Indices Flat Following WPI Data

The Indian markets have turned flat after the WPI data was announced in the morning. The BSE Sensex is currently trading at 18687 and Nifty is trading at yesterday’s closing level.

Earlier in the morning, the WPI data for Sept 2012 was announced. This came in at 7.81, which marks a 10-month high. The market was also expecting inflation to rise to about 7.7%. The spike in inflation has faded the talks of a rate cut by the RBI in its monetary policy review due on Oct 30.

Meanwhile, the European markets have opened positive, with CAC showing gains of nearly 1%, DAX showing 0.7% appreciation and FTSE also in the green.

In the Asian markets, Hang Seng is trading flat and Shanghai has cut its morning gains to losses. Nikkei closed with 0.54% gains.

The Realty index is trading has cut its gains to 0.6%. FMCG, Oil & Gas and Healthcare are also up 0.5% each. CD, IT and Teck, on the other hand, are in negatives. Among the Sensex stocks, Hindalco is the top gainer with 1.7% gains. Cipla is higher by 1.2% and private power utility Tata Power is up 1.1%. RIL has surged by a further 0.99% on expectations of better earnings. Jindal Steel, ITC and DRL are also in the gainers list. In Auto stocks, Bajaj Auto is trading in gains but others like Tata Motors, Maruti Suzuki and Hero MotoCorp are trading down.

JSW Steel has gained by about 0.2% on reports that its crude steel production grew by 25% in Q2 FY13. Cera Sanitaryware has touched a new high on the back of robust Q2 results.

The overall market breadth is positive, with 50% advances.