MUMBAI: Indian markets were outperforming Asian peers as buying momentum continued in oil&gas space after the government hiked fuel prices. All the sectoral indices were in the green with capital goods and power stocks providing support.
“Earlier the worry was whether the government would decontrol fuel prices. Now the worry is whether such a step will flare up inflation and invite an intra-cycle rate hike from the RBI. Whether the central bank will oblige or not only time will tell. The RBI is scheduled to meet on July 27 for the first quarter review.
Whatever the worries, the market has enough reasons to open cautious and more or less remain that way for the day. Shares of oil companies could extend Friday’s rally after the Government freed petrol prices and promised to deregulate diesel prices too. With opposition parties raising a hue and cry, one has to see if there is any rollback in fuel prices.
The market will consolidate in a sideways fashion given the near-term uncertainties - over both local as well as global. FIIs turned net sellers on Friday. Fund flows will have a bearing in determining the market’s mood. Progress in monsoon and quarterly earnings will also play a role in shaping the overall sentiment,” said India Infoline report.
At 10:25 am, Bombay Stock Exchange’s Sensex was at 17678.90, up 104.37 points or 0.59 per cent. The index touched a high of 17701.21 and low of 17571.85 in early trade.
National Stock Exchange’s nifty was at 5298.75, up 29.70 points or 0.56 per cent. The broader index hit intra-day high of 5308.05 and low of 5270.75.
BSE Midcap Index was up 0.53 per cent and BSE Smallcap Index moved 1 per cent higher.
Amongst the sectoral indices, BSE Oil&gas Index gained 1.81 per cent, BSE Capital Goods Index moved 0.80 per cent and BSE Power Index advanced 0.68 per cent.
ONGC (3.49%), Reliance Communications (2.99%), Mahindra & Mahindra (1.68%), Wipro (1.49%) and RIL (1.44%) were the top Sensex gainers.
Reliance Communications on Sunday announced a deal that would see its tower business combine with smaller rival GTL Infrastructure to create what it claimed would be the world’s largest independent telecom tower company with an enterprise value of Rs 50,000 crore and 80,000 towers. The GTL Infra-RCOM deal is one of the biggest domestic M&A deals.
State-owned Mexican oil company Pemex and India’s Reliance Industries may soon forge a partnership to develop a large-capacity greenfield refinery in Mexico. The 300,000-barrels-a-day refinery will largely meet the domestic energy requirements of Mexico.
Mahindra Group is planning to invest Rs. 2.5 billion in the aerospace business. Anand Mahindra, Managing Director and Vice Chairman of the Mahindra group made this announcement in Bangalore while inaugurating the newly built Mahindra & Mahindra (M&M) plant.
Losers included HDFC Bank (-0.73%), Maruti Suzuki (-0.72%), Jindal Steel (-0.65%), Hero Honda (-0.53%) and ACC (-0.41%).
Cement prices are expected to soften by 8-10% from Thursday across the country, the third successive fall since May, by companies struggling to cope with lower demand for the key building material. According to dealers, cement prices are likely to be pegged at around Rs 200-220 per 50-kg bag from July 1, against the current market rate of Rs 235.
Market breadth was positive on the BSE with 1716 gainers and 720 declines.
Asian markets were mixed. Nikkei 225 was down 0.50 per cent and Shanghai Composite declined 0.61 per cent. Taiwan Weighted gained 0.47 per cent and Seoul Composite moved 0.14 per cent higher.
“Earlier the worry was whether the government would decontrol fuel prices. Now the worry is whether such a step will flare up inflation and invite an intra-cycle rate hike from the RBI. Whether the central bank will oblige or not only time will tell. The RBI is scheduled to meet on July 27 for the first quarter review.
Whatever the worries, the market has enough reasons to open cautious and more or less remain that way for the day. Shares of oil companies could extend Friday’s rally after the Government freed petrol prices and promised to deregulate diesel prices too. With opposition parties raising a hue and cry, one has to see if there is any rollback in fuel prices.
The market will consolidate in a sideways fashion given the near-term uncertainties - over both local as well as global. FIIs turned net sellers on Friday. Fund flows will have a bearing in determining the market’s mood. Progress in monsoon and quarterly earnings will also play a role in shaping the overall sentiment,” said India Infoline report.
At 10:25 am, Bombay Stock Exchange’s Sensex was at 17678.90, up 104.37 points or 0.59 per cent. The index touched a high of 17701.21 and low of 17571.85 in early trade.
National Stock Exchange’s nifty was at 5298.75, up 29.70 points or 0.56 per cent. The broader index hit intra-day high of 5308.05 and low of 5270.75.
BSE Midcap Index was up 0.53 per cent and BSE Smallcap Index moved 1 per cent higher.
Amongst the sectoral indices, BSE Oil&gas Index gained 1.81 per cent, BSE Capital Goods Index moved 0.80 per cent and BSE Power Index advanced 0.68 per cent.
ONGC (3.49%), Reliance Communications (2.99%), Mahindra & Mahindra (1.68%), Wipro (1.49%) and RIL (1.44%) were the top Sensex gainers.
Reliance Communications on Sunday announced a deal that would see its tower business combine with smaller rival GTL Infrastructure to create what it claimed would be the world’s largest independent telecom tower company with an enterprise value of Rs 50,000 crore and 80,000 towers. The GTL Infra-RCOM deal is one of the biggest domestic M&A deals.
State-owned Mexican oil company Pemex and India’s Reliance Industries may soon forge a partnership to develop a large-capacity greenfield refinery in Mexico. The 300,000-barrels-a-day refinery will largely meet the domestic energy requirements of Mexico.
Mahindra Group is planning to invest Rs. 2.5 billion in the aerospace business. Anand Mahindra, Managing Director and Vice Chairman of the Mahindra group made this announcement in Bangalore while inaugurating the newly built Mahindra & Mahindra (M&M) plant.
Losers included HDFC Bank (-0.73%), Maruti Suzuki (-0.72%), Jindal Steel (-0.65%), Hero Honda (-0.53%) and ACC (-0.41%).
Cement prices are expected to soften by 8-10% from Thursday across the country, the third successive fall since May, by companies struggling to cope with lower demand for the key building material. According to dealers, cement prices are likely to be pegged at around Rs 200-220 per 50-kg bag from July 1, against the current market rate of Rs 235.
Market breadth was positive on the BSE with 1716 gainers and 720 declines.
Asian markets were mixed. Nikkei 225 was down 0.50 per cent and Shanghai Composite declined 0.61 per cent. Taiwan Weighted gained 0.47 per cent and Seoul Composite moved 0.14 per cent higher.
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