Markets continue negative trade on global worries

Indian equity markets continued trading in negative territory amid worries about the global economic outlook. The Sensex fell by 93.23 points, while the Nifty remained below the 5,900 level. In currency markets, Indian rupee depreciated against American currency on the back of persisting month end demand for the dollar from importers. On sectoral front, realty, oil, automobile and power stocks continue to trade weak. Capital goods, power and bank stocks too were mostly trading lower, while select FMCG and information technology stocks were up in positive territory. In global markets, Asian shares were also trading lower on concerns over the stalled US budget talks to avert a 'fiscal cliff. Back home, the market breadth favoring negative trend; there were 963 shares on the gaining side against 1,495 shares on the losing side while 110 shares remain unchanged.

The BSE Sensex is currently trading at 19,360.69 down by 93.23 points or 0.48% after trading in a range of 19,394.55 and 19,290.50. There were 5 stocks advancing against 25 declines on the index.

The broader indices were trading in red; the BSE Mid cap index was down by 0.49% and Small cap index was down by 0.42%.

The few gaining sectoral indices on the BSE were, IT up by 0.23% and FMCG up by 0.22 points. While, Realty down by 1.36%, CD down by 1.07%, Oil & Gas down by 1.01%, Auto down by 0.84%, and PSU down by 0.84% were top losers on the index.

The top gainers on the Sensex were TCS up by 0.61%, Hindustan Unilever up by 0.49%, Tata Steel up by 0.42%, Cipla up 0.34% and Infosys up by 0.01%.

On the flip side, Bharti Airtel was down by 1.74%, Sun Pharma was down by 1.53%, Coal India was down by 1.52%, ONGC was down by 1.49%, and Jindal Steel was down by 1.40% were the top losers on the Sensex.

Meanwhile, inflation based on the Consumer Price Index (CPI) for agricultural labourers has surged to 10.31% in November, on the back of price increase witnessed in food items. Similarly, for rural labourers, inflation rose to 10.47%, mainly due to price rise seen in vegetables, fruits, jaggery, betel leaf, tea and other food items.

The inflation based on CPI for agricultural and rural labourers recorded maximum rise in Karnataka by 14 points and 13 points respectively mainly due to increase in the prices of jowar, ragi, meat goat, fish fresh, onion, mixed spices, vegetables, fruits, jaggery, pan leaf and tea readymade.

In contrast, the two indices registered maximum decrease in UP by 3 points each due to decline in the prices of rice, bajra, milk, fish, chillies, vegetables, fruits, sugar and jaggery. The rise and fall in index varied from state to state as in case of agricultural labourers, recorded an increase which varied between 1 to 14 points in 17 states and a decrease which varied from 1 to 3 point in 3 States.

Point to point rate of inflation based on the CPI-agricultural labourers and CPI-rural labourers increased from 9.85% and 9.84% in October 2012 to 10.31% and 10.47% in November 2012. Inflation based on food index of CPI-agricultural labourers and CPI-rural labourers are 9.80% and 9.95% respectively during November, 2012. 

The S&P CNX Nifty is currently trading at 5,878.75 down by 37.65 points or 0.64% after trading in a range of 5,888.00 and 5,860.70. There were 5 stocks advancing against 45 declines on the index.

The top gainers of the Nifty were Axis Bank up by 1.02%, Tata Steel up by 0.54%, TCS up by 0.54%, Cipla up by 0.39% and Infosys up by 0.10%.

On the flip side, Cairn down by 2.67%, JP Associates down by 2.37%, IDFC down by 2.20%, Sun Pharma down by 1.63% and Coal India down by 1.54%, were the major losers on the index.

All the Asian equity indices were trading in red; Shanghai Composite declined 0.09%, Hang Seng dropped 0.74%, Jakarta Composite slipped 0.04%, KLSE Composite contracted 0.43%, Nikkei 225 dipped 0.85%, KOSPI Composite crumbled 0.88%, Taiwan Weighted slumped 0.99% and Straits Times was down by 0.30%.