BSE Sensex at lowest level since Jan 1; ITC, ICICI fall

MUMBAI Tue Feb 5, 2013 5:03pm IST

1 of 2. A broker looks at a computer screen as he talks on a phone at a stock brokerage firm in Mumbai December 3, 2012.

Credit: Reuters/Danish Siddiqui/Files

Related Topics

Stocks

   

MUMBAI (Reuters) - The Sensex fell on Tuesday for the fifth session in the last six sessions as renewed worries about the euro zone hit global markets, spurring continued profit-taking in recent outperformers such as ITC Ltd (ITC.NS) and ICICI Bank (ICBK.NS).

Domestic shares have struggled ever since the Reserve Bank of India surprised investors with a cautious stance on future rate cuts on January 29, dashing some of the optimism that sustained monetary easing would boost economic growth this year.

Investors are also cautious ahead of the budget, to be unveiled later this month, which is seen as a key test of commitment to shoring up finances.

Fitch Ratings said on Monday that India needs to commit to its recent reform measures and meet its fiscal deficit targets, putting further pressure on a government keen to retain investment grade ratings.

"At a time when inflation remains high, diesel prices are rising, we are looking ahead to how the finance minister balances the gap between income and expenditure in the upcoming budget. Till that time markets will continue to be in a narrow range," said R.K. Gupta, Managing Director at Taurus Mutual Fund.

The Sensex fell 0.46 percent, or 91.37 points, to end at 19,659.82, marking its lowest close since January 1. The index has fallen 1.94 percent in six sessions.

The broader Nifty fell 0.51 percent, or 30.35 points, to end at 5,956.90.

Cigarette maker ITC Ltd fell 1.56 percent, after gaining 7.3 percent in January. ICICI Bank Ltd shares fell 1.33 percent, its third fall in four sessions.

Bharat Heavy Electricals Ltd (BHEL.NS) shares fell 3.5 percent, extending their fall after the company's October-December earnings on Friday disappointed investors.

Jain Irrigation Systems Ltd (JAIR.NS) ended 5.2 percent lower, after the company reported a net loss of 311.7 million rupees in the October-December quarter.

Jubilant Foodworks Ltd (JUBI.NS) shares fall 8.5 percent, after its December-quarter same store sales grew by 16 percent versus expectations of 20 percent.

UCO Bank (UCBK.NS) shares ended 5 percent lower after reporting disappointing asset quality and rising provisioning expenses.

However, Sun Pharmaceutical Industries Ltd (SUN.NS) rose as 4.14 percent after the U.S. Food and Drug Administration approved its generic version of ovarian cancer drug Doxil, made by Johnson & Johnson (JNJ.N) in the U.S. market.

Shares in Sun also gained after subsidiary Taro Pharmaceutical Industries Ltd (TARO.N) posted a 42 percent growth in October-December net profit.

Another blue chip drug maker, Cipla Ltd (CIPL.NS), gained 1 percent ahead of its third-quarter earnings on Wednesday.

Shares in United Spirits Ltd (UNSP.NS) gained 2 percent after media reports that India's securities market regulator, Securities and Exchange Board of India (SEBI), has cleared Diageo Plc's (DGE.L) open offer for the Indian company.

A SEBI spokesman told Reuters the regulator has issued final observations on the offer but would not comment beyond that.

(Editing by Anupama Dwivedi)

FILED UNDER:
  • Most Popular
  • Most Shared

Reforms Plan

REUTERS SHOWCASE

Border Talks

Border Talks

India names Ajit Doval as special envoy for China border talks.  Full Article 

WTO Deal

WTO Deal

U.S. seeks to step up India trade talks  Full Article 

Phone Masts

Phone Masts

American Tower to buy Bharti Nigeria phone masts for $1.1 billion  Full Article 

Infrastructure Plan

Infrastructure Plan

India targets private cash to build railways to its ports.  Full Article 

Shadow Banking

Shadow Banking

Reserve Bank planning more measures for NBFCs.  Full Article 

Auto Sector

Auto Sector

Hyundai Motor, Kia Motors lift 2014 global sales target on China, emerging markets  Full Article 

Oil Prices

Oil Prices

Some fund managers see oil falling to $60 without OPEC cut.  Full Article 

Project Shelved

Project Shelved

Jindal Steel shelves $10 bln project after coal setback.  Full Article 

Market Eye

Market Eye

Sensex, Nifty rise to record after China, ECB stimulus boosts risk appetite.  Full Article 

Reuters India Mobile

Reuters India Mobile

Get the latest news on the go. Visit Reuters India on your mobile device  Full Coverage