tea production rose by 16% to 89.45 mkg in June, 2011, from 76.79 mkg in the year-ago period. In the first half of 2011, North India produced 236.20 mkg against 212.30 mkg last year. However, tea output in South India was down by 7% year-on-year to 25.25 mkg in June, 2011, from 27.24 mkg in the same period of the previous year. And for the first six months it produced o 122.12 mkg, down 3.59% from 126.67 mkg produced in the same period last year.
The BSE Sensex is currently trading at 16,723.10 down by 267.08 points or 1.57% after trading as high as 17,135.04 and as low as 16,432.00. There were 8 stocks advancing against 32 declines on the index.
The broader indices were trading on a weak note; the BSE Mid cap index lost 1.62% while Small cap shed 2.15% respectively.
On the BSE sectoral space, FMCG up 0.20% was the only gainers; while IT down 3.80%, TECk down 3.10%, Metal down 3.02%, Health Care down 0.13% and Consumer Durables down 1.86% were the top losers on the index.
M&M up 3.00%, BHEL up 1.59%,Bajaj Auto up 1.39%, ITC up 0.69% and HDFC up 0.35% were major gainers on the Sensex, while Tata Steel down by 5.37%, Wipro down 5.10%, Tata Motors down 4.86%, TCS down 4.68% and Cipla down 3.90% were the major losers on the index.
Meanwhile, tea exports in month of June 2011 fell by 4 % to 12.27 million kg from 12.76 million kg in June 2010. The decline mainly came due to fall in tea exports from South India.
Tea exports from South India fell by 15% to 6.64 million kg in June from 7.81 million kg in the corresponding month of the last year. On the other hand, the tea exports from the North India surged by 14% to 5.62 million kg in June 2011 from 4.95 million kg in June 2010.
During the first quarter of current financial year, exports of tea declined by the 5% to 34.92 million kg from 36.72 million kg in the same period of last financial year. The tea exports has registered sharp fall in first half of current calendar year. It fell by 18% to 74.55 million kg from 90.71 million kg in the January to June 2010.
The S&P CNX Nifty is currently trading at 5,046.25, lower by 72.25 points or 1.41% after trading as high as 5,167.00 and as low as 4,946.45. There were 16 stocks advancing against 34 declines on the index.
The top gainers of the Nifty were M&M up by 2.92%, BHEL up 2.55%, Cairn up 1.91%, Ambuja up 1.88% and Bajaj Auto up 1.36%.
The European markets too were trading in red with, France's CAC 40 down 2.44%, Germany's DAX plunged 5.45% and London's FTSE plummeted 4.22% .
Moreover, India's tea production rose by 10% to 114.70 million kg (mkg) during June, 2011, on the back of higher output in Assam and West Bengal. According to Tea Board data, overall production of the country stood at 104.03 million kg of tea in the same month last year. Stocks of tea producing company like Jay Shree Tea, Tata Global, Bombay Burmah and Mcleod Russel were trading in red.
Production in Assam, which accounts for more than 50% of the tea produced in the country, rose by good 24% to 62.82 mkg in June, 2011, from 50.70 mkg in the year-ago period. Assam's share in the country's tea output has risen to 44% in the first half of current calendar year from 41% in the corresponding period last year. Similarly, output in West Bengal rose by more than 2% to 25.95 mkg from 25.34 mkg in the year-ago period. In the first half, West Bengal's production rose to 76.45 mkg from 72.90 mkg, up 4.87% with Darjeeling accounting for 3.73 mkg compared to 3.22 mkg last year first half.
North India's tea production rose by 16% to 89.45 mkg in June, 2011, from 76.79 mkg in the year-ago period. In the first half of 2011, North India produced 236.20 mkg against 212.30 mkg last year. However, tea output in South India was down by 7% year-on-year to 25.25 mkg in June, 2011, from 27.24 mkg in the same period of the previous year. And for the first six months it produced o 122.12 mkg, down 3.59% from 126.67 mkg produced in the same period last year.
The BSE Sensex is currently trading at 16,723.10 down by 267.08 points or 1.57% after trading as high as 17,135.04 and as low as 16,432.00. There were 8 stocks advancing against 32 declines on the index.
The broader indices were trading on a weak note; the BSE Mid cap index lost 1.62% while Small cap shed 2.15% respectively.
On the BSE sectoral space, FMCG up 0.20% was the only gainers; while IT down 3.80%, TECk down 3.10%, Metal down 3.02%, Health Care down 0.13% and Consumer Durables down 1.86% were the top losers on the index.
M&M up 3.00%, BHEL up 1.59%,Bajaj Auto up 1.39%, ITC up 0.69% and HDFC up 0.35% were major gainers on the Sensex, while Tata Steel down by 5.37%, Wipro down 5.10%, Tata Motors down 4.86%, TCS down 4.68% and Cipla down 3.90% were the major losers on the index.
Meanwhile, tea exports in month of June 2011 fell by 4 % to 12.27 million kg from 12.76 million kg in June 2010. The decline mainly came due to fall in tea exports from South India.
Tea exports from South India fell by 15% to 6.64 million kg in June from 7.81 million kg in the corresponding month of the last year. On the other hand, the tea exports from the North India surged by 14% to 5.62 million kg in June 2011 from 4.95 million kg in June 2010.
During the first quarter of current financial year, exports of tea declined by the 5% to 34.92 million kg from 36.72 million kg in the same period of last financial year. The tea exports has registered sharp fall in first half of current calendar year. It fell by 18% to 74.55 million kg from 90.71 million kg in the January to June 2010.
The S&P CNX Nifty is currently trading at 5,046.25, lower by 72.25 points or 1.41% after trading as high as 5,167.00 and as low as 4,946.45. There were 16 stocks advancing against 34 declines on the index.
The top gainers of the Nifty were M&M up by 2.92%, BHEL up 2.55%, Cairn up 1.91%, Ambuja up 1.88% and Bajaj Auto up 1.36%.
Reliance Infra down 6.73%, Reliance Power down 6.27%, Tata Steel down 5.22%, Wipro down 4.47% and Tata Motors down 4.25% were the major losers on the index.
Asian markets traded on a somber note, Shanghai Composite down 0.03%, Hang Seng got annihilated by 5.66%, Jakarta Composite got decimated by 3.15%, KLSE Composite plummeted 1.66%, Nikkei 225 got lacerated by 1.68%, Seoul Composite got obliterated by 3.64% and Taiwan Weighted got butchered by 0.79%. The European markets too were trading in red with, France's CAC 40 down 2.44%, Germany's DAX plunged 5.45% and London's FTSE plummeted 4.22% .
I feel the war is over at least for now, if you check out I had mentioned that 16300 seems to be absolute bottom on weekly scale, for accurate forecasting of markets please visit http://www.kalpeshmaniar.com
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