While about 6 per cent fall from the peak in Nifty has made the market healthy, the valuations continue to be high. Therefore, FIIs may continue to sell on every rise in the market. Market is likely to consolidate with sideways movements in the short run, said an analyst.
The 30-share pack Sensex declined 323.34 points or 0.55 per cent to close at 58,340.99. The headline index gyrated more than 800 points before the close. Its broader peer NSE Nifty fell 88.30 points or 0.50 per cent to 17,415.05.
“Gains in banking and financial stocks were offset by losses in oil & gas and auto sectors. The banking sector was on the radar today as the government proposed to privatise two banks along with making banking amendments for the winter session to facilitate PSB privatisation,” said Vinod Nair, Head of Research at Geojit Financial Services.
Market at a glance:
- spikes 17 per cent to gain for the second day on a row
- Reliance sheds 2 per cent as concerns over Aramco deal persists
- Vodafone Idea gains 3 per cent ahead of tariff hikes
- India VIX, a barometer of volatility, dips 5 per cent ahead of F&O expiry
- Zee gains 7 per cent as CEO says merger with Sony in final stages
Among the bluechip names, ONGC was the top gainer, rising 4.26 per cent. Adani Ports, Coal India, Coal India, NTPC, Kotak Mahindra Bank, BPCL, Indian Oil and ICICI Bank were other gainers.
Eicher Motors was the top loser in the Nifty pack, falling 2.81 per cent. Tata Consumer Products, Maruti Suzuki, Grasim Industries, Infosys, Divi’s Labs and ITC were others that ended in the red.
“Since there’s no major event on the domestic front, markets will continue to take cues from global counterparts. We suggest continuing with negative bias on the index while keeping a check on leveraged positions.”
Broader market indices ended mixed, outperforming their headline peers. Nifty Smallcap advanced 0.63 per cent and Nifty Midcap fell 0.40 per cent. Nifty 500, the broadest index on NSE, ended down 0.41 per cent.
Central Bank of India, Carborundum Universal, Aarti Drugs, Zee Entertainment, Indian Bank and Oil India were top gainers from mid and smallcap indices, climbing in the range of 3-10 per cent.
Mindtree, IRCTC, SRF, Sequent Scientific, Tanla Platforms and Birlasoft were major losers from broader market space, falling in the range of 3-5 per cent.
Sectoral matrix was mixed on the NSE. Nifty Media was the top gainer, rising 2 per cent. Nifty Bank and Nifty Financial Services were other gainers. Nifty IT was the top loser, down 1.52 per cent. Nifty Auto fell 1.28 per cent.
Market breadth was in favour of gainers as 1,956 stocks ended in the green, while 1,334 names settled with cuts. As many as 209 securities hit 52-week highs, mostly from the smallcap space. Meanwhile, 25 names hit 52-week lows, mostly from the microcap space. About 495 stocks hit upper circuit limits and 25 lower circuit limits.
European markets were trading mixed. London-based FTSE was up 0.10 per cent while Paris and Frankfurt declined 0.17 per cent and 0.33 per cent, respectively. In Asia, Hong Kong, Thailand, Indonesia and China closed in the green, while the rest ended in the red.
