An evening walk down Dalal Street | Last hour selling drags Sensex by 330 points, Nifty below 10,850
Bears took over D-Street in the last hour as a sharp selloff among majority of sectors weighed on benchmarks. The Sensex closed with cuts of over 330 points, while the Nifty ended below 10,850-mark.
Having said that, the 30-share index has managed to end above 36,000, but the Nifty has fallen behind 200-day moving average.
The day began on a flat note, as equities mirrored subdued sentiment across global markets. Growth concerns continued to spook international investors. Through the day, the market remained volatile before ending it in the red.
Among sectors majority of indices ended the day in the red, while metals and pharmaceuticals were the big gainers.
At the close of market hours, the Sensex was down 336.17 points or 0.92% at 36108.47, and the Nifty down 91.30 points or 0.84% at 10831.50. The market breadth was negative as 1069 shares advanced, against a decline of 1,453 shares, while 138 shares were unchanged.
Sun Pharma and Yes Bank were the top gainers, while ITC, M&M and Grasim lost the most.
“Stock markets in India opened the day on a flat note and traded range bound for most of the day. However, heavy selling pressure in the last hour of the trading day pulled indices lower pushing them to close the day with losses of over 0.50%. Global shares traded on a mixed note with a negative bias due to concerns over the state of ongoing US-China trade negotiations, amid reports that the White House has cancelled a trade planning meeting with Beijing this week. Despite the strong selling pressure, the media, healthcare and metals indices on the National Stock Exchange closed the day with gains of over 0.50%. The FMCG and banking indices, on the other hand, closed sharply lower,” Abhijeet Dey, Senior Fund Manager-Equities, BNP Paribas Mutual Fund said in a statement.
Stocks in the News
Yes Bank was the top gainer ahead of its Q3 results announcement on Thursday.
Bank of Maharashtra ended the day higher as its net NPA has been reported to be below 6 percent.
Cigarette-hotel-to-FMCG major ITC has reported a 4 percent on year growth in profit at Rs 3,209 crore, which was on expected lines but margin missed estimates. The stock ended 4 percent lower as investors showed concern on dipping margins.
Shree Cements shares rallied 1 percent as brokerages remained positive on the stock after strong operational show in December quarter.
Havells India shares traded flat amid consolidation as third quarter earnings seem to have priced in. The stock fell 2 percent.
TVS Motor Company shares fell 4 percent as analysts remained cautious and maintained sell call on the stock despite good December quarter earnings.
Public sector lender Vijaya Bank has reported a whopping 80.2 percent on year growth in third quarter profit at Rs 143.4 crore despite lower other income & operating income, driven by lower provisions. The stock ended 2 percent lower.
European stocks were lower as investors turned wary about uncertainty in US-China relations. Stoxx 600 Index was down 0.2 percent.
Major stock markets in Asia ended mixed as investors took a cautious note of US-China relations.
The Shanghai composite and Shenzhen component both saw slight gains to close at about 2,581.00 and 7,523.77, respectively. The Shenzhen composite rose 0.129 percent to finish its trading day at around 1,316.28.