It’s a flat start to the market on Wednesday morning, even as tepid global cues and a strengthening dollar weighing on investors’ concerns. The Nifty is trading below 11,550 range.
The Sensex is down 19.23 points or 0.05% at 38138.69, while the Nifty is up 1.70 points or 0.01% at 11522.00. The market breadth is narrow as 271 shares advanced, against a decline of 245 shares, while 63 shares were unchanged.
Weakness in the metals space has continued, with the Nifty Metal index falling over a percent, while auto and banks are trading in the red. Pharmaceutical names are the big gainers. The Nifty Midcap index is lower, down around 0.20 percent.
Globally, the market has been jittery as Facebook and Nike dragged US markets, while Asian markets too are wary of
The Indian rupee opened higher by 18 paise at 71.40 per dollar on Wednesday versus previous close 71.58.
Yesterday the rupee plunged by 37 paise to end at a record low of 71.58 against Monday’s closing 71.21 per dollar.
Rupee continued its record fall for the fifth straight session against US dollar.
On Tuesday, rupee managed to open on positive note but after witnessing wide swings, it finally closed at its historic low of 71.58. OMCs trade lower: Shares of oil marketing companies fell over a percent, with HPCL and BPCL hitting fresh 52-week lows, as crude oil prices move upwards. The Brent crude is hovering close to USD 80 per barrel and this has impacted sentiment among investors.
The likes of HPCL, BPCL and IOC were all down 1 percent.
Higher crude oil prices imply a hit on oil marketing companies’ revenues as their input costs rise. A weaker rupee adds as a double whammy to such companies.>