Sensex snaps 9-day winning streak; PSU banks surge

Indian shares snapped a nine-day winning streak on Tuesday as traders opted for profit booking ahead of holiday. The 30-share BSE Sensex, which surged over 1200 points in previous nine sessions (due to FDI approvals, diesel price hike, Fed stimulus and favourable German's Constitutional ruling on ESM), fell 46.30 points to close at 18,496.01 that retreated from 14-month high.

Meanwhile, the 50-share NSE Nifty closed above the 5600 level for the second consecutive session today, which was down 9.95 points to 5,600.05, weighed down by Reliance Industries, TCS and ICICI Bank.

However, the broader markets outperformed benchmarks as advancing shares outnumbered declining by 1661 to 1183 on the Bombay Stock Exchange. The BSE Midcap Index was up 0.88% and Smallcap rose 0.8%.

The weakness in European markets on concerns over Spain too added somewhat pressure on Indian equities. European shares and the euro slipped as investors turned their attention from central bank stimulus to slowing global growth and uncertainty about Spain's desire for an international aid package. France's CAC and Germany's DAX fell over 1% while Britain's FTSE was down 0.88%. Asian markets too ended lower.

Back home, public sector lenders shot up quite sharply today on likely debt restructuring in power sector. Top lender State Bank of India surged 3.6% while Allahabad Bank, Andhra Bank, Bank of India, Bank of Baroda and Punjab National Bank were up 3-7%. Oriental Bank of Commerce, Canara Bank and Union Bank jumped 9-13%. However, private sector lenders ICICI Bank and HDFC Bank were down 1.1% and 0.3%, respectively.

Country's largest software services exporter TCS lost 3% on worries over second quarter earnings. Wipro tanked 3.8% while Infosys gained 1.5% as the Bank of America Merrill Lynch upgraded the stock to buy rating from neutral.

Index heavyweight Reliance Industries and aluminium major Hindalco Industries fell over 2%. Among Tata pack, Tata Motors, Tata Steel and Tata Power declined 1%.

State-owned power equipment manufacturer BHEL topped the buying list, rising 5.44% as sources say BHEL-Hitachi and BEML were among seven companies, which bid in Delhi Metro tender for supply of 486 coaches.

Gas transportation services provider GAIL spiked 3% and telecom operator Bharti Airtel rose 1.3%.

In the second line shares, GVK Power was up 3% and Lanco Infratech rallied 11%.IRB Infrastructure gained 8%. Sugar stocks like Shree Renuka and Bajaj Hindusthan were up 4.6-6%.

PFC and REC, which provide finance to power sector, surged 5-8% on reports that cabinet may consider power debt restructuring package soon. Pantaloon Retail fell 4% on profit booking.

Indian markets will be shut tomorrow on Ganesh Chaturthi.

The BSE Sensex was marginally down amid choppy trade, weighed down by weakness in European markets. France's CAC and Germany's DAX fell over 1% while Britain's FTSE lost 0.65% on concerns over Spain and fall in metals stocks. Greece, Italy and Spain markets too were down 1-2%.

The 30-share BSE benchmark declined 44 points to 18,498.62, weighed down by Tata pack, oil & gas, metals and power stocks. Meanwhile, the 50-share NSE benchmark was down 10.55 points to 5,599.45.

Country's largest software services exporter TCS tanked 2.7% while commercial vehicle maker Tata Motors, private power producer Tata Power and steel manufacturer Tata Steel went down 1%.

Index heavyweight Reliance Industries, aluminium major Hindalco Industries and state-run power producer NTPC dropped 2% each.

Private sector lender ICICI Bank and housing finance company HDFC were down over 1% while top lender State Bank of India shot up 3%.

State-owned power equipment manufacturer BHEL surged over 4.5% while shares of GAIL and Jindal Steel jumped 3% each.

Utility vehicle maker M&M, Software services exporter Infosys, cigarette major ITC and telecom operator Bharti Airtel moved up 1-1.5%.

Indian shares remained lacklustre as they have been consolidating since yesterday after more than 1200 points rally on the Sensex in previous nine sessions. But the Indian rupee recovered quite sharply to 54.02 against the US dollar from 54.21 as exporters sold dollars.

State-run power equipment manufacturer BHEL rallied nearly 4% intraday as CNBC-TV18 reported quoting sources that BHEL-Hitachi and BEML were among seven companies, which bid in Delhi Metro tender for supply of 486 coaches.

The 30-share BSE Sensex fell 51 points to 18,491.37 and the 50-share NSE Nifty went down 15 points to 5,595.05 due to weakness in European markets. France's CAC, Germany's DAX and Britain's FTSE lost 0.8-1%.

State-run lender Punjab National Bank shot up 5% and top lender State Bank of India gained over 2% while rival ICICI Bank fell 1.2%.

Cigarette major ITC and software services exporter Infosys were up over 1.7%. Utility vehicle maker M&M and telecom operator Bharti Airtel went up over 1%.

State-owned gas transportation services provider GAIL and steel producer JSPL rallied more than 2%.

Shares of Reliance Industries, TCS, HDFC and Wipro fell 2-3%. Power producer NTPC, commercial vehicle maker Tata Motors, drug producer Cipla and steel manufacturer Sterlite Industries declined 1% each.

