The Indian equity market ended with minor losses on Friday amid a highly volatile trading session. Indices today traded on a slippery note on the first day of the July series on account of profit-taking following the recent rally and uncertainty surrounding the Greece crisis. The Capital Goods, Banking, metals and Power stocks were among the top laggards. Bucking the negative trend were IT, Realty and Telecom stocks. The small-cap and the mid-cap index were almost flat.
Globally, China's Shanghai Composite index slumped almost 7.5 percent to 4,194. The Hang Seng plunged 1.8 percent to 26,664, and Straits Times slipped nearly a percent to 3,321. The Nikkei was down 0.3 percent at 20,706.
European markets were seen trading on a slippery ground awaiting anxiously the outcome of the Greece talks. The FTSE 100 was down over a percent, while DAX and CAC 40 had shed around 0.5 percent each.
Commenting on the current market situation Amar Ambani, Head of Research, IIFL, said, “Going ahead, participants would prefer to wait and watch until the dust settles down on the Greece issue. We expect some kind of agreement to emerge before the June 30th deadline. The coming week will also see the market reacting to plethora of macro-economic numbers. May fiscal deficit and HSBC Manufacturing PMI & services PMI for the month of June are to be announced. Also, watch out for monthly sales numbers of auto companies. “
The BSE benchmark index, the Sensex, opened wee bit in red at 27,881. The BSE index rebounded into the positive zone and touched a high of 27,922, only to fall back on a steeper note. The index cracked to a low of 27,675 - down 247 points in intra-day deals owing to weakness in select index heavyweights like - HDFC, ITC and Larsen & Toubro. Select banking, metal and infra stocks also traded on a slippery note.
The BSE benchmark, however, recouped losses in noon deals on the back of renewed buying interest in IT shares after consulting and outsourcing firm Accenture raised its full-year revenue guidance for the third time on continued strong demand.
The intra-day recovery fizzled out towards the end of the trading session owing to the weekend factor. The Sensex finally ended with a loss of 84 points at 27,812.
The NSE Nifty slipped to a low of 8,340, before rebounding into the positive zone for a brief while in noon deals. The Nifty eventually settled with a loss of 17 points at 8,381.
The India VIX (Volatility) index was down a percent at 15.76.
Meanwhile, the Reserve Bank of India (RBI) governor Raghuram Rajan today warned that the global economy may be slipping into problems similar to the Great Depression of the 1930's. The Central Banker, however, added that the situation is different in India where RBI still needs to bring down lending rates to spur investments.
On the monsoon front, after a good start the India Meteorological Department (IMD) has forecasted a large-scale decline till mid-July.
The broader market ended on a mixed note. The CNX Nifty Junior was down 0.2 percent at 19,802. The Midcap index inched up 0.1 percent to 13,065, and the Smallcap index added 0.4 percent to 5,370.
The breadth was marginally negative - out of 1,723 stocks traded on the NSE, 853 declined and 608 advanced today.
Among sectors - the CNX IT index surged 1.3 percent to 11,358. The Auto, Media and Pharma indices gained around 0.5 percent each at 8,444, 2,216 and 12,046, respectively. The Infra index slipped over a percent to 3,259. The Bank Nifty, Energy and Metal indices declined over 0.5 percent each to 18,384, 8,904 and 2,284, respectively.
Gail (India) plunged over 3 percent to Rs. 400 after a foreign brokerage firm maintained its 'Underperform' rating on the stock. According to reports, Credit Suisse has maintained its 'Underperform' rating on Gail India saying that company's long-term earnings outlook looks weak as LNG prices will remain weak.
Cairn India also tumbled over 3 percent to Rs. 182 a day after the company's board approved merger with Vedanta. Vedanta shed 2.5 percent at Rs. 175.
Bharti Airtel and BHEL slipped around 2 percent each to Rs. 418 and Rs. 251, respectively.
Punjab National Bank, Kotak Bank and Larsen & Toubro plunged 1.7 percent each to Rs. 136, Rs. 1,382 and Rs. 1,779, respectively.
Power Grid Corporation of India, Tata Steel, HDFC, Tech Mahindra and Tata Power declined around 1.5 percent each to Rs. 139, Rs. 298, Rs. 1,290, Rs. 522 and Rs. 74, respectively.
ITC and Yes Bank dropped around a percent each to Rs. 309 and Rs. 851, respectively.
Largest private sector lender ICICI Bank too was down nearly a percent at Rs. 312 after the bank reduced its base rate to 9.70 percent from 9.75 percent.
