The Indian equity markets have made a somber start on
the back of weak trend in other Asian markets. All the Asian peers
barring Jakarta Composite were trading in the negative terrain at this
point of time, indicating somber investors' sentiment while, the US
markets remained shut overnight for the Labor Day holiday, unable to
give any cues to the other global markets. Back home, NSE's Nifty
declined below 5,000 level in opening trade. On the sectoral front auto
and consumer durables remained the only gainers while, banking, realty
and software witnessed the most selling pressure, dragging down the
Sensex. Meanwhile, Anil Dhirubhai Ambani Group (ADAG) stocks like
Reliance Power, Reliance Infrastructure and Reliance Communications were
down on profit booking while, PSU Oil marketing companies viz., BPCL,
HPCL and IOC all edged higher in the trade as crude prices fell further
on Monday, on fears that the global economy could be sliding toward
another recession. Moreover, the broader indices too were struggling to
get some traction while, the market breadth on the BSE was positive;
there were 840 shares on the gaining side against 716 shares on the
losing side while 61 shares remained unchanged.
The BSE Sensex opened at 16,663.73; about 50 points lower compared to its previous closing of 16,713.33, and has touched a high and a low of 16,675.25 and 16,605.36 respectively.
The index is currently trading at 16,606.79 down by 106.54 points or 0.64%. There were 9 stocks advancing against 21 declines on the index.
The overall market breadth has made a positive start with 51.95% stocks advancing against 44.28% declines. The broader indices were trading near their neutral lines; the BSE Mid cap index was up by 0.09% while Small cap index was down by 0.05%.
The top gaining sectoral indices on the BSE were, Auto up by 0.99% and CD was up by 0.76%. While, Bankex down by 1.45%, Realty down by 1.33%, IT down by 1.29%, TECk down by 1.01% and Metal down by 0.77% were the top losers on the index.
The top gainers on the Sensex were Maruti Suzuki up by 2.21%, ONGC up by 1.44%, Tata Motors up by 1.35%, M&M up by 1.18% and Hero Motocorp was up by 0.72%.
On the flip side, DLF was down by 2.65%, Tata Steel was down by 1.88%, ICICI Bank was down by 1.73%, Wipro was down by 1.71% and TCS was down by 1.64% were the top losers on the Sensex.
Meanwhile, India's cotton exports in the current marketing year (2011-12) is projected to increase by 21% to 8 million bales on the back of record production and a possibly less restrictive government policy, a US Department of Agriculture (USDA) report said.
As per the USDA report, during 2010-11 marketing year, India exported around 6.6 million bales of cotton. And for the current marketing year, exports are estimated to be around 8 million bales. One cotton bale is equal to 170 kg. Further, India's exports are also seen higher as its cotton output is estimated at a record 35 million bales in the 2011-12 marketing year, as against 33 million bales last year.
The USDA report also pointed that India, which is world's second-largest cotton producers, may adopt less restrictive export policy to prevent any steep fall in domestic prices due to an expected increase in production in other cotton producing countries, especially China. 'While the export situation is uncertain, there are several factors that point to the possibility of a less restrictive approach to cotton exports during 2011-12,' the report said.
The report also explained that the India may go for fewer export restrictions to ensure domestic cotton prices do not fall below the minimum support price and avoid a situation where its procuring agency, the Cotton Corporation of India (CCI), is required to buy large volumes and run the risk of selling at a loss. That apart, the domestic yarn industry is less likely to push for export controls due to significant stocks, the report added.
During 2010-11 marketing session, India had restricted cotton exports at 5.5 million bales and later increased the quota to 6.5 million bales. While the quantitative restrictions on cotton exports were lifted in August, 2011, the government imposed several other conditions for obtaining a registration certificate as a means of controlling exports, the USDA report said.
The S&P CNX Nifty opened at 4,993.35; about 24 points lower compared to its previous closing of 5,017.20, and has touched a high and a low of 5,001.10 and 4,993.35 respectively.
The index is currently trading at 4,981.95, lower by 35.25 points or 0.70%. There were 17 stocks advancing against 33 declines on the index.
Most of the Asian equity indices were trading in the red; Shanghai Composite was down 1.98 points or 0.08% to 2,476.76, Hang Seng was down 184.08 points or 0.94% to 19,432.32, KLSE Composite was down 7.34 points or 0.50% to 1,455.78, Nikkei 225 was down 139.62 points or 1.59% to 8,644.84, Straits Times was down 29.63 points or 1.07% to 2,743.54, Seoul Composite was down 20.45 points or 1.15% to 1,765.38, Taiwan Weighted was down by 143.45 points or 1.90% to 7,408.12.