Indian equity benchmarks continued to trade in a narrow range around their previous closing values. The 50-share NSE Nifty was trying to hold the 5600 level since early trade, which fell 8.35 points to 5,601.65.

Meanwhile, the 30-share BSE Sensex slipped 26.6 points to 18,515.71 due to weakness in Asian markets. Shanghai, Nikkei, Straits Times and Taiwan Weighted were down 0.2-0.4%.

Housing finance company HDFC and software services exporter Wipro were down 2-2.5%. Index heavyweight Reliance Industries and top IT services exporter TCS fell 1.5% each.

Country's largest private sector lender ICICI Bank lost over 1% while its rival public sector lender State Bank of India gained 2%.

Commercial vehicle maker Tata Motors slipped 1% and aluminium major Hindalco Industries was down nearly 2%.

Shares of Infosys, BHEL and GAIL topped the buying list among Sensex 30, rising more than 2%. Cigarette major ITC went up 1.6% and telecom operator Bharti Airtel moved up over 1%.

State-owned lender Punjab National Bank shot up 5%.

In the smallcap space, ESS DEE Aluminium, Praj Industries, Surana Industries, SPML Infra and Triveni Engineering were up 7-16% while Atlanta, Kanani Industries, Panacea Biotec and Sandesh were down 4-5%.

The 50-share NSE Nifty continued to hold the 5600 level amid volatility, even after the Indian rupee fell by 28 paise to 54.29 against the US dollar. The buying in Infosys, ITC, SBI, Bharti and BHEL counterbalanced the weakness in HDFC, ICICI Bank, Reliance Industries, Tata Motors and HUL.

The BSE benchmark rose 17.72 points to 18,560.03 and the NSE benchmark gained 4.55 points at 5,614.55. The broader markets outperformed benchmarks; the BSE Midcap and Smallcap indices were up 1% each as about two shares advanced for every share declining on the Bombay Stock Exchange.

Infosys, country's second largest software services exporter moved up 1.6% as Bank of America Merrill Lynch has upgraded the stock buy from Neutral and also added in to model portfolio with a price target of Rs 3,200 as against Rs 2,450 earlier.

Cigarette major ITC rebounded with 1.4% gains after losing 6% yesterday. Public sector lender State Bank of India was up nearly 2% and PNB jumped 4.5% while private sector lender ICICI Bank declined 1%.

State-run power equipment manufacturer BHEL surged 2.5% and gas transportation services provider GAIL moved up 1.8%.

Telecom operator Bharti Airtel climbed over 1% whereas housing finance company HDFC lost 1.5%.

Commercial vehicle maker Tata Motors, index heavyweight Reliance Industries and FMCG major Hindustan Unilever were down 0.4-0.6%.

Software services exporter Wipro and aluminium major Hindalco Industries fell over 1.5%.

In the second line shares, IFCI shot up 14.5%. Motilal Oswal, Schneider Electric, Oriental Bank and Central Bank rallied 6-10% while Tulip Telecom, Hindustan National Glass, Wockhardt, Responsive Industries and Shoppers Stop fell 2.5-5%.

The BSE Sensex and NSE Nifty opened volatile on Tuesday after a sharp run-up in last nine consecutive sessions. Experts feel it is expected that after more than 1200 points rally on the Sensex, the market should consolidate.

Stocks, which rallied the most in previous sessions, were losing the ground today. But defensives like healthcare and FMCG stocks got back on buyers' radar.

The BSE benchmark was down 0.2 point to 18,542.11 and the NSE benchmark declined 3.55 points to 5,606.45. The Indian rupee retreated too, falling by 20 paise to 54.21 against the US dollar. Global markets were also in a consolidation mode after hitting multi-year highs on Fed stimulus and positive European cues.

Software services exporter Infosys, telecom operator Bharti Airtel and state-run power equipment manufacturer gained nearly 1.5%.

HDFC Bank, ITC, ONGC, HUL, NTPC, M&M, JSPL, Tata Power, Cipla and Bajaj Auto were other gainers in early trade.

TCS, ICICI Bank, HDFC, Hindalco, Reliance Industries, Wipro, Coal India and Tata Steel were under pressure.

The CNX Midcap Index was up just 8 points at 7473 as advancing shares outnumbered declining by 489 to 277 on the National Stock Exchange.

In the second line shares, Alstom T&D India surged 8% as its parent company Alstom Holdings will acquire 6.21 crore shares of Indian subsidiary at Rs 187.64 per share.

Tech Mahindra gained over 2% as it is going to buy 51% in Comviva Technologies for Rs 260 crore (Comviva is Bharti group company). Mahindra Satyam was up 2% too.

Kingfisher Airlines rallied another 4% and WWIL gained 5% after FDIs approvals.

Jain Irrigation and Hindustan Copper moved up 1-2%. Lanco Infratech and Natco Pharma were up 3% while Deccan Chronicle tanked 5%. NCC and Jet Airways were marginally down.

REC, PTC India, PFC were up 1-2% as CNBC-TV18 reported quoting sources that cabinet may consider power debt restructuring package on Thursday.