Sensex ends 145 pts down; M&M, Bajaj Auto, Hindalco losers

3:50 pm Market closing: The Sensex ends the day 145.36 points down at 19294.12 while the Nifty closes at 5816.70, down 42.30 points. About 1142 shares have advanced, 1160 shares declined, and 154 shares are unchanged.

3:45 pm Indices check: Oil & Gas (down 1.8 percent), Auto (down 1.5 percent), Realty (down 1.3 percent) indices are major losers of the day.  Consumer Durables index (up 1.9 percent) gained the most.

3:40 pm Rupee outlook: Arvind Narayanan, DBS Bank sees rupee breaking 60/USD and moving towards 59.40-59.50/USD, for the month, where it may find support. He sees the rupee heading to 62.50-63/USD in the medium term.

RBI directed oil marketing companies (OMCs) to buy dollars from State Bank of India on Tuesday. This move will provide some respite to the Indian currency in the short-term, he adds. "Banks will not speculate on the size of oil demand and what is coming through multiple banks and therefore, market is relieved that this is going through one bank," he tells CNBC-TV18.

He expects the rupee to remain weak for few more months.

3:31 pm FII view: It is difficult to see emerging markets (EMs) gaining some ground as outlook on companies' earnings is negative, says Geoff Lewis of JPMorgan AMC. He told CNBC-TV18 in an interview that EMs may be stabilising but lack real signs of recovery.

However, he is hopeful of inflows returning to EMs in the closing days of the year when investors would be keen to cash in on higher risks and beta assets. India may see inflows coming back later, he adds. He expects the rupee to decline further.

He sees the export led growth in EMs struggling for the next six to nine months. It will be due to the trend of contraction in exports. China's export numbers had shown a dip of 3.1 percent in June.

Speaking on US economy, he says that the fiscal drag will be fading and the economy is set to be more vibrant and stronger. The minutes from the Federal Open Market Committee (FOMC) meeting may upset the market for some time, he adds.

Don't miss: Growth concerns bigger than rupee fall, RBI won't raise rates, says Gokarn

The market has gone weak in the last trading hour of the day as the Nifty slips below 5850. The Nifty is down 48.30 points at 5810.70 while the Sensex is down 172 points at 19267.26. About 1123 shares have advanced, 1073 shares declined, and 156 shares are unchanged.

M&M, Hindalco , RIL , ONHC and Tata Steel are major losers of the day while Wipro and Tata Power are on buyers' list.

Reliance Industries shares lost 2.1 percent after finance ministry told oil ministry that the company must deliver outstanding gas at old rate of USD 4.2 per mmbtu, reports CNBC-TV18 quoting sources.

02:59pm The NSE Nifty stays above the 5800 level amid selling pressure. Reliance Industries (down 2 percent) and HDFC Bank (down 1.36 percent) are dragging the market lower.

Shares of Tata Motors , Hindustan Unilever , M&M, ONGC , Bajaj Auto and Tata Steel slipped 1.7-2 percent.

Meanwhile, Tata Power , Wipro and Jindal Steel shares gained one percent each.

Also Read - IndusInd Bank Q1 net rises 42% on other income and NII

02:50pm SpiceJet shares rallied nearly 5 percent after aviation ministry Ajit Singh says GoAir and SpiceJet are evaluating foreign direct investment (FDI). Banks are not giving money to airlines, he adds.

National Green Tribunal (NGT) says power to Sterlite Industries' Tuticorin unit will not to be cut till July 15. NGT will hear the case of Sterlite against Tamil Nadu Pollution Control Board (TNPCB) on July 15.

Jubilant Foodworks declined 2.5 percent. More than one lakh equity shares changed hands at Rs 1116.15 apiece on the BSE. Credit Suisse has cut its earnings estimates for the company by approximately 3 percent.

Also Read - Growth concerns bigger than rupee fall, RBI won't raise rates: Gokarn

02:40pm Shares of Hindalco Industries , Tata Motors and ONGC lost 2 percent each, but technology stocks outperformed the market.

Wipro shares gained 1 percent while Infosys and TCS were flat to positive.

