MARKETS TRIM GAINS

Indian equity markets have trimmed gains but continue to trade firm above neutral line in the late afternoon session. Traders were seen piling some position in Consumer Durables, Metal and TECk sectors while selling was witnessed in Capital Goods, Power and Banking sector. The sugar sector stocks continue to remain in limelight on reports that food minister will seek a cabinet approval for sugar decontrol, a first proposal that will be taken to the highest decision-making body of the government since the sector was brought under strict regulation 50 years ago. On the scrip specific development, ACC was trading in red after Morgan Stanley downgraded the Indian cement major from overweight to equal weight. GTL, engaged in the business of telecom and power, was trading firm after reporting improvement in results for the third quarter of fiscal 2013. United Spirit too was trading in green for second day in a row after market regulator SEBI gave clearance for an open offer to global liquor giant Diageo Plc to acquire 26% stake from public shareholders of the UB group firm.

On the global front, most of the Asian markets were trading in green barring KLSE Composite and KOSPI Composite while the European markets were trading on a mixed note. Back home, the NSE Nifty and BSE Sensex were trading above their psychological 5,950 and 19,600 levels respectively. The market breadth on BSE was positive in the ratio of 1455:1249 while 137 scrips remain unchanged.

The BSE Sensex is currently trading at 19,674.79, up by 14.97 points or 0.08% after trading in a range of 19,767.25 and 19,644.56. There were 14 stocks advancing against 16 declines on the index.

The broader indices too pared some gains; the BSE Mid cap and Small cap index were trading up by 0.19% and 0.32% respectively.

The top gaining sectoral indices on the BSE were, Consumer Durables up by 0.73%, Metal up by 0.60%, TECk up by 0.32%, FMCG up 0.31% and Realty up by 0.30% while, Capital Goods down by 0.35%, Power down by 0.15%, Bankex down by 0.10%, Auto down by  0.07% and PSU down 0.02% were the losers on BSE.

The top gainers on the Sensex were Jindal Steel up by 2.18%, Maruti Suzuki up by 1.64%, HDFC up by 1.49%, Tata Steel up by 1.08% and Hindalco Industries up by 1.06%.

On the flip side, Hindustan Unilever was down by 1.90%, NTPC down by 1.67%, Coal India down by 1.43%, Wipro down by 0.84% and BHEL was down by 0.80% were the top losers on the Sensex.

Meanwhile, as per the joint study by Assocham and Yes Bank, the luxury market in India is pegged to grow at 25 per cent in 2013 till 2015 and likely to touch $ 15 billion from the current level of $ 8 billion. The study revealed that the increase in spending is expected across the country with increasing brand awareness among the youth and purchasing power of the upper class in Tier II & III cities in India. Demand for luxury cars, bikes, exotic holidays and destination weddings are increasing day by day, it added. Further, it said that these projections along with the increasing price parity in the luxury products with other international destinations like Hong Kong and Singapore and customised products offerings indicates that the luxury market in India would evolve quickly.

Assocham secretary general D S Rawat said that despite the continuing global economic slowdown, Indian luxury market is poised to expand by three-fold in next three years as the number of millionaires expected to multiply three times in another five years.

According to the study, the number of ultra high net worth households, with a minimum net worth of Rs 25 crore is expected to triple to 2.86 lakh in the next five years and the HNIs will be double in number by 2015 to over 4 lakhs with a collective wealth of $2,645 billion.

Regarding the private equity (PE) investments in the luxury sector, the study said that for the last three years, from January 2009 to August 2012, private equity investment have been less than a $1 billion as compared to the $ 35 billion total PE investments during this period. However, with the luxury market expected to grow at over 25 per cent year on year, PE investments in the luxury segment are expected to increase and support the enhanced size of the Indian luxury market.

The S&P CNX Nifty is currently trading at 5,968.80, up by 11.90 points or 0.20% after trading in a range of 5,990.90 and 5,956.55. There were 29 stocks advancing against 21 declines on the index.

The top gainers of the Nifty were Bank of Baroda up by 2.26%, UltraTech Cement up by 2.11%, Jindal Steel up by 2.07%, Maruti Suzuki up by 1.76% and Kotak Bank up 1.70%.

On the flip side, JP Associates down by 2.50%, Hindustan Unilever down by 1.99%, NTPC down by 1.61%, Siemens down by 0.96% and Gail India down by 0.80%, were the major losers on the index.

Most of the Asian equity indices were trading in the green; Hang Seng surged 0.47%, Jakarta Composite rose 0.30%, Shanghai Composite added 0.06%, Nikkei 225 soared 3.77%, Taiwan Weighted added 0.25% and Straits Times up by 0.02%. On the flip side, KLSE Composite declined 1.19% and KOSPI Composite shed 0.10%.

The European markets were trading on a mixed note; France's CAC 40 lost 0.01%, Germany's DAX ascended 0.10% while the United Kingdom's FTSE 100 edged higher by 0.31%.