Thursday’s session turned out to be of consolidation as local equity markets took a breather after last three trading sessions ferocious bull-run, which took markets scaling fresh life time high levels with each passing session. Market-participants’ hesitation in initiating fresh bets ahead of the elections’ final result on May 16 combined with record high levels which enticed traders to cash in their profit, mainly led to down session of trade at Dalal Street, which dragged Sensex lower over quarter of a percent and Nifty marginally below the neutral line. However, losses to some extent were capped by the recovery that took place in the late hours of trade. On the political front, most exit polls predicted that Narenda Modi and his alliance will secure a simple majority in India’s legislature, or 272 of parliament’s 543 seats. Notably, the session clearly belonged to broader indices, which for yet another session accumulated massive gains of over a percent.

On the global front, Asian stocks rose amid speculation that China will do more to support the property market, however gains were capped as investors continued to monitor the ongoing crisis in the Ukraine, where pro-Russian separatists ambushed Ukrainian troops on Tuesday, killing seven. On the flip side, European shares eased from multi-year highs on Wednesday and the euro licked its wounds after slumping to a five-week low as the focus shifted to an economic outlook from the Bank of England for clues on when UK interest rates will rise.

Closer home, despite being the lackluster session of trade, majority of the sectoral indices settled into positive terrain, with the prominent gainers being the stocks from Realty, Metal and Consumer Durable counters. On the flip side, much of profit-booking was witnessed in stocks from Oil & Gas counter, followed by Capital Goods and Information Technology counters that ended with cut of over 0.25%. On the gainers’ side, state-run banks gained after a committee appointed by Reserve Bank of India (RBI) proposed on Tuesday the Indian government should cut its stakes in state banks to below 50%. Besides, steel stocks witnessed massive demand, with all JSW Steel, Steel Authority of India (SAIL), and Jindal Steel & Power gaining in the range of 1.5%-6%. The market breadth on the BSE ended positive; advances and declining stocks were in a ratio of 1689: 1222, while 131 scrips remained unchanged. (Provisional)

The BSE Sensex soared 56.11 points or 0.24% to settle at 23815.12. The index touched a high and a low of 23964.67and 23753.36 respectively. Among the 30-share Sensex, 15 stocks gained, while 15 stocks declined. (Provisional)

The broader indices too shut shop with massive gains; while BSE Mid cap index ended higher by 1.12%, Small cap index settled with gains of 1.24%.(Provisional)

On the BSE Sectoral front, Realty up by 4.32%, Metal up by 3.22%, Consumer Durables up by 2.28% , PSU up by 1.84% and Power up by 0.83% were the gainers while, Oil & Gas down by 0.78%, Capital Goods down by 0.36%, IT down by 0.31% , Health Care down by 0.30% and Auto down by 0.03%  were the losers in the space. (Provisional)

The top gainers on the Sensex were Tata Steel up by 6.11%, Coal India up by 3.29%, Bajaj Auto up by 2.77%, SSLT up by 2.62% and NTPC up by 2.36% while, Mahindra & Mahindra down by 3.34%, Dr Reddys Lab down by 3.24%, HDFC down by 2.04%, RIL down by 1.59% and BHEL down by 1.51% were the top losers in the index (Provisional).

India currently is the fourth largest oil consumer in the world behind the US, China and Japan, and imports around 80 percent of its oil needs. In the previous year 2013, India had overtaken Japan as the world’s third-biggest crude oil importer. It imported 3.86 million bpd of crude oil in 2013, nearly 6 percent higher than Japan’s customs-cleared imports of 3,648,372 bpd. The US EIA report estimates that India will become the world’s largest oil importer by 2020. Meanwhile, the Government of India (GoI) has formulated a roadmap for cutting India’s dependence on imports to meet its oil needs. The Government wants country’s oil imports dependence to be cut to 50 percent by 2020 and by 25 percent in 2025 through intensive exploration and exploitation of untapped reserves. Presently, only 0.93 million sq km area in India is held under exploration and production in 19 basins as compared to total estimated sedimentary area of 3.14 million square kilometres, comprising 26 sedimentary basins.

India VIX, a gauge for markets short term expectation gained 1.16% at 32.42 from its previous close of 32.06 on Tuesday. (Provisional)

The CNX Nifty ended flat at 7,108.40. The index touched high and low of 7,142.25 and 7,080.90 respectively. Out of 50 stocks in Nifty, 30 stocks ended in the green and 20 in red.

The major gainers of the Nifty were Bank Baroda up 9.60%, Jindal Steel up by 5.95%, Tata Steel up by 5.95% , DLF up by 5.45% and NMDC up by 5.07%.  On the flip side, the key losers were M&M down by 3.67%, DR Reddy down by 3.48%, HDFC down by 1.91%, Reliance down by 1.74% and HDFC Bank down by 1.71%. (Provisional)

European markets were trading in red; France’s CAC 40 was down by 0.15%, UK’s FTSE 100 was down by 0.02% and Germany’s DAX was down by 0.06%.

The Asian markets concluded Wednesday’s trade mostly in green, following a record close for the Dow and S&P 500 on Wall Street. Southeast Asian currencies rallied as US economic data that trailed estimates weakened the greenback, and political developments in Indonesia spurred the rupiah to its biggest gain since March. A set of unexpectedly weak activity data for April pointed toward a stalling economic recovery in China, reviving expectations that the government will continue policies aimed at nurturing growth. New home sales in China declined at a faster rate in the first four months of this year, by both value and volume, as the lack of enthusiasm among homebuyers continued. The value of new homes sold across the country dropped 9.9% from the same period a year earlier to 1.53 trillion yuan ($246 billion) during the January-April period. In the first quarter, the value fell 7.7% year on year. Japan’s Corporate Goods Price Index rose to a seasonally adjusted annual rate of 4.1%, from 1.7% in the preceding month. South Korean Unemployment Rate rose to a seasonally adjusted annual rate of 3.7%, from 3.5% in the preceding month.

Asian Indices

Last Trade

Change in Points

Change in %

Shanghai Composite

2047.91

-2.82

-0.14

Hang Seng

22582.77

230.39

1.03

Jakarta Composite

4991.64

70.24

1.43

KLSE Composite

1879.20

13.12

0.70

Nikkei 225

14405.76

-19.68

-0.14

Straits Times

 3259.09

36.66

1.14

KOSPI Composite

2010.83

27.90

1.41

Taiwan Weighted

8875.16

57.22

0.65