Monday, the Indian market is trading lower on profit taking after rallying almost 21 percent over the past three weeks. A subdued trend in the other Asian markets is also weighing on sentiment. Banking, realty, IT and metal stocks are the worst performers. However, defensive stocks in the healthcare and the consumer durable space are witnessing some buying interest.
The BSE Sensex opened lower at 9,902 and moved down further in early trading. The index is now trading near the day's low at 9,791, down 258 points or 2.56% over the previous close. Meanwhile, the S&P CNX Nifty is trading at 3,040, down 2.21%.
On the BSE, the market breadth is negative, with 765 decliners compared to 659 stocks that are gaining. The broad-based BSE 500 index is moving down 1.81% and the mid-cap index is trading flat, but the small-cap index is showing a modest 0.48% gain.
Among the major losers, ICICI Bank is tumbling 5.85%, Tata Steel is losing 4.59%, Reliance Infrastructure is moving down 3.97%, HDFC is down 3.90% and Infosys Technologies is down 3.85%.
Sterlite Industries, TCS, Jaiprakash Associates, DLF, Reliance Communication, HDFC Bank, Hindalco and State Bank of India are the other prominent decliners.
Twenty-eight out of 30 Sensex stocks are trading in positive territory, but Sun Pharma and NTPC are bucking the declining trend with modest gains.
Tata Teleservices is down 0.44% on reports that the Supreme Court has dismissed the company's plea challenging the imposition of value-added tax of around Rs.30 crore by the Andhra Pradesh state government on the firm's telecommunication services.
Indian Oil Corporation is rising 2.31% following reports that it has received clearance from the ministry of environment and forest for installing its proposed Rs.30 billion delayed- coker- plant at Haldia in West Bengal.
TVS Motor is moving down 0.46% on reports that it will invest Rs.89 crore for setting up a company to finance two-wheeler sales. Allahabad Bank is gaining 0.75% after the bank cut its benchmark prime-lending rate by a quarter percentage point to 12.25 percent from 12.5 percent from April 1.
Tata Motors is losing 2.41% on reports that it plans to set up a truck manufacturing plant in Myanmar with support from the Indian government. Sun Pharmaceuticals is adding 1.63% after it received approval from the US Food and Drug Administration to sell its topiramate tablets used in the treatment of partial onset seizures.
Gitanjali Gems is jumping 4.36% following reports that it has scrapped its plan to set up a special economic zone in Nanded, Maharashtra and is also going slow on six other SEZ projects in Maharashtra and Gujarat due to lower global demand for jewellery items.
Parsvnath Developers is losing 2.37% on reports that it is delaying plans of expansion in the hotel industry. Satyam Computer Services is down 3.86% on reports that Spice Group has decided to withdraw from the bidding process to acquire a controlling stake in the fraud-hit Satyam.
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