Mumbai March 27 (IANS) Negative global cues and heavy selling pressure witnessed in metal automobile and healthcare stocks subdued the Indian equity markets on Monday.
The key indices closed with losses of more than half a per cent each even as a strong rupee and continuous inflow of foreign funds led to some recovery from lower levels.
The wider 51-scrip Nifty of the National Stock Exchange (NSE) closed below the 9 100-mark. It fell by 62.80 points or 0.69 per cent to 9 045.20 points.
The barometer 30-scrip sensitive index (Sensex) of the BSE which opened at 29 395.68 points closed at 29 237.15 points -- down 184.25 points or 0.63 per cent from the previous close at 29 421.40 points.
The Sensex touched a high of 29 420.70 points and a low of 29 163.54 points during the intra-day trade.
The BSE market breadth was bearish -- with 1 666 declines and 1 135 advances.
However the broader markets slightly outperformed the benchmark indices. The S&P BSE mid-cap index fell by 0.27 per cent while the small-cap index slipped by a minimal 0.04 per cent.
Markets ended lower on Monday after two sessions of gains (last week) tracking correction in global peers after the US President Donald Trump failed to get healthcare reform passed. The losses came on the back of weak global cues as the major Asian markets have ended on a negative note Dhruv Desai Director and Chief Operating Officer of Tradebulls told IANS.
A below normal forecast for monsoon by a private agency and correction in commodity prices also led to some nervousness. The European indices like FTSE 100 CAC 40 and DAX too traded lower.
According to Vijay Singhania Founder and Director of brokerage firm Trade Smart Online public sector banks moved higher in the hope that the government would either announce a new package to deal with its toxic assets or give the bankers more power to force recovery from the borrowers.
Global oil prices which were expecting a US growth lead rally also fell even as production cartel talks resumed Singhania cited.
The Indian rupee however hit a 18-month high as FIIs (foreign institutional investors) inflows continues to rise both in the equity and debt segment.
On the currency front the rupee strengthened by 37 paise to 65.04 against a US dollar from its previous close of 65.41 to a greenback.
In terms of investments provisional data with exchanges showed that (FIIs) purchased stocks worth Rs 577.88 crore whereas the domestic institutional investors (DIIs) divested scrip worth Rs 594.48 crore.
On the sector-specific movement Dhruv Desai Director and Chief Operating Officer of Tradebulls told IANS: Most IT sector stocks traded down due to profit booking at higher levels while banking sector stocks witnessed good recovery from lower levels in the second half of the session.
Pharma auto oil-gas power and telecom sector stocks traded with bearish sentiments throughout the session whereas textile media-entertainment and FMCG sector stocks traded with mixed sentiments.
Sector-wise the S&P BSE metal index plunged by 307.81 points followed by the oil and gas index which dipped by 146.25 points and the healthcare index which fell by 124.22 points.
On the other hand the S&P BSE consumer durables index surged by 178.13 points the FMCG index inched up 6.46 points and the power index was a tad up by 3.03 points.
Major Sensex gainers on Monday were: State Bank of India (SBI) up 1.20 per cent at Rs 279.35; Power Grid up 0.88 per cent at Rs 195.40; HDFC up 0.87 per cent at Rs 1 474.80; Dr. Reddy s Lab up 0.59 per cent at Rs 2 638.65; and ITC up 0.30 per cent at Rs 281.90.
Major Sensex losers were: Tata Steel down 3.15 per cent at Rs 477.65; Reliance Industries down 2.76 per cent at Rs 1 250.75; Asian Paints down 2.07 per cent at Rs 1 043.90; Coal India down 2.06 per cent at Rs 291.90; and Wipro down 1.77 per cent at Rs 503.45.
--IANS
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Indian equities subdued on negative global cues (Roundup)
