Profit booking continues, mkts end flat
Investors prefer to offload in index heavyweights amid high valuation concerns
image for illustrative purpose
Mumbai: Benchmark Sensex closed almost flat in a range-bound trade on Monday as investors booked profits in index heavyweights amid high valuation concerns. The 30-share BSE Sensex edged up 17.39 points or 0.02 per cent to settle at 73,895.54. The barometer hit a high of 74,359.69 and a low of 73,786.29. The broader NSE Nifty declined 33.15 points or 0.15 per cent to close at 22,442.70.
“The domestic indices traded in a range-bound manner. The broader indices also witnessed major selling pressure due to valuation concerns and profit-booking,” said Vinod Nair, head (research), Geojit Financial Services.
“Today, the benchmark indices witnessed lacklustre activity. Nifty ends 33 points lower while the Sensex was up by 17 points,” said Shrikant Chouhan, Head Equity Research, Kotak Securities.
Aditya Gaggar, director, Progressive Shares, added that “a steep correction in PSU stocks put pressure on the index to trade lower. A vertical fall in the Mid-caps and Small-caps dented the market sentiments further however, select FMCG, IT, and Pharma counters supported the market.”
In the broader market, the BSE smallcap gauge declined 1.06 per cent, midcap index dipped 0.95 per cent. Consumer durables tanked 3.85 per cent, services declined 1.95 per cent, utilities (1.76 per cent), power (1.26 per cent), industrials (0.80 per cent) and commodities (0.78 per cent). Healthcare, IT, auto, realty and teck were the gainers.
From the Sensex basket, Kotak Mahindra Bank jumped 5 per cent after the company reported a 25 per cent growth in its March quarter net profit at Rs 5,302 crore, limited by a drop in the core income due to narrow interest margins. Tata Consultancy Services, Hindustan Unilever, Mahindra & Mahindra, Sun Pharma, Tech Mahindra and IndusInd Bank were among the other major gainers. Titan tanked 7 per cent after its March quarter earnings failed to cheer investors. State Bank of India, NTPC, Power Grid, Bajaj Finance and Larsen & Toubro were the other laggards.
Global oil benchmark Brent crude climbed 0.80 per cent to $83.62 a barrel. Foreign Institutional Investors (FIIs) offloaded equities worth Rs 2,391.98 crore on Friday, according to exchange data.
In Asian markets, Shanghai and Hong Kong settled in the positive territory. Japan and South Korea’s markets were closed for the holidays. European markets were trading with gains.
