ITC and ONGC were gainers while BHEL fell over 7 percent. Adani Ports, Tata Steel, ICICI Bank and Lupin were losers in the Sensex.
3:25 pm Market experts: Hemant Thukral, National Head-Derivative Desk, Aditya Birla Money. The Nifty will rebound to 8700 levels in 2-3 sessions. He recommends buying on every dip and suggests investors avoid shorting.
During the Kargil War, the market had not reacted so sharply due to various reasons, says Ashwani Gujral, ashwanigujral.com. There was a software boom across the globe and a market rally had just started in the country. The current market rally is 7 months old and the market had to get hit by this news.
3:20 pm Steel trade: The steel market remained steady today as prices continued to move in narrow range in scattered deals and settled around previous levels. Traders said adequate stocks position against limited deals from construction units kept steel prices at previous levels.
"Sometime in next six months a proposal will be sent to our board for its approval to start the second phase work at Kalinganagar, while the focus now is to achieve full 3 mtpa capacity in first phase fast," Tata Steel MD (India and South East Asia) T V Narendran said.
He also said that Kalinganagar plant, set up at an investment of over Rs 25,000 crore, is likely to reach break even by the end of this fiscal.
After achieving the first phase rated capacity of 3 mtpa, second phase expansion can be taken up, Narendran said. 3:05 pm USFDA approval: Pharma Major Lupin announced that it has received final approval for its Memantine hydrochloride extended-release capsules, 7 mg, 14 mg, 21 mg, and 28 mg from the United States Food and Drug Administration (FDA) to market a generic version of Allergan’s Namenda XR capsules, 7 mg, 14 mg, 21 mg, and 28 mg.
Lupin's Memantine hydrochloride extended-release capsules are the AB rated generic equivalent of Allergan’s Namenda XR capsules.
Memantine Hydrochloride is indicated for treatment of moderate to severe dementia of the Alzheimer's type. Namenda XR capsules had US sales of USD 1.22 billion, according to IMS MAT June 2016.
3:00 pm Market volatile: Benchmark indices were too much volatile amid selling pressure. The Sensex was down 448.16 points or 1.58 percent at 27844.65 and the Nifty down 148.25 points or 1.70 percent at 8596.90.
About 6.5 shares declined for every share rising on the BSE. 2:58 pm Pakistan's MFN status: The meeting scheduled to review the Most Favoured Nation (MFN) status granted to Pakistan has been postponed and will now take place next week, reports News18 quoting unnamed sources.
After the Uri attack, India has stepped up the diplomatic offensive against Pakistan.
The term 'Most Favoured Nation' doesn't mean any kind of special treatment to goods imported from Pakistan. It only means that there will not be any discriminatory tariffs on any product imported from Pakistan as compared to that same product being imported from any other country.
The MFN status was accorded to Pakistan in 1996 when India joined the WTO and signed the General Agreement on Tariffs and Trade (GATT).
Parker has a positive stance on the Indian economy and sees the country maintaining a 7.5 percent growth rate.
2:52 pm Europe shines: European stocks were higher as investor sentiment was buoyed by a surge in the oil price after major oil producers agreed to cut production levels.
The pan-European Euro Stoxx 600 Index was higher with all sectors and major bourses in positive territory. The near-6 percent rise in oil prices on Wednesday came after OPEC members reached an agreement to limit production to a range of 32.5 million to 33.0 million barrels per day, down slightly on August's output of 33.2 million barrels a day. 2:50 pm UK MHRA inspection: Drug firm Wockhardt today said that the UK health regulator has completed inspection of its Chikalthana plant at Aurangabad in Maharashtra without making any critical observations.
"The inspection of our manufacturing unit at L-1, Chikalthana, Aurangabad, Maharashtra by UK MHRA has since been completed without any critical observations and the approval status of the said unit continues," Wockhardt said in a filing to BSE today.
It further said: "The said audit was as per schedule." The UK regulator had in October 2013 withdrawn the GMP certificate to the Chikalthana plant and had also initiated recall of five prescription medicines from there. 2:43 pm Former army chief comments: Through the surgical strikes undertaken yesterday, the right message has been conveyed to the target audience, says former army chief General Bikram Singh who welcomed the move.
Sharing his thoughts on the strikes with CNBC-TV18, Singh noted there is a marked difference in government response to the recent attacks compared with earlier responses. However, the army by no means intends to go beyond political will that has been charted out, he adds.
Singh is happy there is adoption of more assertive & aggressive policy at national level this time. 2:40 pm Zee forays into radio biz: Zee Entertainment Enterprises (ZEEL) has forayed into the radio segment by acquiring UAE's leading radio station Hum 106.2 FM for an undisclosed amount from Shamal Media Services.
