Andrew L D'Cunha
Mumbai, Nov 14: The BSE Sensex erased all its morning gains and fell almost 200 points from days high due to negative sentiments from European markets and due disappointing second quarter results. At the end the BSE Sensex closed at 17119 down by 74 points and the Nifty lost 21 points to close at 5148 points. M&M was the top loser in Sensex falling 5.73% after posting less-than-expected numbers in Q2. The company posted a net profit of Rs 737 crore while CNBC-TV18 expected it at Rs 773 crore. Tata Steel fell more than 4%.
Finance minister Pranab Mukherjee today said the euro zone crisis is impacting the country’s growth and will hurt exports in coming months. “The recent development in the euro zone has heightened uncertainty in financial markets. India’s short-term growth prospects have been adversely impacted,” he said while inaugurating the India International Trade Fair (IITF).
India's wholesale price inflation for the month of October rose marginally to 9.73 per cent against 9.72 per cent in September. Primary article inflation dipped marginally at 11.4 per cent against 11.84 per cent while fuel group inflation was at 14.79 per cent against 14.09 per cent in September. Attributing near double-digit inflation to the price rise in food items, finance minister Pranab Mukherjee on Monday expressed hope that agricultural commodity rates will calm down as result of the good monsoon.
Asian markets welcomed Italy’s new prime minister and new leader vowed to pull the debt-laden country back from the brink of a fiscal disaster that has threatened to tear apart the euro zone. Hong Kong’s Hang Seng Index gained 1.9%, while Japan’s Nikkei Stock rose 1.1%. South Korea’s Kospi climbed 2.1%, and the Shanghai Composite Index rose 1.9%, However, European stocks lost grip on early gains and are trading in negative zone.
Gold touches new all time high
Gold touched a new all-time high level today by rising by Rs 30 to Rs 29,295 per 10 grams, driven by sustained buying by stockists and jewellers to meet the demand for the ongoing marriage season and investors shifting their funds from weakening stocks to rising bullion. Gold in global markets, which normally set price trend on the domestic front, gained 0.4 per cent to $1,796.27 an ounce in Singapore.
Andrew L D'Cunha, Managing Director, WinWin Fin Advisory Pvt. Ltd. Mangalore. Email: finadvisoryltd@yahoo.com