India Market Wrap

* INDICES: Sensex +22 at 17753 (0.12%), NIFTY +10 at 5385 (0.18%), CNXMIDCAP +94 at 7706 (1.24%)

* SECTORAL PERFORMANCE: BANKEX -0.59%, AUTO 0%, CAPITAL GOODS -1.59%, HEALTHCARE 0.34%, Metal 1.45%, OIL & GAS 2.53%, IT 0.46%, FMCG -0.72%, PSU 1.51%, REALTY 1.1%, Consumer Durables 0.66%, POWER 0.28%

* MARKET BREADTH: 312 Advances, 180 Declines (BSE 500)

* VOLUMES: BSE $0.68bn (20.53%), NSE $3.22bn (12.79%), F&O $20.42bn (8.92%)

* TODAY'S GAINERS: ONGC 3.46%, SAIL 3.41%, RIL 3.04%, SESA 3.03%, WPRO 2.88%

* TODAY'S LOSERS: LT -3.02%, HDFCB -2.53%, SIEM -1.88%, JSP -1.84%, ITC -1.45%

MARKET COMMENTARY:

As mention in our morning note “In a minute there is time for decisions and revisions which a minute will reverse” As soon as the GDP data was released by the govt investor decision were revised and sentiments were undermined soon after that .Indian benchmark pared gains to trade below neutral line in red in the late afternoon session. Economic activity in the country expanded at its weakest annual pace in almost three years in the three months to December, largely because high interest rates and rising input costs constrained investment and manufacturing. Traders were seen piling up positions in Oil & Gas, PSU and Power sector while selling was witnessed in Capital Goods, Bankex and Auto sector. Industry heavyweight RIL was seen trading in green with gain of around more than two percent giving the much needed support. On the global front, Asian markets were trading in green barring Shanghai Composite while the European markets were too trading in green on optimistic note. Back home, the NSE Nifty and BSE Sensex were trading above their psychological 5,350 and 17,700 levels respectively. The market breadth was neutral in the ratio.

NEWS ON TODAYS MOVERS:

Ø Mahindra Lifespace Developers rose close to 0.68% with the stock extending Tuesday's 1.03% gain triggered by the company announcing the launch of a premium residential project.

Ø ONGC advanced 3.46%, after the government approved offloading 5% stake in the state-run oil exploration firm through auction route.

Ø State-run oil firms rose by between 0.56% to 2% after the government approved offloading 5% stake in the state-run oil exploration firm through auction route.

Ø Tata Motors traded with a loss of 0.88% despite the company's American depository receipt, or ADR surged 4.25% to settle at $27.71 on the New York Stock Exchange on Tuesday, 28 February 2012.

Ø Reliance Industries rose nearly 3.04%, with the stock extending Tuesday's 1.9% gain triggered by reports the company will develop the D6 natural gas block and its satellite fields as an integrated unit.

Ø Tata global rose nearly 4.02%, on reports wholesale tea prices will rise by about 10-15% soon on the back of a faltering supply

Ø GMR Infrastructure rose nearly 2.88% on reports the company is in talks with private equity investors to raise $250-300 million through stake sales in some of its road projects

Ø BGR Energy surged over 9%, on hopes of getting orders from the state-owned electric utilities company NTPC Ltd

Ø TCS trade flat for the day despite company announced bagging a contract from South Africa's Nedgroup Insurance Company (NIC) for deploying its financial services platform

CORPORATE NEWS:

Ø McNally Bharat receives LOI from Crescent Power

Ø PBA Infra secures contract from MMRDA

Ø PSU shares surge as Govt clears ONGC stake-sale

Ø NTPC signs agreement with Bangladesh

Ø TCS secures contract from S Africa's Insurance Co

Ø LIC sells 2% stake in Tata Global for Rs161 cr

Ø Govt OKs 5% stake sale in ONGC via auction

Ø NALCO likely to finalise Gujarat refinery in a month

Ø Union Bank may cut home, education interest rates

Ø IFCI to take 20% stake in India-focussed fund

ECONOMIC NEWS:

Ø Rupee touches 3-week high on capital inflow

Ø India’s GDP at 6.1% in Q3 vs. 6.9% in Q2

Ø Brent rises above $122, ECB loan may spur buying

Ø Govt to auction 4G spectrum this year: Sibal

Ø Govt proposes cutting defence budget for this year