Markets trade listless in late afternoon session

Indian equity markets, giving up early gains, were trading listless on last trading session of the holiday truncated week, as investors preferred to stay light ahead of the year-end holidays, while muted sentiment across the region also weighed. Trading volumes remained low despite being the first trading day for the new derivatives contract. Markets were off day’s low as bit of lower level buying was initiated by market-participants. Both, Sensex and Nifty, witnessing bit of recovery were trading shy off the crucial 27, 200 and 8,200 levels respectively. Meanwhile, broader indices too outperforming larger counterparts were trading with gains in the range of 0.20%-0.40%.

On the global front, Asian markets were mixed on Friday with trade quiet across the region as key bourses remained closed for the Christmas holidays. There was also no overnight guidance from Europe or the US markets, which were closed for Christmas.

Closer home, most of the sectoral indices on BSE were trading in positive territory, nevertheless stocks from Infrastructure, Realty and Capital Goods counters were the prominent gainers of the session. On the flip side, stocks from FMCG, Auto and Oil & Gas counters were the top losers of the session. The overall market breadth on BSE was in the favour of advances which thumped declines in the ratio of 1070:915; while 40 shares remained unchanged.

The BSE Sensex is currently trading at 27190.48, down by 18.13 points or 0.07% after trading in a range of 27097.85 and 27370.63. There were 10 stocks advancing against 20 stocks declining on the index.

The broader indices were trading in green; the BSE Mid cap index was up by 0.38%, while Small cap index up by 0.19%.

The gaining sectoral indices on the BSE were INFRA up by 0.74%, Capital Goods up by 0.39%, PSU up by 0.37%, Bankex up by 0.26%, IT up by 0.22% while, FMCG down by 0.84%, Auto down by 0.49%, Oil & Gas down by 0.39%, Consumer Durables down by 0.18%, Metal down by 0.16% were the losing indices on BSE.

The top gainers on the Sensex were HDFC up by 0.91%, SBI up by 0.74%, Sun Pharma Inds. up by 0.73%, Larsen & Toubro up by 0.58% and HDFC Bank up by 0.56%. On the flip side, Hindustan Unilever down by 1.28%, ITC down by 1.20%, Maruti Suzuki down by 1.06%, Mahindra & Mahindra down by 0.99% and GAIL India down by 0.94% were the top losers.

Meanwhile, exuding confidence in growth story of Railway sector, Railway Minister Suresh Prabhu hopes that the performance of ailing railways would improve with a clear vision. The Minister for this sought innovative ideas and futuristic vision to turnaround the Railways. Meanwhile, the minister ruled out the possibility of slashing rail fares as a result of the reduction in international crude fuel prices and also to any possibility of privatization in the rail sector. However, he emphasized upon the need to private capital to improve the infrastructure of Indian railways.

The minister further stated that with losses mounting for the sector, the ministry is not implementing the Fuel Adjustment Component (FAC), which provides for half-yearly exercise of adjusting passenger fares on the basis of market rates of diesel. However, he revealed that FAC adjustments were scheduled this month, but the ministry decided to put off this exercise with the view that railways would still be able to save some revenue on account of fuel costs.

Separately, the minister has formulated a six-member task force under the chairmanship of Member (Traffic) to generate advertising revenue by leveraging spaces in coaches, wagons, trains and railway stations. Additionally, a second task force, under the chairmanship of Member (Engineering)-which has representation from the KPMG and Earnest and Young - have been set up by the ministry to implement on strategies delegated to financial powers within the organization. Both of these groups are expected to submit their reports by December 26.  The CNX Nifty is currently trading at 8180.30, up by 6.20 points or 0.08% after trading in a range of 8147.95 and 8234.55. There were 26 stocks advancing against 24 stocks declining on the index.

The top gainers on Nifty were PNB up by 1.45%, Bank of Baroda up by 1.14%, DLF up by 1.10%, Power Grid Corpn. up by 1.10% and HDFC up by 1.00%. On the flip side, Hindustan Unilever down by 1.06%, ITC down by 1.02%, Mahindra & Mahindra down by 1.02%, NMDC down by 0.86% and Grasim Industries down by 0.80% were the top losers.

Asian markets were trading mostly higher; with KOSPI Index trading higher by 1.55 points or 0.08% to 1,948.16; Nikkei 225 inching up by 10.21 points or 0.06% to 17,818.96;  FTSE Bursa Malaysia KLCI rising by 12.58 points or 0.72% to 1,762.32; Hang Seng eking gains of 15.65 points or 0.07% to 23,349.34; Jakarta Composite surging by 27.92 points or 0.54% to 5,166.98;  Taiwan Weighted adding 55.37 points or 0.6% to 9,214.07; Shanghai Composite spurting by 79.59 points or 2.59% to 3,152.13. On the flip side, Straits Times down by 1.58 points or 0.05% to 3,344.33 was the lone loser on the index.