Benchmarks extend losses in late afternoon session

Indian equity markets extended losses in the late afternoon session on account of selling in frontline blue chip counters taking cues from global counterparts. The sentiments were also under pressure on report that Foreign Portfolio Investors (FPIs) sold shares worth a net Rs 604.86 crore yesterday as per provisional data released by the stock exchanges. Traders were seen selling in Capital Goods, Realty and FMCG stocks. In scrip specific development, Kotak Mahindra Bank was trading in red after an inter-ministerial panel deferred decision for the second time on the bank’s proposal for raising Foreign Investment limit in the bank to 55 percent. Biocon was trading in green after its research arm Syngene International received capital markets regulator SEBI’s approval to launch an Initial Public Offer (IPO). National Buildings Construction Corporation was trading in green after the company procured 7612.86 square meter plot in Jaipur in state of Rajasthan for Real Estate project.

On the global front, the Asian markets were trading mostly in red while the European markets were trading on pessimistic note. Back home, the NSE Nifty and BSE Sensex were trading below the psychological 8,000 and 26,500 levels respectively. The market breadth on BSE was negative in the ratio of 857:1593 while 131 scrips remained unchanged.

The BSE Sensex is currently trading at 26409.84, down by 176.71 points or 0.66% after trading in a range of 26379.93 and 26597.28. There were 7 stocks advancing against 23 stocks declining on the index.

The broader indices were trading in red; the BSE Mid cap index was down by 0.39%, while Small cap index down by 0.48%.

The losing sectoral indices on the BSE were Capital Goods down by 0.91%, Realty down by 0.88%, FMCG down by 0.79%, Oil & Gas down by 0.70% and Bankex down by 0.59%.

The top gainers on the Sensex were Tata Power up by 1.18%, Coal India up by 0.68%, GAIL India up by 0.57%, Infosys up by 0.30% and NTPC up by 0.18%.

On the flip side, Vedanta down by 2.73%, HDFC down by 2.69%, BHEL down by 1.84%, Tata Steel down by 1.72% and Axis Bank down by 1.53% were the top losers.

Meanwhile, in a mixed economic development, while the Indian trade deficit narrowed to $10.4 billion in May against $11.2 billion in the same month a year ago,  the country's merchandise exports declining for the sixth straight month shrank 20.2 percent to $22.35 billion in May, dragged down by a slump in global demand. The trade deficit for April-May, 2015-16 was estimated at $ 21398.54 million which was higher than the deficit of $ 21320.69 million during April-May, 2014-15.

As per the government data, exports during May, 2015 were valued at $22346.75 million which was 20.19 per cent lower in Dollar terms than the level of $27998.50 million and in rupee terms stood at Rs 142572.92 crore, 14.14 per cent lower compared to Rs 166045.09 crore during May, 2014.Cumulative value of exports for the period April-May 2015-16 was $ 44401.47 million as against $53632.58 million, while in rupee term it stood at  Rs 280973.36 crore compared to Rs 320763.69 crore, registering a negative growth of 17.21 per cent in Dollar terms and 12.40 per cent in Rupee terms over the same period last year.

The imports also fell 16.5 percent to $32.8 billion in May, valued at $32752.99, 16.52 per cent lower against $39233.24 million. In Rupee terms the level of imports valued at Rs.208965.06 crore, 10.19 per cent lower compared to Rs. 232672.72 crore in May, 2014. Cumulative value of imports for the period April-May 2015-16 was $65800.01 million as against $ 74953.27 million, while in rupee terms it was Rs 416345.69 crore against Rs 448266.65 crore, registering a negative growth of 12.21 per cent in Dollar terms and 7.12 per cent in Rupee terms over the same period last year.

Oil imports during May, 2015 were valued at $8538.67 million, 40.97  per cent lower than oil imports valued at US $14464.88 million in the corresponding period last year. Oil imports during April-May, 2015-16 were valued at $ 15981.59 million which was 41.76 per cent lower than the oil imports of $ 27442.71 million in the corresponding period last year. Non-oil imports during May, 2015 were estimated at $24214.32 million, 2.24 per cent lower than non-oil imports of $24768.36 million in May, 2014. Non-oil imports during April-May, 2015-16 were valued at $ 49818.42 million which was 4.86 per cent higher than the level of such imports valued at $ 47510.56 million in April-May, 2014-15. The country's gold imports however increased by 10.4 percent to $2.42 billion in May this year.

The CNX Nifty is currently trading at 7963.10, down by 50.80 points or 0.63% after trading in a range of 7952.35 and 8010.50. There were 15 stocks advancing against 35 stocks declining on the index.

The top gainers on Nifty were NMDC up by 1.90%, Tata Power up by 1.60%, Ambuja Cement up by 1.23%, PNB up by 1.11% and Power Grid Corporation up by 1.03%.

On the flip side, Idea Cellular down by 4.64%, Cairn India down by 3.52%, Vedanta down by 2.78%, HDFC down by 2.56% and BPCL down by 2.11% were the top losers.

The Asian markets were trading mostly in red; Hang Seng decreased 295.11 points or 1.1% to 26,566.70, Shanghai Composite decreased 175.56 points or 3.47% to 4,887.43, Nikkei 225 decreased 129.85 points or 0.64% to 20,257.94, Taiwan Weighted decreased 46.7 points or 0.5% to 9,212.78, Straits Times decreased 24.16 points or 0.73% to 3,298.97 and KOSPI Index decreased 13.6 points or 0.67% to 2,028.72.

On the other hand, FTSE Bursa Malaysia KLCI increased 2.08 points or 0.12% to 1,724.24 and Jakarta Composite increased 46.3 points or 0.96% to 4,884.09.

The European markets were trading in red; Germany’s DAX decreased 131.56 points or 1.2% to 10,853.41, France’s CAC decreased 39.1 points or 0.81% to 4,776.26 and UK’s FTSE 100 decreased 36.22 points or 0.54% to 6,674.30.