Market Live: Sensex over 100 pts lower, Nifty firmly below 10300; banks bleed

Equity benchmarks remained under pressure on profit booking after rallying 850 points in previous three consecutive sessions. Investors await Federal Reserve policy meeting that will start tonight and the second phase of Gujarat assembly elections on Thursday.

The 30-share BSE Sensex was down 122.85 points at 33,332.94 and the 50-share NSE Nifty fell 48.70 points to 10,273.60.

HPCL, BPCL and IOC declined 2-3 percent after crude oil prices crossed USD 65 a barrel level.

10:40 am USFDA approval: Alembic Pharmaceuticals has received approval from the US Food and Drug Administration for its abbreviated new drug application (ANDA) Darifenacin extended-release tablets, 7.5 mg and 15 mg.

The drug is therapeutically equivalent to Enablex of Allergan Pharmaceuticals.

This drug is used for treatment of overactive bladder with symptoms of urge urinary incontinence, urgency and frequency.

10:30 am Market Check: Frontline indices continued to trade lower, with the Sensex down over 100 points, while the Nifty was firmly below 10,300-mark.

The Sensex is down 112.54 points or 0.34% at 33343.25, and the Nifty down 46.10 points or 0.45% at 10276.20. The market breadth is negative as 987 shares have advanced, 1174 shares declined, and 104 shares are unchanged.

10:10 am Health in Union Budget: With eye on Universal Health Coverage, the Centre will increase its healthcare expenditure from the current 1.15 percent to 2.5 percent of the gross domestic product (GDP) by 2025.

According to a Mint report, the announcement was made by Union Health Minister JP Nadda.

Close to 150,000 sub-health centres will be converted to health and wellness centres for providing more improved, comprehensive health care.

Here are the top headlines at 10 am from Moneycontrol News’ Anchal Pathak

9:48 am Buzzing Stock: Dr Reddy’s Laboratories shares rallied as much as 6 percent in morning Tuesday on getting clearance to Bachupally plant.

The pharma major informed exchanges that it has received an establishment inspection report from the US Food and Drug Administration on Monday after closure of audit of Bachupally unit, Hyderabad.

In April, the USFDA conducted an audit of this formulation manufacturing plant 3 and issued a form 483 with 11 observations.

9:31 am Rupee opening and outlook: The Indian rupee opened lower by 5 paise at 64.41 per dollar on Tuesday versus previous close 64.36.

Bhaskar Panda of HDFC Bank said, “The focus is now on FOMC decision on upcoming interest rate hike in US. However, USD-INR has got wing from the probable outcome on elections.”

“Given this background, expect USD-INR to trade within a range of 64.30-64.50 for today.”

9:15 am Market Opens: Equity benchmarks began the day on a flattish note with a hint of negative bias. Soon after the opening, indices moved in the red zone, with the Nifty giving up 10,300.

The Sensex was down 67.71 points at 33388.08, while the Nifty was down 26.60 points at 10295.70. The market breadth was narrow as 611 shares advanced against a decline of 577 shares, while 43 shares are unchanged.

Among sectors, banks have taken a hit, while midcaps are in tandem with benchmarks.

Dr Reddy’s Labs, ONGC, and GAIL were the top gainers on both indices, while Asian Paints, Coal India and HPCL lost the most.

On the global front, Asian shares were trying to string together a fourth session of gains on Tuesday as optimism about global growth looked set to outlast an almost certain hike in US borrowing costs this week.

The latest upbeat news came from China where banks doled out a surprisingly generous dose of credit in November, which could bode well for a pick up in retail sales and industrial output due later in the week.

US stocks closed higher on Monday as investors prepared for an expected Federal Reserve rate hike later in the week, while stocks rose around the world on continued solid global economic growth indicators.
The Dow Jones Industrial Average and the S&P 500 opened flat after news of an explosion in New York’s busy Port Authority commuter hub which New York Mayor Bill de Blasio described as an “attempted terrorist attack.”