Also Read - This is worst bear market in living memory: Antique's Doshi

02:30pm Indian equity benchmarks dropped 0.9 percent in afternoon trade, weighed down by oil & gas and FMCG stocks. Capital goods, metals and auto stocks are also under pressure.

Reliance Industries shares lost 3.7 percent after finance ministry told oil ministry that the company must deliver outstanding gas at old rate of USD 4.2 per mmbtu, reports CNBC-TV18 quoting sources.

The BSE Sensex is down 180.34 points or 0.93 percent at 19259.14, and the Nifty is down 51.90 points or 0.89 percent at 5807.10.

IndusInd Bank shares lost 1.3 percent. The private sector lender reported in-line with expected numbers in first quarter. Net profit rose by 41.76 percent year-on-year to Rs 335 crore, led majorly by other income. Net interest income jumped 40.39 percent Y-o-Y to Rs 679.5 crore. The bank reported other income of Rs 470 crore in April-June quarter, higher by 47 percent.

1:50 pm Loser: Promoters bought 23.2 lakh shares in IndiaBulls Real Estate Between July 1-3. The stock is quoting at Rs 65.05, down Rs 1.70, or 2.55 percent on the BSE.

1:45 pm: The Securities and Exchange Board of India has sought clarification from Godrej Properties merchant banker, regarding the company's proposed Rs 700-crore rights issue, reports PTI.

Without disclosing the details of the clarifications sought, SEBI has said that "clarifications (are) awaited from lead manager" for the proposed rights issue.

1:40 pm Rupee update: The rupee strengthened against the dollar on Wednesday after the central bank asked state-run oil companies to purchase dollars from a single bank in a bid to support the declining domestic currency.

The Reserve Bank of India has asked state-run oil companies to buy dollars from a single bank, a source privy to the advice from the central bank told Reuters on Tuesday.

1:35 pm  Current affairs: Tamil Nadu Government today allocated a sum of over Rs 43 crore for the health department. The funds will be used towards procuring modern equipment and developing other infrastructure in various hospitals, a government release here.

1:30 pm Exclusive: The Jet-Etihad deal will go through only after both airlines comply with regulatory requirements, said civil aviation minister Ajit Singh.

In April Abu-Dhabi's Etihad had picked up 24 percent stake in Jet airwayy and since then the deal is getting delayed due to either political or regulatory hurdles.

Jet Airways and Abu Dhabi's Etihad will have to make required changes in the agreement as stipulated by markets regulator Sebi and the Foreign Investment Promotion Board, said Singh in an interview to CNBC-TV18. He further said that he is confident about Jet-Etihad satisfying the regulator.

1:24 pm Buzzing: Promoter invokes pledge on 12 lakh shares in Mangalore Chemicals and Fertilisers. The stock is quoting at Rs 59.60, up Rs 3.50, or 6.24 percent on the BSE.

Don't miss: Get used to FII outflows; soft rates may reverse trend, says UR Bhat

Trading is extremely flat ahead of April-June quarter earnings to be kick-started by IndusInd Bank today. The Sensex is down 19.88 points at 19419.60 and the Nifty is up 0.10 points at 5859.10. About 1143 shares have advanced, 886 shares declined, and 129 shares are unchanged.

Tata Motors is weak as majority of contract workers belonging to logistic provider at JLR's third UK plant vote to strike over payment related issues. DHL says strike is unjustified and contingency plan is in place to minimise disruption to JLR.

The next Bombay High Court hearing in the HDIL vs MIAL case is scheduled for today. MIAL and HDIL had entered into a contract in 2007 for slum rehabilitation and the contract was terminated in February this year.

Anant Raj is up over 2 percent as the company gets license from Haryana government to set up residential colony.

12:50pm Rolta India shares gained 5.5 percent after the IT company won multi-million dollar contract for engineering systems from Saudi-based Sadara Chemical.

Promoter released pledge on 6.5 lakh shares in Orchid Chemicals. The stock rallied 7.5 percent.

Also Read - Avoid high beta, don't obsess with quality: Morgan Stanley

12:40pm Education stocks continue to witness buying interest for second straight day today. Educomp Solutions rallied 6.6 percent on top of previous day's 10 percent gains after its long term debt restructuring plan.

Everonn Education surged 10.57 percent while Core Education is up 6 percent and Aptech rose 2 percent.