On the flip side, Jakarta Composite was up by 2.43 points or 0.06% to 3,868.61.
The BSE Sensex opened at 16,663.73; about 50 points lower compared to its previous closing of 16,713.33, and has touched a high and a low of 16,675.25 and 16,605.36 respectively.
The index is currently trading at 16,606.79 down by 106.54 points or 0.64%. There were 9 stocks advancing against 21 declines on the index.
The overall market breadth has made a positive start with 51.95% stocks advancing against 44.28% declines. The broader indices were trading near their neutral lines; the BSE Mid cap index was up by 0.09% while Small cap index was down by 0.05%.
The top gaining sectoral indices on the BSE were, Auto up by 0.99% and CD was up by 0.76%. While, Bankex down by 1.45%, Realty down by 1.33%, IT down by 1.29%, TECk down by 1.01% and Metal down by 0.77% were the top losers on the index.
The top gainers on the Sensex were Maruti Suzuki up by 2.21%, ONGC up by 1.44%, Tata Motors up by 1.35%, M&M up by 1.18% and Hero Motocorp was up by 0.72%.
On the flip side, DLF was down by 2.65%, Tata Steel was down by 1.88%, ICICI Bank was down by 1.73%, Wipro was down by 1.71% and TCS was down by 1.64% were the top losers on the Sensex.
Meanwhile, India's cotton exports in the current marketing year (2011-12) is projected to increase by 21% to 8 million bales on the back of record production and a possibly less restrictive government policy, a US Department of Agriculture (USDA) report said.
As per the USDA report, during 2010-11 marketing year, India exported around 6.6 million bales of cotton. And for the current marketing year, exports are estimated to be around 8 million bales. One cotton bale is equal to 170 kg. Further, India's exports are also seen higher as its cotton output is estimated at a record 35 million bales in the 2011-12 marketing year, as against 33 million bales last year.
The USDA report also pointed that India, which is world's second-largest cotton producers, may adopt less restrictive export policy to prevent any steep fall in domestic prices due to an expected increase in production in other cotton producing countries, especially China. 'While the export situation is uncertain, there are several factors that point to the possibility of a less restrictive approach to cotton exports during 2011-12,' the report said.
The report also explained that the India may go for fewer export restrictions to ensure domestic cotton prices do not fall below the minimum support price and avoid a situation where its procuring agency, the Cotton Corporation of India (CCI), is required to buy large volumes and run the risk of selling at a loss. That apart, the domestic yarn industry is less likely to push for export controls due to significant stocks, the report added.
During 2010-11 marketing session, India had restricted cotton exports at 5.5 million bales and later increased the quota to 6.5 million bales. While the quantitative restrictions on cotton exports were lifted in August, 2011, the government imposed several other conditions for obtaining a registration certificate as a means of controlling exports, the USDA report said.
The S&P CNX Nifty opened at 4,993.35; about 24 points lower compared to its previous closing of 5,017.20, and has touched a high and a low of 5,001.10 and 4,993.35 respectively.
The index is currently trading at 4,981.95, lower by 35.25 points or 0.70%. There were 17 stocks advancing against 33 declines on the index.
The
top gainers of the Nifty were Maruti up by 2.00%, ONGC up by 1.50%,
Ambuja Cement up by 1.47%, Tata Motors up by 1.43% and M&M up by
1.30%.
On the flip side, DLF down by 2.57%, Tata Steel
down by 2.02%, ICICI Bank down by 1.95%, Cairn down by 1.87% and JP
Associates down by 1.86%, were the major losers on the index. Most of the Asian equity indices were trading in the red; Shanghai Composite was down 1.98 points or 0.08% to 2,476.76, Hang Seng was down 184.08 points or 0.94% to 19,432.32, KLSE Composite was down 7.34 points or 0.50% to 1,455.78, Nikkei 225 was down 139.62 points or 1.59% to 8,644.84, Straits Times was down 29.63 points or 1.07% to 2,743.54, Seoul Composite was down 20.45 points or 1.15% to 1,765.38, Taiwan Weighted was down by 143.45 points or 1.90% to 7,408.12.
On the flip side, Jakarta Composite was up by 2.43 points or 0.06% to 3,868.61.
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