On the positive front IT stocks bucked the trend and ended with smart gains following Accenture's optimism. HCL Technologies surged 3.3 percent to Rs. 957. TCS and Infosys rallied around 1.5 percent each to Rs. 2,590 and Rs. 1,006, respectively. Wipro spurted over a percent to Rs. 558.
IndusInd Bank and UltraTech Cement were the other major gainers in the Nifty-50, up 1.8 percent each at Rs. 883 and Rs. 2,914, respectively.
Bajaj Auto, Cipla and NTPC gained around 1.5 percent each at Rs. 2,545, Rs. 620 and Rs. 138, respectively.
Dr.Reddy's, Tata Motors and ACC were also up over a percent each at Rs. 3,525, Rs. 437 and Rs. 1,422, respectively.
Among others, shares of media companies were in limelight today following news report that the government is planning to hike foreign direct investment (FDI) in the media sector. New Delhi Television (NDTV) soared 4.5 percent to Rs. 110. Network18 Media and Investment surged 4 percent to Rs. 57.60, TV Today Network rallied 3.5 percent at Rs. 192. HT Media advanced nearly 3 percent to Rs. 93.60, while Jagran Prakashan added 1.5 percent to Rs. 122.
Mastek zoomed to the 20 percent upper circuit at Rs. 211, which was also a fresh 52-week high for the stock, after shareholders' of Cover-All Technologies approved merger of the company with Majesco - Mastek's US-based subsidiary. The stock finally ended with a gain of 18.5 percent at Rs. 209.
Jet Airways rallied to a high of Rs. 289 on news that the shareholders have approved raising $ 400 million through non-convertible debentures of bonds fund expansion. The stock eventually settled mere 0.5 percent higher at Rs. 283.
Reliance Communications (RCom) zoomed nearly 6 percent to Rs. 61.45 after 42.45 million shares changed hands in a single block deal on the BSE today.
National Buildings Construction Corporation (NBCC) surged over 5 percent to Rs. 927 after the company informed BSE, that Delhi Development Authority (DDA) has entrusted NBCC the project for Development of Lake View Complex, based on Transit Oriented Development (TOD) norms on 25 acres DDA land at Trilokpuri, Delhi. The estimated cost of construction would be around Rs. 1,500 crore.
India Cements soared nearly 9 percent to Rs. 93.80 on reports that Derive Investments on Thursday bought around 2 million shares in a bulk deal at an average price of Rs. 86.61 on the NSE.
PC Jeweller gained 3 percent at Rs. 391 after the company announced that it will be opening its 54th showroom this Sunday at Yamuna Nagar (Haryana).
Alembic Pharmaceuticals jumped to a high of Rs. 698 on reports that the company has received tentative US FDA approval for anti-inflammatory drug Celecoxib. The stock, however, slipped over 3 percent to Rs. 658 at close.
PNC Infratech gained 1.5 percent at Rs. 392 after company said that its associate company Ghaziabad Aligarh Expressway (GAEPL) has commenced toll operations with effect from 24 June, 2015 on the Ghaziabad-Aligarh section of National Highway 91.
Zenotech Laboratories was locked at the 2 percent upper circuit at Rs. 35.70, after the company informed BSE that a committee of independent directors formed by Zenotech Laboratories has termed Sun Pharma's open offer to buy little over 28 percent stake in the company for around Rs. 20.23 crore as 'fair and reasonable'.
Westlife Development zoomed to the 20 percent upper circuit at Rs. 337 on the back of mammoth jump in volume. The BSE counter today witnessed trades of around 278,000 shares as against the two-week daily average volume of around 277-odd shares. The stock finally ended with a huge gain of 16 percent at Rs. 326.
A total of 35 stocks registered a fresh 52-week high, while 32 stocks touched a new 52-week low on the NSE.
Aegis Logistics, Ambika Cotton Mills, Alembic Pharmaceuticals, Ashima, Bajaj Finance, Bhartiya International, Camlin Fine Sciences, Gayatri Projects, GeeCee Ventures, Indo Count Industries, Jubilant Foodworks, Maruti Suzuki, MIC Electronics, Navin Fluorine International, Nilkamal, Pudumjee Pulp & Paper Mills, Rajesh Exports, RPG Life Sciences, SRF, Techno Electric & Engineering, UPL, Vishnu Chemicals, Welspun Corp and Welspun India were some of the prominent stocks at 52-week high.
On the flip side Ballarpur Industries, C & C Constructions, DB (International) Stock Brokers, Hubtown, Mold-Tek Packaging, Nava Bharat Ventures, Raj Television Network, Ruchi Infrastructure, Sharon Bio-Medicine, Sunflag Iron And Steel Company and Tilaknagar Industries were some of the notable stocks at 52-week low.