Home / Business / Money / Nifty below 7850, Sensex flat; ITC up, Vedanta slumps 3%

Nifty below 7850, Sensex flat; ITC up, Vedanta slumps 3%


TheNewsInternational Team

10:59 am Market Expert:

Even if the Fed rate hike happens this week, Indian market is not going to see a major shake up as the worst bout of volatility is behind us, says Ajay Srivastava, CEO at Dimensions Consulting. However, there is not much enthusiasm among retail investors who are supporting the market this time round, he says.

He points out that the retail investors are far more circumspect and if this rally gets sold into, it will be very difficult to get them back.

He strongly believes there is one more leg of downsizing due during which market will test fresh lows. Srivastava is worried by the lack of visibility in capex cycle. The distress is far more glaring in rural India.

10:40 am Gujarat Gas relists:
Shares of Gujarat Gas relisted on exchanges today. The stock has opened at Rs 680, down 8.5 percent compared to Rs 743.10 on May 26, when it got delisted.

It was trading at intraday low of Rs 646 on the National Stock Exchange, down 13 percent (at 10:31 hours IST). According to exchange, it is locked at 5 percent lower circuit at Rs 646 against opening price of Rs 680.

Currently the scrip is available in trade-for-trade segment for 10 trading days. The settlement of scrips available in this segment is done on a trade for trade basis and no netting off is allowed. The scrip should be in 5 percent price band for atleast 22 trading days, said the exchange.

The gas distributor was delisted in May for merger of various companies with itself. According to its composite scheme of arrangement, GSPC Gas Company, Gujarat Gas Company, Gujarat Gas Financial Services and Gujarat Gas Trading Company had merged with Gujarat Gas (formerly known as GSPC Distribution Networks).

With this merger, new entity – Gujarat Gas is largest city gas distributor with volumes of around 6.5 mmscmd (around 1.7 times higher compared to Indraprastha Gas).

10:20 am Buzzing: Shares of Nava Bharat Ventures gained 7 percent intraday as the company has entered into an agreement with Tata Steel for conversion of chrome ore into ferro chrome.

The arrangement will commence upon the receipt of ore and reductant from Tata Steel during this month.

This agreement is initially up to the end of March 2016 and extendable on mutually agreed terms for a further period of 4 years.

The agreement postulates that the entire smelting capacity of the Odisha plant is dedicated for Tata Steel to produce up to 70,000 MT of high carbon ferro chrome per annum.

Also read – Mkt may fall once more, capex scene worrying: Dimensions

10:00 am Market Check

The market is still flat with no immediate major triggers. The Sensex is up 13.56 points at 25778.88 and the Nifty slips 32 points at 7840.25.About 862 shares have advanced, 759 shares declined, and 74 shares are unchanged.

Maruti, ONGC, ITC, HUL and Coal India are top gainers while Vedanta, Hindalco, Tata Steel, HDFC and Hero MotoCorp are major losers in the Sensex.

Oil prices steadied early as traders closed short positions and took on new longs after markets tumbled in the previous session. Crude prices fell on Monday with the onset of lower demand autumn trading and as weak economic data out of China and soft gasoline prices RBc1 pressured the market.

There has even been growing competition amongst the lowest cost producers in the Middle East, such as Kuwait and Saudi Arabia, to undercut each other with discounts for supplies to their core markets in Asia.

On the demand side, Japanese manufacturers’ confidence slumped the most in a year in September to an eight-month low and is forecast to worsen further as fears of a China-led global economic slowdown grow, a Reuters poll showed.


Check Also

Rupee recovers 6 paise to 67.01

The rupee today recovered some lost ground by rising 6 paise to ...

Notes ban to have positive impact on economy

NEW DELHI: The government’s demonetisation move has led to widespread adoption of ...