Sensex Drops On Poor Q2 Results, Manufacturing Data

Business

oi-Sunil

By Sunil Fernandes

Updated: Monday, November 2, 2015, 15:32 [IST]

Benchmark indices ended the day lower for the sixth straight day as corporate results and poor manufacturing data from India and China continued to worry the markets.

The Sensex ended the day lower by 97 points at 26,559, while the Nifty fell 15 points in trade at 8050 points. Asian markets dropped lower in trade after China's official purchasing managers' index (PMI) came in at 49.8 for October, which means data showed contraction for the third straight month.

This was not seen well by the Asian markets, which dropped in trade. India's own manufacturing data contracted to a 22-month low, impacting benchmark indices. Worries over the outcome of the Bihar elections, which are crucial for the reform process, also left investors worried.

Top Nifty gainers in trade were the auto stocks with Mahindra and Mahindra, Tata Motors and Maruti Suzuki leading the pack.

ITC, which had fallen 4 per cent on Friday, following a poor set of results managed to end the day with gains. L&T, however, continued to fall and plunged to a fresh 52-week low following disappointing results. Metal stocks were hammered on weak Chinese data with Vedanta, Tata Steel, Jindal Steel and NMDC among the biggest losers.

Indian Overseas Bank fell as much as 11 per cent after losses mounted and non performing assets at the bank increased.

Oriental Bank, however, surged after the bank reported a good set of quarterly numbers. Coffee Day Enterprises, which runs the popular Cafe Coffee Day chain got listed on the bourses. The stock ended the day a huge 16 per cent lower as compared to its offer price of Rs 328.

Meanwhile, markets across Europe were trading mixed with the German DAX higher in trade, while the UK's FTSE and the French CAC were trading lower.

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