Wednesday 25 September 2013

Sensex down 78 points; FMCG, bank stocks major losers


Indian equities fell over 0.3 per cent at the closing session on Wednesday as investors indulged in reducing the long positions created in the recent past ahead of the expiry of September month F&O contracts tomorrow.

Domestic sentiment was also dampened due to negative global cues.

The 30-share BSE index Sensex was down 77.67 points (0.39 per cent) at 19,842.54 and the 50-share NSE index Nifty was down 21.95 points (0.37 per cent) at 5,870.50.

On the BSE, oil & gas, FMCG and banking stocks fell the most by 1.36 per cent, 1.12 per cent and 0.94 per cent, respectively.

On the other hand, power, capital goods, healthcare and metal stocks capped the Sensex losses and were up 1.84 per cent, 1.45 per cent ,1.27 per cent and 1.17 per cent, respectively.

BHEL, Hindalco, Sesa Goa, NTPC and SBI were the top five Sensex gainers, while the top five losers were M&M, RIL, HDFC Bank, HUL and Bajaj Auto.

A fall in US consumer confidence from 81.8 last week to 79.7 this week and below the expected 79.9, (an indicator assessed by factoring in business conditions employment and personal income) saw global markets turn circumspect.

The Nifty and the Sensex opened flat mirroring this sentiment. The Nifty opened at 5,902, up 10 points while the Sensex opened at 19,947, up 27 points.

An Equentis Capital report has advised investors to wait for fresh buying while asking them to exit long positions if the Nifty closes below 5,980 levels.

European stocks were down as US budget talks prevented investors from risk-taking.

Stoxx 50 was down 2.82 points or 0.1 per cent at 2,920.11, FTSE 100 was down 5.74 points or 0.09 per cent at 6,565.72 and DAX fell 11.71 points or 0.14 per cent to 8,652.89.

Asian shares were mixed as investors remained cautious due to concerns over a possible US Government shutdown and uncertainty about the US Federal Reserve's policy outlook.

Japan's Nikkei fell 112.08 points or 0.76 per cent to 14,620.50, Hong Kong's Hang Seng was up 8.02 points or 0.03 per cent at 23,187.10 and Australia's S&P/ASX 200 rose 41.78 points or 0.8 per cent to 5,275.94.

The September Ifo survey of German business sentiment showed a slight improvement from the previous month and touched a 17-month high, but still fell short of the consensus estimate.

This survey came a day after European Central Bank President Mario Draghi said the bank was prepared to do more to support the region's nascent recovery.

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