Also Read - May factory output seen at three-month low of 1.6%

12:30pm Tata Motors slipped over 1 percent. Majority of contract workers belonging to logistic provider (DHL) at JLR's third UK plant voted to strike over payment related issues. DHL says strike is unjustified and contingency plan is in place to minimise disruption to JLR.

HDIL shares rose 1.4 percent. The next Bombay High Court hearing in the HDIL versus MIAL (Mumbai International Airport) case is scheduled for today. Remember MIAL and HDIL had entered into a contract in 2007 for slum rehabilitation and the contract was terminated in February this year.

Also Read - Growth concerns bigger than rupee fall, RBI won't raise rates: Gokarn

12:20pm Equity benchmarks are listless in noon trade Wednesday with the Nifty holding 5850 level. Commodity stocks are under pressure while banks and technology stocks gained.

The BSE Sensex is down 36.52 points at 19402.96, and the Nifty is down 4.45 points at 5854.55. The market breadth is positive; advancing shares outnumbered declining ones by 1020 to 835 on the BSE.

Tata Steel is down over 1 percent after CLSA downgraded the stock to sell and cut target price to Rs 215 rupees.

Meanwhile, SBI gained 0.9 percent as CLSA maintained its buy rating on the stock with a target price of Rs 2,920. Jaiprakash Associates also reacted positively to the buy rating by Bank of America Merrill Lynch with a target of Rs 99; the stock rose 1 percent.

11:50 am Management speak: India's largest passenger car maker Maruti Suzuki has reduced production of diesel engines as well as diesel powered cars due to a fall in demand, Chairman RC Bhargava, said on Wednesday .

Demand for diesel cars has dropped to 25,000 while the company has a production capacity of 42,000 vehicles, and so it was decided to operate at two shifts instead of three at its Manesar plant, he said, adding that the reduction in petrol-diesel price gap is the key reason for the drop in demand.

11:40 am: Tata Power , Jindal Steel , Sun Pharma , SBI and Wipro are top gainers in the Sensex. Top losers include HUL , Tata Motors , ONGC , Tata Steel and NTPC .

11:35 am Expert views: Indian equity market is now at the mercy of global factors to see any sort of a revival. With the US markets outperforming EMs like India by 28 percent (YTD), outflows from EMs to DMs will soon be a regular feature, cautions UR Bhat, managing director, Dalton Cap Advisors .

"The IMF report specifically talks of capital outflows from the EMs which is something that we need to really be bothered about. There is more money to be made in developed markets (DM). So, the outlook for the Indian market cannot be very bright," he tells CNBC-TV18 in an interview.

He further adds, steep fall the Indian rupee is also hammering the market. Bhat sees no respite for the rupee soon and expects it to remain volatile  for some more time.

Meanwhile, the first quarter earnings season kicks off today with IndusInd Bank reporting numbers, like most market experts, Bhat, doesn't expect much from India Inc. He expects IT too to post weak numbers despite the rupee's fall, because their top-line growth is unlikely to be strong.

11:30 am Macro outlook: Factory production growth probably eased to a three-month low in May dampened by weak infrastructure sector output, as weak global demand and consumption weigh on a recovery in Asia's third-largest economy, a Reuters poll found.

The median forecast of 23 economists showed output at factories, mines and utilities grew an annual 1.6 percent in May, after an upwardly revised 2.3 percent in April.

Although the consensus estimate showed growth in industrial output for the fifth consecutive month, the pace is a far cry from the near 10 percent seen between late 2009 and 2011.

"Even though it looks like production has been slightly up, if you look within the core sector, the breakdown indicates it is still pretty weak," said Hanna Luchnikava, an economist at IHS Global Insight.

Don't miss: This is worst bear market in living memory, says Antique's Doshi

It is a flat day for the market with the Nifty struggling around 5850. The Sensex is down 17.39 points at 19422.09, and the Nifty is 5859.80, up 0.80 points. About 995 shares have advanced, 616 shares declined, and 113 shares are unchanged.
 
