The News International Team
12:30pm Market Expert
The current market fall is likely to fall anything between 3 to 5 percent and may find a floor at those levels, says C Jayaram, joint managing director, Kotak Mahindra Bank.
Speaking to CNBC-TV18, Jayaram says the market has run up a lot post the general elections and is cooling off now. But for any rally now, the market will need some robust global or economic triggers.
On sectoral plays, Jayaram says information technology (IT) still continues to be an attractive place despite the run up seen.
“The US market is doing well and it is slated to do even better and that will increase the demand for IT companies. Also I don’t expect the rupee to strengthen a lot from the current levels. So while the valuations are stretched, we like this space,” he adds.
12:00pm Market Check
Equity benchmarks fell in noon trade with the Sensex losing 67.46 points to 26204.51 and the Nifty declining 19.15 points to 7833.25 weighed down by technology and healthcare stocks. About 1230 shares have advanced, 1251 shares declined, and 111 shares are unchanged.
Infosys slipped over 4 percent and Tech Mahindra plunged over 5 percent after Citi downgraded Infosys to neutral and Tech Mahindra to sell. Mindtree dropped 3 percent as Citi downgraded the stock to sell. Wipro and TCS fell nearly 3 percent.
Dr Reddy’s Labs and Sun Pharma plunged 3 percent each after the US Congress begun investigation into price hikes of 10 select generic drugs. Cipla declined 2.63 percent.
However, BHEL, BPCL, IndusInd Bank, Larsen and Toubro, DLF, ONGC, NTPC, and Tata Steel gained 1-3 percent.
Brent crude futures fell below USD 91 a barrel to their lowest since June 2012, holding to a months-long tumble in prices as lower economic growth forecasts raised new concerns about global oil demand amid rising US inventory levels.