Indian shares are moving sideways in early trading on Tuesday, as caution prevails ahead of GDP numbers due around noon.
Investors are taking profits at higher levels after global rating agency Standard and Poor's warned that widening fiscal deficit, slowing economic expansion and high inflation weighed on India's sovereign outlook in 2012.
Other Asian markets are subdued, with China's Shanghai Composite index losing nearly 2 percent, after Greece missed another deadline to come up with a deal to satisfy the conditions for securing a second bailout from the troika.
Trading in a narrow range, the benchmark 30-share Sensex and the broader Nifty index are currently up around 0.1 percent each. Consumer durable, oil/gas, metal and auto stocks are gaining ground, but realty, power and capital goods stocks are subdued, limiting the upside.
Reliance Industries is up 1.5 percent on a brokerage upgrade. Dhanlaxmi Bank is adding 2.3 percent after its managing director and chief executive Amitabh Chaturvedi resigned owing to differences of opinion with the board.
Dena Bank is gaining 2.1 percent after the lender announced a 5 percent dilution of equity in favor of state-run insurer LIC by way of allotment of preferential shares.
Asian Paints is gaining half a percent following an update on a scheme of amalgamation. SpiceJet is gaining 0.6 percent even as auditors of the budget carrier cast doubts on the ability of the airline to stay afloat.
ONGC and Gail India are edging lower, but Oil India is up 0.8 percent after reports said the stat-run companies will contribute Rs 36,900 crore towards fuel subsidy for the April-December 2011 period. Mahindra & Mahindra is declining a percent ahead of its quarterly results today.
Manappuram Finance is plunging 15 percent after the Reserve Bank of India banned the Kerala-based company and an unlisted group company from accepting or renewing deposits from the public. Trent is moving down 0.4 percent on fund raising reports.
Adani Power is tumbling 4 percent after it swung to a Rs. 358 crore loss in the third quarter ended December as against a net profit of Rs 109 crore in the corresponding period last year. NCC is plunging 7 percent as the construction firm posted a net loss of Rs.10.32 crore on a consolidated basis for the third quarter ended December.
BGR Energy is down 1.8 percent on disappointing quarterly results. GlaxoSmithkline Consumer Healthcare is losing 2.2 percent on reporting an 18 percent rise in fourth-quarter net profit.
Gulf Oil Corporation is tumbling 4.2 percent after its board approved divesting entire stake in its wholly-owned subsidiary, IDL Explosives. India Infoline is down 2.6 percent on profit taking after rallying 22 percent the day before.
Indian markets rose for the fifth straight session on Monday, with benchmark indexes Sensex and the Nifty rising around 0.6 percent each, as positive economic data from the United States raised hopes the global economy will withstand the impact of Europe's debt crisis.
Sentiment also improved after a Delhi court dismissed a petition on Saturday against Home Minister Palaniappan Chidambaram, an accused in the 2G spectrum case.
For comments and feedback: editorial@rttnews.com