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:
Comments (0)
This discussion is now closed. We welcome comments on our articles for a limited period after their publication.

  • Most Popular
  • Most Shared

REUTERS SHOWCASE

Coal Block Allocation

Coal Block Allocation

Government urges Supreme Court to not cancel some 'illegal' coal mines  Full Article 

Modi in Japan

Modi in Japan

Japan and India agree to boost strategic ties at summit  Full Article 

Basel III Norms

Basel III Norms

RBI amends Basel III guidelines for banks  Full Article 

HSBC PMI

HSBC PMI

Factory activity expands at slower clip in August.  Full Article 

Current Account

Current Account

Balance of payments surplus for third straight quarter  Full Article 

India Infrastructure

India Infrastructure

RBI rule handicaps India's infrastructure hopes  Full Article 

Book Talk

Book Talk

Reema Abbasi and a glimpse of Pakistan’s Hindu past  Full Article 

China Economy

China Economy

Retreat in China's PMIs heightens calls for policy easing.  Full Article 

Managing Share Sales

Managing Share Sales

Govt seeks bids from banks to manage PFC, REC share sales   Full Article 

Reuters India Mobile

Reuters India Mobile

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