The News International Team
The Sensex declined 2.46 points to 26465.90 and the Nifty fell 1.30 points to 7910.55 while Jindal Steel and Power (JSPL) lost a percent to Rs 173.
Ravi Uppal, MD & CEO, JSPL said the penalty asked is unfair and the company will be making a review petition with the Supreme Court. They would also be asking the court for staggering payment option.
He said the company would go in for competitive bidding for the coal blocks that the company already holds in case the mines are auctioned. At present they are eagerly awaiting clarity from the government on auctioning.
“I believe government will act soon on auctioning, and it may not remain an open issue after March 31, 2015,” he said.
According to him, the government will help in supply of coal post, March 31, 2015.
10:30am Sun Pharma in Focus
Sun Pharma recouped early losses, up over 3 percent. It had shed 3 percent in early trade after Credit Suisse in its note said the company has received the Form 483 for the Halol plant.
US Food and Drug Administration lists 23 observations with no data integrity issues hence the chances of an import alert are low now. The observations are mostly procedural issues where resolution may take time and there is a possibility of approvals being blocked in the near term.
10:00am The market bounced back in morning trade with the Sensex rising 27.59 points to 26495.95 and the Nifty gaining 14.75 points at 7926.60 supported by buying in most beaten down sectors like oil & gas, metals, auto and select banks.
The broader markets too rebounded with the BSE Midcap and Smallcap indices advancing 0.2 percent and 0.6 percent, respectively. About 1043 shares have advanced, 954 shares declined, and 53 shares are unchanged.
Deven Choksey of KR Choksey Shares & Securities does not see a rough ride for market in the October series. He says fundamentals – market as well as on the macro front – continue to remain strong and chances are it will only improve further.
“Whenever the market runs ahead of time, it gets into a consolidation mood, I think that is what the market is doing right now,” he told CNBC-TV18.
Choksey advises investors to use every dip as a buying opportunity. He believes investors should look at all those companies where the fall is maximum.
Hindalco Industries topped the buying list, rising over 3 percent followed by L&T, ONGC, M&M, Tata Steel, Bajaj Auto and DLF with 1-2 percent gains. Reliance Industries, State Bank of India, HDFC Bank, Axis Bank, Sun Pharma, Wipro and NTPC were up 0.5-0.9 percent.
However, HDFC, ITC, Infosys, ICICI Bank, HUL, Cipla, Hero Motocorp, Bharti Airtel, Dr Reddy’s Labs, Coal India and Sesa Sterlite fell 0.3-1 percent.