Commodity plays are under pressure even as cement and banks hold up. The midcaps and small caps are also flat but are in positive zone

Tata Steel is down 2 percent after CLSA downgraded it to sell and cut target price to Rs 215. SBI, meanwhile, gains as CLSA maintains its buy rating with a target price of Rs 2,920. JP Associates also reacts positively to the buy rating by Bank of America Merrill Lynch with a target of Rs 99.

Asian stocks trade mixed after Chinese trade data far under-performed market expectations and heightened concerns about a slowdown in global demand. Chinese exports for the month of June fell 3.1 percent from a year earlier, the first decline since January 2012. Meanwhile, imports came in 0.7 percent lower, well-off from expectations for an 8 percent gain.

Dollar index hits fresh 3-year high, trading just shy of 85. Yen falls to 101.2/ dollar, euro falls below USD 1.28; trades at USD 1.277.

Brent holds above USD 107/bbl, gold trades near USD 1250 per ounce. The rupee is higher in thin volume trade following a bunch of steps taken by the RBI, the Sebi and the government to cut speculation and remove bulky oil demand; also dollar is stable against most emerging market currencies.

Bonds are higher partly because of the stable rupee and because of the poor Chinese trade data that has excited bonds across emerging markets.

10:50am Tata Steel reported first quarter sales at 2 million tonne (MT) as against 1.58 MT in a year ago period while its crude steel production increased to 2.22 MT from 1.81 MT year-on-year. The stock is down 1.4 percent.

Tata Motors shares slipped 1.5 percent after contract workers (belong to logistics provider DHL) at Jaguar Land Rover's (JLR) 3rd UK plant voted in favour of strike. DHL said the strike could happen with one week's notice from now.

Also Read - This is worst bear market in living memory: Antique's Doshi

10:40am Gateway Distriparks is up 0.2 percent. Its 5 lakh equity shares changed hands at Rs 101.40 apiece in early trade today on BSE.

Reliance Capital is consolidating now after two-day of gains. The firm says Rel Life Insurance registered a 100 percent growth in new business premium in Q1FY14.

Also Read - Get used to FII outflows; soft rates may reverse trend: UR Bhat

10:30am Divis Labs gained 2 percent. More than one lakh shares changed hands at Rs 1005 apiece on National Stock Exchange.

WABCO India rallied over 2 percent. More than 40000 equity shares exchanged hands at Rs 1630 apiece on BSE. Its trading volume average for 5-day is just 19 shares.

Expert talks on market: Ajay Bodke, head - Investment Strategy & Advisory, Prabhudas Lilladher Private Limited sees Nifty hovering in the range of 5600-6000. He believes due to decline in demand for gold in June, the trade deficit will come down from USD 20 billion to USD 7-8 billion and will continue for next two-three months.

Speaking to CNBC-TV18 with regards to Reserve Bank cutting policy rates, he says the pressure on the rupee will come off sharply with shrink in trade deficit and current account and this will play out in RBI's mind when it decides to lower interest going forward.

Bodke is bullish on Infosys and at current valuations, recommends a buy for medium to long-term investors. The software services exporter will announce its first quarter results on Friday.

Also Read: Q1 earnings seen weak; bearish IT, NBFCs, cement: Macquarie

10:20am Education stocks continue to witness buying interest for second straight day today. Educomp Solutions rallied 7.38 percent on top of previous day's 10 percent gains after its long term debt restructuring plan.

Everonn Education surged 10 percent while Core Education is up 6 percent and Aptech rose 2 percent.

Also Read - IMF cuts global growth forecast as emerging markets slow

10:10am Indian equity benchmarks remain in a tight range Wednesday around their previous closing values due to lack of trigger. The market may be waiting for first quarter earnings that will begin with private sector lender IndusInd Bank today.

Aditya Narain of Citigroup expects Y-o-Y earnings growth to be flat for the quarter as it plays catch up with the overall top-down sluggishness and should start reflecting the macro uncertainty in terms of currency, rates and policy.

"Year-end Sensex target stands at 20800 and we do not see this quarter earnings as being decisive for market direction," he adds.

The BSE Sensex is down 8.61 points at 19430.87, and the Nifty is down 1.80 points at 5857.20, but the broader marginally outperformed benchmarks.

The BSE Midcap and Smallcap indices gained 0.2 percent in morning trade today. Advancing shares outnumbered declining ones by 701 to 493.