Following the acquisition, the Essel group firm has become the first entertainment network in the region to provide media solution to its partners through television, radio and digital platforms, ZEEL said in a statement.
It was the first to launch a Bollywood TV channel, Zee Aflam, in 2008 for the Arab audience as well introduce the Arab world to Hindi programmes dubbed in Arabic with Zee Alwan in 2012. 2:35 pm Market Expert: Vibhav Kapoor of IL&FS says it is not the right time to sell investments. He advised buying on such correction for long term investors.
It is just a panic selling, he says, adding the bounceback will happen soon. 2:29 pm Market near day's low: Equity benchmarks traded nearly day's low with the Sensex falling 530.53 points or 1.88 percent to 27762.28 and the Nifty down 172.45 points or 1.97 percent at 8572.70.
The Nifty Bank plunged 575.45 points or 2.93 percent to 19078.10, dragged by Bank of India, Federal Bank, PNB, Canara Bank, ICICI Bank, Bank of Baroda and SBI that cracked 4-7.5 percent.
In its preliminary findings, the directorate general of anti-dumping and allied duties (DGAD) has recommended the duty.
DGAD has suggested that for certain Chinese companies, the duty should be the difference between the landed value of the steel products and USD 499 per tonne while for others, it should be the gap between the landed value and USD 538 per tonne.
2:21 pm FII View: Global brokerage major Credit Suisse is 'underweight' on Indian equities and said that the country is one of the four most overvalued markets along with Indonesia, the Philippines and Malaysia.
Underweight refers to a below-average chance of matching the performance of its peers, and hence investors should have less exposure to the stock in their portfolios.
Based on Credit Suisse's price-to-book ratio (P/BV) versus return on equity (ROE) valuation model, India, Indonesia, the Philippines and Malaysia are the four most 'overvalued' in the world.
2:18 pm The 30-share BSE Sensex dropped 424.70 points or 1.50 percent to 27868.11 and the 50-share NSE Nifty fell 131.80 points or 1.51 percent to 8613.35. 2:16 pm Market Outlook: The Indian Army has conducted surgical strikes crossing the Line of Control (LoC) into Pakistan Occupied Kashmir inflicting significant damage to the terrorist infrastructure across the border.
The market fell more than 1 percent but Sanjay Dutt of Quantum Securities says although the geopolitical risk is disconcerting, he does not think the military situation would go out of control.
Dutt says these in fact could be opportunity to accumulate stocks. India’s fundamental story does not change even if there is a 15-20 days conflict. The secular trend remains intact. However, he cautions against going out and buying now and advices to wait and see what happens.
The Director General of Military Office (DGMO) also said the surgical strikes have stopped as of now. 2:14 pm Market Update: Nifty Midcap plunged 3.1 percent to 15206 and Nifty Bank shed 466 points to 19187.40. 2:10 pm Rupee at 1-week low: Rupee is at one-week low with complacency seen across clients. Importers are rushing for hedging positions and hence there could be further movement on Indian currency. Experts say 66.65 is a crucial support.
Meanwhile, hopes of rate cuts reduced as yields hardened. RBI could become cautious on account of geo-political issues. Profit booking and chances of rate cuts reducing in October 4 policy weigh. The market is likely to watch fund flow into debt post geopolitical developments. Foreign instituional investors have put in around USD 1 billion in debt markets over past one month Yields may harden to even 7 percent levels. 2:05 pm Buzzing: ICICI Bank shares plunged 6.5 percent intraday after the sharp fall in stock price of its insurance subsidiary on debut.
ICICI Prudential Life Insurance fell below the Rs 300 level on listing day itself. It crashed 11 percent intraday to hit an intraday low of Rs 297.10 compared with issue price of Rs 334 per share.
The insurance company lost its market capitalisation of more than Rs 5,000 crore in one day to Rs 42,643.4 crore from Rs 47,939.8 crore.
ICICI Prudential Life Insurance is the largest private sector life insurer by total premium and assets under management in FY16.
Bears kept tight control over Dalal Street as equity benchmarks as well as broader markets fell 1-3 percent today after the Indian Army conducted surgical strike on Pakistan last night.
The 30-share BSE Sensex was down 389.80 points or 1.38 percent at 27903.01 and the 50-share NSE Nifty fell 119.55 points or 1.37 percent to 8625.60.
The market breadth was largely in favour of declines as more than five shares declined for every share advancing on the Bombay Stock Exchange.