Benchmarks continue lackadaisical trade below neutral line

Indian equities continued lackadaisical trade below neutral line in the late morning session. On the global front, all the Asian markets were trading in red, with Chinese market losing over half a percent on the back of weak PMI data and a report that the government is studying further measures to strengthen its control of the property market. Back home, traders were seen piling up position in HC, and FMCG sector, while selling was witnessed in Realty, CG and CD sector. DLF, Unitech, HDIL and Oberoi Realty from Realty pack were trading in red capping markets’ upward trajectory. L&T, BHEL, Siemens and Crompton Greaves from CG sector were trading in red exerting pressure on the market. On the other hand, Cipla, Lupin and Ranbaxy Lab from HC pack were seen trading firm in green driving the markets higher. In the scrip specific development, Somany Ceramics jumped on plan to invest Rs 200 crore for capacity expansion. TAKE Solutions gained on unveiling OneSCM Extended Supply Chain Collaboration Suite. Shree Cements soared on reporting a rise of 440.87% in its net profit at Rs 351.62 crore for the quarter, as compared to Rs 65.01 crore for the same quarter in the previous year. The NSE Nifty and BSE Sensex were managing to hold their psychological 5350 and 17700 levels respectively.

The market breadth on BSE was negative in the ratio of 937:1199 while 111 scrips remained unchanged.

The BSE Sensex is currently trading at 17798.38 down by 51.84 points or 0.29% after touching a high of 17822.50 and low of 17734.26. There were 11 stocks advancing against 19 declines on the index.

The broader indices were trading on a negative note; the BSE Mid cap index was down by 0.40%, while Small cap index was down by 0.28%.

On the BSE sectoral space, HC up by 0.10%, and FMCG up by 0.04% were the gainers while Realty down by 1.35%, CG down by 0.91%, CD down by 0.66%, Auto down by 0.61% and Bankex down by 0.59% were the losers on the index.

Coal India up by 1.32%, HDFC up by 1.16%, Cipla up by 0.58%, Sterlite Industries up by 0.40%, HDFC Bank up by 0.32% were the major gainers on the Sensex, while Mahindra & Mahindra down by 2.14%, Tata Steel down by 1.91%, Hindalco Industries down by 1.41%, ICICI Bank down by 1.24% and Jindal Steel down by 1.24% were the major losers on the index.

 Meanwhile, the Cabinet Committee on Economic Affairs (CCEA) has approved the launch of National Mission on Food Processing (NMFP) scheme. The scheme will start in co-ordination of the State Government in 2012-2013. This scheme will help states in maintaining requisite synergy between agriculture plans of states and development of food processing sector and will also help in increasing farm productivity and ensuring efficient supply chain filling infrastructural and institutional gaps. Central government on its part will be providing assistance to the states for technological upgradation, skill development, promotional activities and setting up of non-horticultural cold storages.

National Food Processing Development Council (NFPDC) will provide guidance to all schemes of Food Processing Ministry including the NMFP. The state governments on a mass scale will be setting up food processing units, while the Centre will provide the technological and logistical support.

In the past 5 years, the food processing sector has grown at over 8% on an average. The government has plan to set-up units on a large scale under this mission and it has accordingly fixed Rs 660 crore for the sector from the current fiscal’s budget.

The S&P CNX Nifty is currently trading at 5,389.90, down by 25.45 points or 0.47% after trading in a range of 5,399.65 and 5,373.90. There were 14 stocks advancing against 36 declines on the index.

The top gainers on the Nifty were Coal India up by 1.29%, HDFC up by 1.10%, BPCL up by 1.10%, Cipla by 0.52% and Sterlite Industries up by 0.45%. While, Reliance infra down by 2.11%, M&M by 2.00%, Tata Steel down by 1.87%, JP Associaties down by 1.81% and Hindalco down by 1.37% were the top losers on the index.

All the Asian indices were trading in red; Straits Times down by 0.25%, Kospi Composite Index down by 1.29%, Nikkei 225 down 1.27%, Hang Seng index down by 1.20%, Jakarta Composite down by 0.27%, KLSE Composite down by 0.10%, Shanghai Composite down by 0.75% and Taiwan Weighted down by 0.30% were the losers.