Markets volatile, HDFC down 4%

The Indian markets have opened on a flat note for the 3rd consecutive morning of this week. Both the benchmark indices are in negative trades at this hour. The BSE Sensex is down by 0.27%, while Nifty is down by 0.31%.

Earlier, the US markets ended higher on better economic data. The unemployment claims have remained steady.

The European markets however closed on a flat note, with FTSE ending in the green and CAC and DAX closing in red.

The Asian markets seem to be doing better than how they fared yesterday. The Nikkei and Shanghai are trading up with over 0.2% gains. Hang Seng is down marginally. The benchmark indices in Taiwan and South Korea too have edged higher by over 0.3%.

Among the sectoral indices, CD has surged by 2.29%. IT and Teck have also gone higher by over 1%. FMCG, Power, Metals and HC are trading with marginal gains. On the other hand, Bankex is down by 1.35%. CG, Realty and Oil & Gas are also seen in the negative territory.

Of the Sensex stocks, Sterlite Industries has shown some recovery after taking huge beatings in the last two days. The scrip has gained 3.3%. Hindalco has gained by 1.67%. IT stocks such as TCS, Wipro and Infosys are also seen in the gains. Energy stocks NTPC, Tata Power, GAIL India, ONGC and Coal India are trading in the green. The shares of HDFC are seen making intraday losses of over 4%. ICICI Bank is also under pressure, and is down by 2.10%. SBI, has dropped 31 points from its yesterdays closing after it issued shares to the govt. at discount. 

Among other stocks, the shares of Ranbaxy have lost by about 1% after the company announced its Dec 2011 quarter results yesterday, where it reported a net loss of Rs 2883 cr.

The market breadth, which indicates the overall health of the market, is mixed. Out of a total of 2529 stocks, 1383 stocks advanced and 1055 stocks declined. 91 stocks remained unchanged.

We expect the markets to remain volatile today.