Key indices shed 1% amid weak trend in global mkts
The 30-share BSE Sensex declines 398.18 pts or 0.69% to close at 57,527.10 while the broader NSE Nifty falls 131.85 pts or 0.77% to settle at 16,945.05
image for illustrative purpose
Mumbai: Equity benchmark indices Sensex and Nifty buckled under selling pressure for the second straight session to settle nearly 1 per cent lower on Friday as investors pared exposure to the metal, energy and realty stocks amid a bearish trend in Asian and European markets.
Besides, a depreciating rupee against the US dollar and fresh foreign fund outflows also hit investor sentiments, traders said. In a volatile trade, the 30-share BSE Sensex declined 398.18 points or 0.69 per cent to finish at 57,527.10, with 24 of its constituents posting losses. During the day, the index witnessed a high of 58,066.40 and a low of 57,422.98. The broader NSE Nifty fell 131.85 points or 0.77 per cent to slip below the psychological level of 17,000. The index settled at 16,945.05, with 41 of its scrips ending in the red. On a weekly basis, the BSE benchmark fell 462.8 points or 0.79 per cent, while the Nifty slipped 155 points or 0.90 per cent. Ajit Mishra, VP - Technical Research, Religare Broking Ltd, said: “Markets inched further lower and lost over half a per cent, in absence of any favourable cues. The first half was dull, however, pressure in the index majors changed the tone and pushed the Nifty index below the 17,000 mark. The fall was widespread wherein metal, realty and energy majors felt the maximum heat.”
Bajaj Finserv was the biggest loser among the Sensex constituents, sliding 3.81 per cent, followed by Bajaj Finance, Tata Steel, RIL, HCL Tech, SBI, Larsen & Toubro and Mahindra & Mahindra, Axis Bank and Titan. Falling for the second day in a row, index major Reliance Industries witnessed an intense sell-off and declined 1.96 per cent.
On the other hand, Kotak Mahindra Bank, Infosys, Tech Mahindra, Power Grid, Asian Paints and Wipro were the gainers. In the broader market, the BSE smallcap gauge tanked 1.37 per cent and the midcap index declined 1.25 per cent.
“Domestic equities came under pressure after the government passed the Finance Bill 2023 in Lok Sabha. As per the amendments, STT on the sale of options and futures has been increased. However, clarity related to the hike is awaited. The bill also proposed to remove indexation benefits for Debt mutual funds. Next week will see further increase in volatility due to monthly F&O expiry amidst the highest FII short position.
