Mumbai: The markets took to consolidation mode as the benchmark BSE Sensex gave up early gains to end 153 points lower at 31,138.21 on Friday while the broader Nifty cracked below the 9,600-mark on profit booking, particularly in auto and banking sector stocks. ahead of GST rollout.
During the week, the Sensex gained 81.81 points, or 0.26%, while the Nifty shed 13.10 points, or 0.13%. The markets will remain closed on Monday on account of ‘Id- ul-Fitr’ (Ramzan Eid). The 30-share Sensex rose over 75 points in morning trade and shot up to 31,365.39, but quickly lost momentum to hit the day’s low of 31,110.39. It finally ended 152.53 points lower, or 0.49%, at 31,138.21. The Sensex had gained 7.10 points in yesterday’s session.
The broader NSE Nifty moved between 9,647.65 and 9,565.30, before ending 55.05 points, or 0.57% down at 9,574.95.
This was Nifty’s lowest close in a month. “Market continued to consolidate as investors defer their participation and waiting for global headwinds to settle like concerns over volatile oil price. However, markets will continue to get support at lower levels due to reforms in banking sector, falling inflation and expectation of rate cut," Vinod Nair, Head of Research, Geojit Financial Services said.
Foreign portfolio investors (FPIs) bought shares worth a net ₹ 192.68 crore yesterday, as per provisional data released by the stock exchanges. Domestic institutional investors (DIIs) also bought shares worth a net ₹ 455.21 crore.
Major laggards were Tata Motors DVR (2.18%), Tata Motor (2.14%), Hero MotoCorp (1.95%), SBI (1.94%), ONGC (1.56%), TCS (1.47%), M&M (1.44%), Tata Steel (1.39%), Kotak Bank (1.07%), Maruti Suzuki (1.07%) and HDFC Bank (1.05). However, Sun Pharma rose 0.97%, Wipro 0.79%, ICICI Bank 0.71%, Dr Reddy’s 0.71%, Cipla 0.39% and Infosys 0.32%.
Sector wise, the BSE auto index lost 1.54%, PSU 1.50%, oil&gas 1.13%, consumer durables 1.09%, capital goods 1.04%, realty 0.89% and bankex 0.74%. Overseas, Asian markets ended higher, with Japan’s Nikkei rising 0.11% and China’s Shanghai Composite Index rose 0.33%.
Hong Kong’s Hang Seng, however, fell 0.02%. Shares of Fortis Healthcare crashed about 13% after Malaysia’s healthcare services provider IHH Healthcare Berhad yesterday said it is not close to “concluding any negotiations" to buy controlling stake in Fortis Healthcare. In broader markets, the BSE Mid-Cap index provisionally fell 1.21%. The BSE Small-Cap index provisionally fell 1.46%.
The decline in both these indices was higher than the Sensex’s decline in percentage terms.
The market breadth remained negative as 1,948 stocks ended lower, 676 closed higher while 132 ruled steady. The total turnover on BSE amounted rose to ₹ 7,395.04 crs from ₹ 4,693.41 crore registered during the previous trading session.
European shares were down in late morning deals. Frankfurt, Paris and London stock exchanges were all trading in the negative terrain.
During the week, the market tried to continue its upswing supported by GST council relaxation of return filing timeline for an easy transition to GST. SEBI’s relaxed norm for takeover of stressed business and RBI’s less hawkish minutes were positive for the market.
However, mired sentiment from global market and disruptions ahead of GST rollout overshadowed these positives which led market to give up gains to end flat.