Thursday, the Indian market is moving sideways on alternate bouts of buying and profit taking. While firm global cues and sustained buying by foreign funds thus far in April are keeping underlying sentiment buoyant, political uncertainty on the outcome of the parliamentary elections and apprehensions over the quality of corporate earnings for the March quarter are keeping the market volatile. The main national parties may struggle to form a stable coalition, according to a Star News- Nielsen poll conducted from 26 March 2009 to 3 April 2009.

After opening higher, the benchmarks have surrendered their early gains and are now trading in negative terrain. While the BSE Sensex is trading at 11,258, down 27 points or 0.24% over the previous close, the S&P CNX Nifty is trading at 3,478, down 0.18%.

However, the broader market is holding up and showing strong gains. The broad-based BSE 500 index is up 0.40%, the mid-cap index is rising 1.80% and the small-cap index is adding 2.13%. On the BSE, the market breadth is extremely positive, with 1391 advancers compared to 615 stocks that are declining.

Among the top losers, Ranbaxy Laboratories is losing nearly 3%, Mahindra & Mahindra is declining 2.39% and Reliance Industries is moving down 2.12%. Tata Steel, BHEL, ONGC, HDFC, HDFC Bank and Tata Power are the other major decliners.

IT stocks are trading weak amid the strengthening of the rupee and weak outlook given by Infosys for FY10. Among the major losers in this space, Infosys is drifting down 2.85%, Wipro is down 1.82% and HCL Technologies is down 1.37%.

However, DLF, Hindalco, Reliance Communication, Maruti Suzuki, Grasim, Bharti Airtel, Reliance Infrastructure, Hindustan Lever and Larsen & Toubro are showing notable gains.

Suzlon Energy is rising 1.75% on reports that it is in advanced talks with investor Sivasankaran to raise nearly Rs.400 crore to increase its shareholding in Germany's REpower. DLF is jumping more than 5% on reports that the company could surrender its five of the nine IT-ITeS economic special economic zones to the government.

Mastek is up 0.78% after its US subsidiary Majesco Mastek signed an agreement with Flexi Software to deliver integrated accounting solutions to insurance firms.

JSL is gaining nearly 1% despite reports that it would post its first ever-annual loss in the FY09 due to high raw material prices and longer-than-expected plant shutdowns. Orchid Chemicals is adding 3.28% after it bought back and extinguished foreign currency convertible bonds (FCCBs) worth $40 million.

Rallis India is climbing nearly 8% on reporting a 26% rise in its net profit for the March quarter compared to the same quarter last year. Blue Dart Express is tumbling 3.72% after reporting a 62% fall in its net profit for the three months ended March.

Reliance Communications is up 2.93% on reports that it has added 3 million new subscribers in March. Gitanjali Gems is jumping 32.7% to Rs.96.35 after it announced to buy back 1.2 crore shares at a price not exceeding Rs.120 per share.

Arvind is down 0.40% after the company proposed to consider debt- restructuring. It has also convened a board meeting on April 16 to consider a preferential issue of convertible warrants to the company's promoters.

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