Mkts down for 2nd session on weak global cues
Muted start to ongoing Q2 results, weaker-than-expected inflation data raised concerns about slow demand, intensifying profit booking amid FII outflows
Mumbai: Benchmark BSE Sensex fell by 297 points on Tuesday in its second straight day of losses due to selling in metal, select auto and pharma shares amid weak trends in Asian and European markets.
Reversing its early gains, the 30-share BSE Sensex declined 297.07 points or 0.36 per cent to settle at 82,029.98 as 23 of its constituents closed lower and seven with gains. During the day, it dropped 545.43 points or 0.66 per cent to 81,781.62. The 50-share NSE Nifty went lower by 81.85 points or 0.32 per cent to 25,145.50.
Stock markets started the day on a high note but failed to hold momentum due to weak global trends and trade-related concerns, analysts said, adding that foreign fund outflows also impacted the sentiment. Bajaj Finance was the biggest loser among Sensex stocks, dropping by 1.8 per cent. Tata Motors, TCS, Tata Steel, Bharat Electronics, NTPC, Trent, Asian Paints and Axis Bank were also among the laggards. However, Tech Mahindra, ICICI Bank, Power Grid, Hindustan Unilever and Reliance Industries were among the gainers.
“Equity markets saw broad-based profit-booking amid a lack of fresh domestic triggers, as weak cues from Asian and European peers dampened investor sentiment. Renewed US–China trade tensions reignited risk aversion, prompting a shift toward safe-haven assets such as gold and US Treasury bonds, while equities came under pressure on concerns of escalating global trade uncertainty,” Ponmudi R, CEO of Enrich Money, an online trading and wealth tech firm, said.
Ajit Mishra, SVP, Research, Religare Broking Ltd, said: “Stock markets opened on a positive note but failed to sustain early gains, ending marginally lower as trade-related concerns overshadowed favorable domestic cues.”
The BSE smallcap gauge dropped 0.95 per cent and midcap index declined 0.74 per cent. All sectoral indices ended lower. Telecommunication dropped the most by 1.39 per cent, followed by oil & gas (1.01 per cent), realty (0.96 per cent), metal (0.95 per cent) and services (0.87 per cent). As many as 2,870 stocks declined, 1,337 advanced and 127 remained unchanged on the BSE.
