Key domestic indices were almost flat after hitting fresh intraday high in mid-morning trade. Sentiment in global stock market improved after US index futures bounced back.
At 11:28 IST, the barometer index, the S&P BSE Sensex, was down 66.65 points or 0.2% at 32,711.49. It jumped 571.69 points or 1.74% to hit the day's high of 33,349.83 in mid-morning trade.
The Nifty 50 index was down 6.25 points or 0.07% at 9,583.90. The index climbed 159.80 points, or 1.67% to hit the day's high of 9,749.95.
Broader market reeled under pressure. The S&P BSE Mid-Cap index was down 2.06% while the S&P BSE Small-Cap index was down 2.58%.
The market breadth was weak. On the BSE, 566 shares rose and 1,349 shares fell. A total of 108 shares were unchanged. In Nifty 50 index, 23 stocks advanced while 27 stocks declined.
Trading was earlier halted after the Nifty dropped by 10% to hit the lower circuit in opening deals. The market sharply recovered during the second pre-open session of the day. The market resumed at 10:05 IST for pre-opening session. Normal trading restarted from 10:20 IST.
Economy:
Consumer price inflation in India eased to 6.58% in February 2020 from 7.59% in January 2020. The fall was mainly due to easing food prices.
Food inflation eased to 10.81% in February from 13.63% a month ago. The retail inflation was 2.57% in February 2019.
Industrial production in India jumped 2% year-on-year in January 2020, following a 0.3% drop in December. The indices of industrial production for the mining, manufacturing and electricity sectors for January 2020 stand at 124.3, 137.6 and 155.6 respectively, with the corresponding growth rates of 4.4%, 1.5% and 3.1% as compared to January 2019.
India's current account deficit (CAD) narrowed sharply to $1.4 billion (0.2% of GDP) in Q3 of 2019-20 from $17.7 billion (2.7% of GDP) in Q3 of 2018-19 and $6.5 billion (0.9% of GDP) in the preceding quarter Q2 of 2019-20. The contraction in the CAD was primarily on account of a lower trade deficit at $34.6 billion and a rise in net services receipts at $21.9 billion as compared with the corresponding period of last year.
The Reserve Bank of India on Thursday announced that it will undertake a 6-month US dollar sell/buy swaps to provide liquidity to the foreign exchange market. The swaps will be conducted through the auction route in multiple tranches. The central bank will conduct US dollar-rupee sell-buy swaps worth $2 billion on 16 March 2020.
Stocks in Spotlight:
National Stock Exchange in a press release after market hours yesterday said that Bandhan Bank will be replace Yes Bank in Nifty Bank index with effect from 27 March 2020. The Nifty Bank index has a total of 12 stocks. NSE further said that ITC will replace Yes Bank in Nifty 50 Value 20 index.
Shares of Yes Bank were trading 3.79% higher at Rs 26 while Bandhan Bank was trading 13.98% lower at Rs 288.
Bharat Petroleum Corporation declared an interim dividend of Rs 16.50 per equity share with a record date of 24 March 2020. Shares of BPCL were trading 0.65% higher at Rs 347.70.
Coal India announced that it will pay an interim dividend of Rs 12 per share with a record date of 20 March 2020. Shares of Coal India were trading 0.48% lower at Rs 154.40.
Global Markets:
US Dow 30 futures were up 242 points. Shares in Asia pared early losses on Friday. Sentiment continued to be weak as fears of economic fallout from the coronavirus crisis deepened and the meltdown in the US, the world's biggest economy, battered confidence around the globe.
In US, stocks tumbled on Thursday with both the Dow Jones Industrial Average and the S&P 500 index suffering their worst day since the 19 October, 1987 "Black Monday" crash. Stock prices plunged despite a move by the US Federal Reserve to offer some $1.5 trillion worth of funding to keep credit flowing through financial markets to businesses as governments move to restrict the movement of people in an attempt to contain the coronavirus pandemic.
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(This story has not been edited by Business Standard staff and is auto-generated from a syndicated feed.)