IndusInd Bank shares gained more than one percent ahead of first quarter earnings. Analysts on an average expect the private sector lender to report 34 percent growth in profit after tax at Rs 315 crore as against Rs 236 crore year-on-year.

9:55 am Houseviews: CLSA has maintained buy with a target price of Rs 2,920 per share. It says SBI's valuations are near historic lows but may bounce back 20-30 percent over next three months. Meanwhile, Credit Suisse has cut earnings estimates by approximately 3 percent for a target of Rs 860.  The brokerage sees downside risks to same- store sales growth guidance.

9:50 am Buzzing: Private sector lender IndusInd Bank is set to declare its first quarter (April-June) earnings today. Analysts on an average expect the bank to report 34 percent growth in profit after tax at Rs 315 crore as against Rs 236 crore year-on-year, according to CNBC-TV18 poll.

Net interest income is seen going up by 41 percent to Rs 682 crore in June quarter from Rs 484 crore in a year ago period. The stock is currently at Rs 510.15, up Rs 8.15, or 1.62 percent on the BSE.

9:45 am Loser: Deccan Chronicle tanks 6.5 percent on the BSE as the CBI filed case against the company's chairman, vice-chairman, MD and auditors. The case is filed for alleged cheating and fraud. This case against the company is related to the Rs 1,230 crore default to Canara Bank .

9:40 am Market check: The Sensex is up 14.82 points at 19454.30, and the Nifty is up 5.10 points at 5864.10. About 662 shares have advanced, 305 shares declined, and 63 shares are unchanged.

9:35 am FII view: The market may have little to look forward from the first quarter corporate earnings, feels Rakesh Arora, head of research, Macquarie Capital Securities. He sees aggregate earnings to be the lowest in many quarters , and for the year as a whole, expects it to be around 9 percent. But the June quarter numbers may not be a trigger for earnings downgrades, Arora feels.

In an interview with CNBC-TV18, Arora says he is underweight on the IT as the sector has little going for it other than a weak rupee.

Indian IT companies are likely to feel the pinch of the US Immigration Bill on their operating margins.

He is bearish on NBFC stocks, most of which are expensive at these levels, and cement companies, which are likely to report weak earnings for the June quarter. On the likelihood of a merger between ACC and Ambuja, Arora says the process would take at least a year to get approval.

Among private banks, ICICI Bank and Yes Bank are Macquarie's top picks.

9:30 am Houseviews: CLSA has downgraded Tata Steel to sell with a target price to Rs  215 per share from Rs 310. The brokerage has cut FY14-15 EPS by 17-19 percent. Tata Steel is currently at Rs 260.40, down Rs 1.00, or 0.38 percent.

9:25 am Movers and losers: TCS , Wipro , NTPC , ICICI Bank, Sterlite Industries are early gainers in the Sensex. HUL , GAIL , Tata Motors , Coal India , Hero Motocorp are laggards in the Sensex.

Don't miss: IT firms USD revenue growth seen up 0.5-4% QoQ in Apr-June

The market opened on a positive note as the Sensex is up 27.80 points at 19467.28 while the Nifty is at 5866.65, up 7.65 points or 0.13%. About 342 shares have advanced, 108 shares declined, and 36 shares are unchanged.

The Indian rupee opened marginally lower at 60.03 per dollar versus 60.15 yesterday.

Himanshu Arora, Religare said, "The dollar is likely to strengthen further against the rupee amid risk aversion amongst investors after IMF cut global growth forecasts. The range for the day is seen between 59.82-60.52/USD.

Asian markets were subdued in morning trade on Wednesday. The Bank of Japan has begun its policy meeting today with a decision due on Thursday. No change in monetary policy is expected as analysts say the central bank is likely to await the outcome of upper house elections on July 21 before making its next move.

Stocks rose for the fourth day in a row on optimism about the second quarter earnings. The S&P 500 was about 1 percent below its all-time closing high of 1,669.16 and the Nasdaq posted its best close since October 2000.

US treasury prices continued to trade around 2.60 level.

Brent crude is little unchanged around USD 107 per barrel. From precious metals space, gold stood around USD 1250 an ounce, unchanged near one week highs as investors await the China trade data.