Markets pare losses to end marginally higher ahead of exit polls

After trading in a range all through the Thursday's session, the benchmark indices eventually settled marginally higher ahead of the exit poll results of state elections due later in the day.

The S&P BSE Sensex ended at 28,929, up 27 points, while the broader Nifty50 closed at 8,927, up 3 points.

In the broader market, the BSE Smallcap index pared intraday gains to settle flat, while BSE Midcap was down 0.2%.

The market breadth, indicating the overall health of the market, turned negative. On the BSE, 1,622 shares fell and 1,179 shares rose. A total of 168 shares were unchanged.

"Markets have continued to keep an ear on election buzz, and is seen riding on positive expectations. But, with VIX rising, there is a certainly a sense of cautiousness. Dollar’s strength and commodity prices’ pull back has appeared threatening,” said Anand James, Chief Market Strategist, Geojit Financial Services.

Buzzing stocks

Maruti Suzuki India gained 1.5% to Rs 5,952 and was the top Sensex gainer after the auto major geared up to introduce four new products in 2017-18. Of them, two will be new models and two will be upgrades.

Shares of Shree Renuka surged nearly 3% to Rs 16 after the company informed exchanges that it has approved the allotment of 1.64 crore shares to Standard Chartered Bank, one of the company’s lenders against the conversion of a part of the company’s loans.

Among losers, Dr Reddy's Laboratories tanked to its 52-week low of Rs 2,702, down 5% after the US Food and Drug Administration (FDA) made 13 observations at the company’s formulations facility at Duvvada in Visakhapatnam. The scrip was the top Sensex loser.

Jindal Steel & Power tanked over 6% to Rs 114 in intraday trade after the Delhi High Court upheld cancellation of JSPL's Gare Palma & Tara coal blocks. The stock settled at Rs 118, down 4%.

Shares of Gail (India) declined as much as 5% to Rs 369 after the stock turned ex-bonus in the ratio of 1:3.

Exit polls

The exit poll results will flash at 5:30 pm today. Any clear trend showing Prime Minister Narendra Modi's Bharatiya Janata Party (BJP) in front could trigger buying by investors.

Actual results will be announced on Saturday, and will help to shape the next two years of Modi's government as it heads for the 2019 general election.

Global markets

European markets slipped on Thursday as investors reacted to a fall in oil prices and looked ahead to a rate decision from the European Central Bank. The pan-European Stoxx 600 was 0.2% lower, while Britain's FTSE shed 0.5%. France's CAC 40 and Germany's Dax lost 0.1% each.

Among Asian markets, China's Shanghai Composite was down 0.7%, while Hong Kong's Hang Seng index shed over 1%. Japan's Nikkei bucked the trend to rise 0.3%.