SENSEX 16312.15 -126.43
NIFTY 4950.75 -39.35
USD/INR 0056.23 +00.47
NASDAQ 2837.97 -33.02
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UPDATEDTIME 09.28 PM 30 MAY 2012
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The Nifty
ended a choppy session near psychological 4,950 level ahead of May series
F&O expiry and Q4 GDP data led by losses in rate sensitives like auto,
realty and banks. Weak rupee and global cues also kept investors on the
sidelines.
The rupee remained under pressure as investors rushed to buy dollars on eurozone concerns following Spain's banking woes. The partially convertible rupee was at 56.06, down 39 paise against its previous close.
According to analysts, India's GDP for quarter ended March 2012 is likely to have grown at 6.1 percent.
"It will be about 6.1 percent for the quarter and 6.7 percent for the full year. That aside, the risks to growth are clearly higher for the next year. The estimates are pretty wide but it will be somewhere between 6.75 and about 7.
The Nifty is facing resistance at higher levels as it failed to breach yesterday's close of 4,990 and slipped lower towards the close, say analysts.
"The market opened with a sell signal and that sell signal has held on through the day. You had a few intraday rallies but we could never really cross yesterday's high. So as far as I am concerned the pullback is over and now it should be a slow grind down.
The Nifty closed at 4,950.75, down 39.35 points or 0.79 percent. The index touched a high of 4,982.25 and a low of 4,944.90 in trade today.
The Sensex ended at 16,312.15, down 126.43 points or 0.77 percent. The index touched a high of 16,428.74 and a low of 16,295.31 in trade today.
Banks have more weightage on the Nifty and the recent rally on the benchmark has been supported by Bank Nifty.
Siddarth Bhamre, Head - Equity Derivatives, Angel Broking, is of the view that foreign institutional investors are rolling over short positions on Bank Nifty.
"During last one month open interest of Bank Nifty has significantly increased and if we look at price action then it is evident that bulk of these positions formed are short positions," he said.
There is no big trigger which would compel FII's to cover these short positions. If we look at Euro-Dollar chart then technically possibility of further depreciation of Euro looks quite likely and this would have impact on rupee-dollar equation too. So taking cues from currency we are not anticipating any major short covering.
He is of the view that a significant upside in the index looks limited while downside risk remains.
The Bank Nifty closed 1.79 percent lower on the NSE.
The BSE Midcap Index was down 1.28 percent and the BSE Smallcap Index was 1.21 percent lower.
Among the sectoral indices, the BSE Auto Index fell 3.97 percent, the BSE Realty Index declined 2.18 percent, the BSE Bankex was down 1.77 percent and the BSE Capital Goods Index slipped 1.49 percent. The BSE IT Index was up 0.38 percent.
Tata Motors (12.28%), Reliance Infrastructure (3.85%), IDFC (3.73%), BHEL (3.23%) and DLF (3.03%) were among the Nifty losers.
Shares of Tata Motors were under immense selling pressure as lower-than-expected JLR margins hurt sentiment even as the consolidated net profit for quarter ended March 2012 surged higher.
JLR's 4Q results and subsequent management commentary showed that the margin spike of 3Q was a one-off and that in hindsight, our margin estimates were too optimistic.
We now factor in lower JLR volumes and margins resulting in a 9% EPS cut over FY13-14, which is buffered by weaker INR assumptions.
Ambuja Cement (4.88%), ACC (2.57%), Maruti Suzuki (1.65%), Sun Pharmaceuticals (1.63%) and Hindustan Unilever (1.57%) were among the gainers pack.
The market breadth was negative on the NSE with 426 gainers against 1047 losers.
The rupee remained under pressure as investors rushed to buy dollars on eurozone concerns following Spain's banking woes. The partially convertible rupee was at 56.06, down 39 paise against its previous close.
According to analysts, India's GDP for quarter ended March 2012 is likely to have grown at 6.1 percent.
"It will be about 6.1 percent for the quarter and 6.7 percent for the full year. That aside, the risks to growth are clearly higher for the next year. The estimates are pretty wide but it will be somewhere between 6.75 and about 7.
The Nifty is facing resistance at higher levels as it failed to breach yesterday's close of 4,990 and slipped lower towards the close, say analysts.
"The market opened with a sell signal and that sell signal has held on through the day. You had a few intraday rallies but we could never really cross yesterday's high. So as far as I am concerned the pullback is over and now it should be a slow grind down.
The Nifty closed at 4,950.75, down 39.35 points or 0.79 percent. The index touched a high of 4,982.25 and a low of 4,944.90 in trade today.
The Sensex ended at 16,312.15, down 126.43 points or 0.77 percent. The index touched a high of 16,428.74 and a low of 16,295.31 in trade today.
Banks have more weightage on the Nifty and the recent rally on the benchmark has been supported by Bank Nifty.
Siddarth Bhamre, Head - Equity Derivatives, Angel Broking, is of the view that foreign institutional investors are rolling over short positions on Bank Nifty.
"During last one month open interest of Bank Nifty has significantly increased and if we look at price action then it is evident that bulk of these positions formed are short positions," he said.
There is no big trigger which would compel FII's to cover these short positions. If we look at Euro-Dollar chart then technically possibility of further depreciation of Euro looks quite likely and this would have impact on rupee-dollar equation too. So taking cues from currency we are not anticipating any major short covering.
He is of the view that a significant upside in the index looks limited while downside risk remains.
The Bank Nifty closed 1.79 percent lower on the NSE.
The BSE Midcap Index was down 1.28 percent and the BSE Smallcap Index was 1.21 percent lower.
Among the sectoral indices, the BSE Auto Index fell 3.97 percent, the BSE Realty Index declined 2.18 percent, the BSE Bankex was down 1.77 percent and the BSE Capital Goods Index slipped 1.49 percent. The BSE IT Index was up 0.38 percent.
Tata Motors (12.28%), Reliance Infrastructure (3.85%), IDFC (3.73%), BHEL (3.23%) and DLF (3.03%) were among the Nifty losers.
Shares of Tata Motors were under immense selling pressure as lower-than-expected JLR margins hurt sentiment even as the consolidated net profit for quarter ended March 2012 surged higher.
JLR's 4Q results and subsequent management commentary showed that the margin spike of 3Q was a one-off and that in hindsight, our margin estimates were too optimistic.
We now factor in lower JLR volumes and margins resulting in a 9% EPS cut over FY13-14, which is buffered by weaker INR assumptions.
Ambuja Cement (4.88%), ACC (2.57%), Maruti Suzuki (1.65%), Sun Pharmaceuticals (1.63%) and Hindustan Unilever (1.57%) were among the gainers pack.
The market breadth was negative on the NSE with 426 gainers against 1047 losers.
Regards
RAKESH MAKIN
+91, 9041667797(DIRECT),
9915684997
OFF 0172-4657997
PANCHKULA (Haryana).
Email:makin_97@yahoo.com
Group mail id: makin97NSEtips@yahoogroups.co.in
