Nifty holds 8,200; financials lead, Midcaps outperform

Benchmark indices continue to maintain the upward trend supported by auto, FMCG and financials shares. However, the upside movement is capped due to selling pressure in the metal segment.

By 10:40, the Sensex was at 27,234, up by 28 points and the Nifty is up at 8,235, up 11 points.

The top gainers on the Sensex are SBI, M&M, Axis Bank, HDFC and Tata Motors.

On the losing side, Tata Steel, Hindalco, Coal India, GAIL and Dr Reddy’s Labs are the top five draggers.

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Updated at 9:45

Markets have wiped off all gains and have turned choppy with Sensex and Nifty swinging between negative and positive zone. 

By 9:35, the Sensex was at 27,215, up by 9 points and the Nifty is up at 8,230, up 5 points.
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(updated at 9.35 AM)

Markets have started the session on a marginally positive note tracking higher global cues. By 9:28, the Sensex was at 27,306, higher by 101 points and the Nifty is up at 8,258, up 34 points.

"The Nifty needs to cross and hold above 8,250 to witness an up move towards 8280 and 8320 levels. On the downside, if it fails to sustain 8,180 levels, its momentum may fizzle out and profit booking may drag the index towards 8,120 and 8,080 levels," points out a morning note from Anand Rathi.

Meanwhile, foreign portfolio investors (FPIs) sold shares worth a net Rs 73.76 crore yesterday, 14 May 2015, as per provisional data released by the stock exchanges.

Domestic institutional investors (DIIs) bought shares worth a net Rs 302.57 crore yesterday, 14 May 2015, as per provisional data.

GLOBAL MARKETS

Asian shares gained in early trading on Friday, on track for a weekly rise, after Wall Street cheered a cool reading for producer price inflation that chilled expectations of a Federal Reserve rate hike.

MSCI's broadest index of Asia-Pacific shares outside Japan was 0.3% higher, poised to gain about 1% for the week. Japan's Nikkei stock index was up 0.5%, set for a 1.5% weekly rise. On Wall Street, all three major indexes gained more than one percent, and the S&P 500 closed at a record.

SECTORS & STOCKS

BSE Power, Auto, Capital Goods, IT and Consumer Durables indices have surged almost 1% each. However, BSE Metal index has slipped around 1%.

The top gainers on the Sensex are NTPC, Vedanta, SBI, Bharti Airtel, M&M, TCS and HDFC.

Rate-sensitive sectors mainly financials and auto are leading gains as the further softening in retail inflation to a four-month low of 4.87% in April gave rise to hopes of a rate-cut by the RBI.

Bharti Airtel, the telecom operator, commenced commercial 4G services in Chennai on a trial basis, and has signed a go-to-market deal with Korean smartphone major Samsung for 4G-compatible devices. The stock is up over 1%.

On the losing side, Tata Steel has plunged by almost 2%. The company announced a Rs 6,500-crore goodwill impairment charge for the loss of value of operations in Europe, Canada, and Mozambique in 2014-15.

Other notable losers are Sun Pharma, Coal India, Dr Reddy’s Labs and Cipla.

Shares of Sequent Scientific were trading higher by 4% at Rs 562 on the BSE in early morning trade after the Reserve Bank of India (RBI) said that foreign investors can now invest up to 32.46% of the paid up capital of the pharmaceutical company.

Among broader markets, BSE Midcap and Smallcap indices are up almost 1%. The market breadth is positive, with 927 advances as against 381 declines on the BSE.

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