Markets down on China worries
Markets continue its consolidation mode as the benchmarking indices opened the session on a positive note but close marginally lower, on worries of crash in Chinese shares.
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Chinese Shanghai Composite cracks over 6%
Mumbai: Markets continue its consolidation mode as the benchmarking indices opened the session on a positive note but close marginally lower, on worries of crash in Chinese shares.
Sensex down 46 points to 27,831 and Nifty lower by 10 points at 8,466. However, the broader markets outperformed with midcap and smallcap closed 0.5 per cent and 0.8 per cent higher. The investor sentiment down with the sell-off in Chinese shares, while it will have negative impact on rupee and may further depreciate on Wednesday's trade.
Incidentally, currency market is closed on Tuesday. Further Chinese shares dragged the Shanghi Composite to two-year low, down at 6.5 per cent and Hang Seng lower 1.5 per cent. On the macro level, rating agency Moody's down its growth projections to 7 per cent, from earlier estimate of 7.5 per cent following deficient rains.
It has further dampened market sentiment. On the sectoral front, metals index fell 1.9 per cent followed by healthcare, bankex and realty however IT index gained 1.6 per cent followed by consumer durables.
While metals slipped on concerns of weak demand amid slowdown in Chinese economy, Vedanta, Hindalco and Coal India reported down between 2 to 4 per cent each. Also prices of oil shares fell with RIL down 0.6 per cent, ONGC fell 1.2 per cent and GAIL down 4.4 per cent.
On the other hand, IT exporters gained on expectations of weakening rupee to raise its revenues. Infosys and TCS gained up 1.9 per cent. While banks are the major losers with HDFC, HDFC bank, and ICICI Bank lost up to 1 per cent each.
The gainers: Tata Steel, up 2.07 per cent at Rs 251.65; Maruti Suzuki, up 2.03 per cent at Rs 4,634.55; Infosys, up 1.92 per cent at Rs 1,163.80; TCS, up 1.86 per cent at Rs 2,734.60; and SBI, up 1.76 per cent at Rs 283.95.
The losers: Gail, down 4.43 per cent at Rs 330.20; Coal India, down 4.20 per cent at Rs 364.05; Cipla, down 2.87 per cent at Rs 683.65; Vedanta, down 2.28 per cent at Rs 102.85; and Lupin, down 2.13 per cent at Rs 1,755.25.
