Nifty ends below 8,600; NTPC slumps 6%, ICICI Bank dips 3%

Benchmark share indices extended losses for the third straight day as investors booked profits at higher levels with ICICI Bank and FMCG majors leading the decline.

The 30-share Sensex ended down 208 points at 28,261 and the 50-share Nifty closed 64 points lower at 8,571.

"The passing of the mining bill by the Rajya Sabha is a positive. However, traders seem to book profits at higher levels post any positive news be it the Insurance Bill, US Fed outcome and Mining Bill. Further, fourth quarter earnings are also seen weak," said Prakash Diwan, Director, Altamount Capital Management.

Further, foreign portfolio investors (FPIs) bought shares worth Rs 1,428.72 crore on Thursday, as per provisional data released by the stock exchanges.

Meanwhile, according to global rating agency Fitch India’s gross domestic product (GDP) to grow at 8.0% in 2015-16 and 8.3% in the next fiscal, based on the new data series. The forecasts according to earlier series were 6.5% and 6.8%, respectively.

The Indian rupee recovered from its early lows and was trading nearly unchanged to the US dollar at 62.53.

Except for IT all other sectoral indices were in the red with BSE Realty index being the top loser down 3.7% along with Power, FMCG, Auto and Consumer Durables among others.

ICICI Bank ended down 3.2% contributing the most to the Sensex losses along with NTPC and ITC.

NTPC slumped 6.4%. The stock was quoted ex-bonus today. As per scheme of arrangement, the existing shareholders will get bonus debentures of face value of Rs 12.50 each against each equity shares of Rs 10 held by its members.

Tata Motors ended 0.6% lower. According to media reports, China quality regulator directed the Tata Motors overseas arm Jaguar Land Rover to recall Range Rover Evoque SUVs because of defective gearboxes.

Axis Bank ended 0.7% lower. Axis Bank has cut retail deposit rates by 15-25 basis points (bps) in select maturities. The bank has cut rates by 25 bps for deposits of 18 to 36 months and by 15 bps for deposits up to 18 months.

Oil stocks ended mixed. Reliance Industries gained 0.3% while ONGC ended down flat. The board of ONGC today approved second interim dividend of Rs 4 per equity share for 2014-15.

Minerals and metal shares ended mixed after the Rajya Sabha today passed the Mines and Minerals (Development and Regulation) Amendment Bill, 2015 to auction mines that supply minerals such as iron ore and bauxite. Hindalco ended up flat, Tata Steel lost 2.2% while Jindal Steel slumped 5% and Sesa Sterlite ended down 1.6%. Ashapura Minechem gained 2.3% and Orissa Minerals Development ended 1.5% higher.

IT stocks are trading higher in today’s session. Wipro gained 2.9% after the company clarified that it has won a five-year contract from a US-based utility company, Greater Cincinnati Water Works. TCS and Infosys ended up 0.6-1.3% each.

Mortgage lender HDFC ended with marginal gains. The Board of Directors approved the payment of an interim dividend of Rs. 2 per equity share of face value of Rs. 2 each of HDFC, for the financial year 2014-15.

In the broader market, the BSE Mid-cap index ended down 1.5% and the Small-cap index closed 2.1% lower.

Market breadth ended weak with 2,114 losers and 757 gainers on the BSE.