MARKETS TRADE LOWER

Local equity markets continue to trade in red in late morning session as global oil prices persist to weigh on the local as well as overseas market. However, India's weekly food price index rose 9.52% during week-ended Feb 26, lower compared to the 10.39% recorded in the previous week, but it was unable to cheer the sentiments of the local investors. On the other hand, Brent crude scaled back to 29-month high as Libyan crisis stoked supply concerns. OPEC (Organization of the Petroleum Exporting Countries) Ministers canceled the meeting to increase crude production citing ample supply. The other regional peers were also trading in red while US index futures too were showing downtick. Back home, the NSE S&P CNX Nifty was trading below 5,500 its physiological level while all the sectoral indices were trading in red and the major declines were led by banking stocks. From the broader markets space midcap and smallcap indices were trading flat, the BSE Mid cap shed 0.06 % while Small cap index was trading flat. The overall market breadth on BSE is in the favour of declines which have outnumbered advances in the ratio of 1262:1061, while, 102 shares remained unchanged.

PSU oil marketing companies (OMC's), Bharat Petroleum Corporation (BPCL), Hindustan Petroleum Corporation (HPCL) and Indian Oil Corporation (IOC) are trading lower in the trade on the buzz that the government is unlikely to allow them to raise fuel prices before key state elections starting in April. The rise in Brent crude prices also weighed on the local markets sentiments.

The BSE Sensex is declined 162.46 or 0.885 at 18,307.49. The index has touched a high of 18,430.84 and a low of 18,261.26 respectively.

The BSE Mid cap shed only 0.06% while Small cap index was trading unchanged.

All sectoral indices on the BSE were in red; Bankex down by 1.37%, Metal down by 1.19%, IT down by 0.92%, TECk down by 0.87% and CG down 0.78% were the major losers on the index.

Reliance Infra up by 1.23%, Hero Honda up by 0.60%, Reliance Communication up by 0.30% and Maruti Suzuki up by 0.08%, were the gainers on the Sensex.

On the flip side, Tata power down 2.38%, SBI down 1.84%, Hindalco Industries down 1.83%, ICICI Bank down by 1.82 % and Jindal Steel down 1.55% were the top losers on the index.

Gokaldas Exports zoomed on the back of  Private equity firm Blackstone is likely to take a significant step towards acquiring management control of Gokaldas Exports which is the country's largest apparel exporter. Meanwhile, Gautam Chakravarti, Blackstone nominee and director on the Gokaldas board, will become the chief executive officer of the export house. This will be the first instance of a director representing a PE firm taking charge as its top executive.

The S&P CNX trimmed 46.10 points or 0.83% at 5,484.90. The index has touched a high of 5,516.30 and a low of 5,468.45 respectively.

The top gainers of the Nifty were Reliance Capital up by 3.28%, Reliance Infra up by 1.46%, Reliance Communication up by 1.16%, Suzlon up by 0.45% and SAIL up by 1.35%.

The top losers of the index were Tata Power down by 2.50%, HCL Technologies down by 2.22%  Hindalco  down 2.21% ICICI Bank down 1.97% and Kotak Bank down by 1.75%.

Hero Honda trades in green as its promoter, Hero Investments (HIPL), have raised Rs 900 crore by pledging shares to Axis Trustee Services (ATSL). ATSL acts as a debenture trustee for non-convertible debentures aggregating to Rs 900 crore raised by HIPL. After the pledging of 0.594% by HIPL, ATSL's holding in Hero Honda will increase to 5.38% from earlier of 4.79%.

All the other regional peers were trading in the red; Shanghai Composite declined 1.15%, Hang Seng shed 0.45%, Jakarta Composite slid 0.52%, KLSE Composite trimmed 0.37%, Nikkei 225 lost 1.34%, Straits Times tumbled 0.54%, Seoul Composite lowered 1.12% and Taiwan Weighted shaved off 1.27%.