Markets begin 2014 on flat note, Nifty holds 6300

The BSE Sensex ended lower in a range bound session on Wednesday, the first trading day of 2014, as software stocks including Tata Consultancy Services fell on profit-taking.. Volumes on the benchmark BSE Sensex remained thin, dropping for a second consecutive session with most global markets closed for New Year holidays.. The BSE Sensex gained 8.9 per cent in 2013, hitting a record high in December, helped by foreign investor flows of over $20 billion that helped offset concerns about an economy facing low growth and high inflation.. Analysts say with the Federal Reserve's taper fears behind for now, momentum in foreign institutional investor (FII) flows will be determined by third-quarter earnings and December inflation data scheduled later this month.. A lower inflation reading might encourage the Reserve Bank of India to maintain status quo on interest rates which will be seen as positive for equity markets.. "Market's direction in 2014 would be determined by a combination of earnings, inflation and elections," K R Choksey Securities managing director Deven Choksey.. Third and fourth quarter earnings are expected to be better than the first half of the current fiscal year, Mr Choksey added.. The benchmark BSE index fell 0.14 per cent, or 30.20 points, to end at 21,140.48.. The broader Nifty edged down 0.04 per cent, or 2.35 points, to end at 6,301.65, closing just above the psychologically important 6,300 level.. The National Stock Exchange's IT index, which rose to its record high earlier this week, fell 0.6 per cent.. Tata Consultancy Services Ltd fell 0.9 per cent, Wipro Ltd lost 1.2 per cent, while Infosys Ltd ended 0.5 per cent lower.. Among other blue chip stocks, Reliance Industries Ltd fell 0.7 per cent.. Apollo Tyres Ltd also declined 2.2 per cent as investors booked profits after the stock surged 5.8 per cent on Tuesday after a deal to acquire US-based Cooper Tire & Rubber Co fell through.. Tata Motors Ltd fell 0.4 per cent ahead of its December sales data for domestic market later in the day.. However among stocks that gained, Lupin Ltd rose 0.9 per cent after US Food and Drug Administration gave a tentative approval for generic version of cholesterol drug Niacin, a form of vitamin B, on Monday.. Copyright @ Thomson Reuters 2014

Markets begin 2014 on flat note, Nifty holds 6300

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