Stocks in focus:
ONGC: ONGC's giant gas field in Mozambique holds 45 to 70 trillion cubic feet (tcf) of recoverable reserves, 28 per cent more than the minimum estimated resources when it invested USD 4.12 billion.
Reliance Industries Ltd: Final hearing commenced in the Supreme Court today on the pleas challenging the government decision to double the price of natural gas and seeking cancellation of Reliance Industries Ltd's contract for exploration of oil and gas from the Krishna-Godavari basin.
REC Ltd: Rural Electrification Corp (REC) is in talks with Germany's KfW for raising money to provide funding for renewable energy projects.
Maruti Suzuki Ltd: Sebi has stepped into the dispute between Maruti Suzuki India and local institutional shareholders, the fund houses have hardened their stand while the automaker has spelt out its position to Sebi.
Unitech Ltd: Life insurance major LIC today said real estate developer Unitech's Rs 200-crore loan account continues to remain sub-standard and it will pursue all options to recover the money.
Jindal Steel & Power Ltd: Jindal Power, a company promoted by Jindal Steel & Power Limited (JSPL), has commissioned the first 600-MW unit of an expansion scheme to existing 1,000 MW power plant in Chhattisgarh.
SpiceJet, Jet Airways: Kalanithi Maran's SpiceJet unleashed another bout of massive discounts, under the guise of 'Super Holi Sales' scheme, its fourth in three months, forcing market leader IndiGo to match the offer in their bid to entice people to fly.
The Indian Hotel Company Ltd: The country's largest chain in the segment, will make a Rs 500-crore impairment provisioning on its investments, even as it continues to feel the heat of depressed market conditions, said media reports.
Jet Airways Ltd: The Rs.2,060-crore Jet-Etihad deal seems to have hit a fresh round of regulatory turbulence, with the Abu Dhabi carrier rejecting any obligation to make an open offer for minority shareholders of the Indian carrier.
Nifty News:
Indian markets are expected to trade in a range on Wednesday following muted trend seen in other Asian markets. The key support for the index is around 6,439 levels.
"The Nifty is expected to trend up till 6540 in the next couple of days. In this period the key support will be at 6439 and resistance will be at 6540," said Somil Mehta, Senior Tech Analyst (Equity) at Sharekhan.
"The Nifty has been forming higher tops and higher bottoms; it has also closed above the previous swing's high which is a positive sign for the market," he added.
Mehta is of the view that the short-term bias for the index remains positive for a target of 6600 with reversal at 6200. The medium-term outlook also remains positive as the index has started forming higher tops and higher bottoms on the weekly chart.
Pre-market: Nifty seen opening lower; IIP, CPI data eyed
The 50-share Nifty index is expected to open lower on Wednesday following muted trend seen in other Asian markets. Tracking the momentum, the index is expected to retest its crucial psychological level of 6,500 in trade today
Investors will keep a close eye on Consumer inflation (CPI) for February 2014 and industrial output data ( IIP) data for January 2014 which will come out later today.
Retail inflation is expected to ease further to a 25-month low of 8.35 percent in February from 8.79 percent in January on moderating vegetable prices. But industrial output is forecast to post a fourth straight fall in January, the longest phase of contraction that Indian factories have suffered in more than five years, said a Reuters Poll.
At 07:30 a.m., Nifty India stock futures in Singapore were trading 24 points lower at 6528.50, indicating a flat-to-negative opening on the domestic market.
The BSE benchmark index Sensex slipped over 100 points on Tuesday as investors preferred to book profits after a five-day rally amid weak trade data. The Sensex ended with a loss of 108 points at 21,826.42 while the Nifty was down 25.35 points at 6,511.90. On the macro front, exports took a hit, down 3.7 per cent YoY.
"The upside momentum in Nifty would continue to remain intact as long as 6400 is held as a support in the coming sessions," GEPL Capital said in a note.
"If any correction is seen then it has immediate support at 6485 and below that 6400 is the next support level to watch out for," added the report.
The brokerage firm is of the view that traders may buy on decline placing a stop loss of 6350 for an upside till 6600 to 6650 in coming weeks.
Overnight, US stocks ended lower as investors preferred to book profits in some of the recent market gains.
The Dow Jones industrial average fell 67.43 points or 0.41 percent, to 16,351.25, the S&P 500 lost 9.54 points or 0.51 percent, to 1,867.63 and the Nasdaq Composite dropped 27.26 points or 0.63 percent, to 4,307.188.
Asian stock markets were trading lower tracking lacklustre performance by US markets. Fears of slowdown in China combined with political tensions in Ukraine kept investors on the edge.
F&O Tracker: Profit-booking may kick in below 6520
Nifty futures after a strong consolidation in the range of around 6350-4500 for over three years has finally breached it on the upside and is trading around 6550 levels. The breakout in the index is seen with strong addition of long positions in the futures segment as the open interest (OI) increased substantially from 1.45 crore shares to around 2.10 crore along with a robust price move by around 4.50%.
Foreign institutional investors were the major contributors in this series. Put writers have been quite aggressive at out-of-money strike prices, which have led to a rise in puts open interest by around 77% since the start of the March series.
However, for the last two days, Nifty futures is witnessing some resistance around 6590-6595 levels and some sector-specific profit-booking is seen, which suggest some sideways action will be seen in the market before taking any directional move. Technically, 6520 is where Nifty futures is taking support in the last couple of days, breaking below which may see some profitbooking. Traders/investors can buy 6500 put options if 6520 level is breached to play/protect the downside.
Stock Ideas: Capital goods has showed outperformance in the market following strong rollovers, where L&T has given a strong double bottom breakout. Despite profit booking in the pharma space, Lupin is forming short-term base around 960 levels.
Among bank stocks, ICICI Bank has witnessed significant addition of long position in the current series.
IDFC has seen strong rollovers at 88% vs three-month average of 85%.
Hindustan Unilever looks to be the dark horse in the March series, which has seen strong accumulation at lower levels with open interest rising sharply by 27% and price remaining at the same levels. It can expect a sharp move towards 590-610 soon in the short term.
Metal stocks may continue to underperform the market.
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