Domestic stock markets started Monday's session on a weak note, with the Sensex falling nearly 200 points. The opening of the markets on Monday marked the first since presentation of the Interim Budget 2019-20 in Parliament last week. In early trade, the Sensex shed as much as 195 points to hit 36,469 and the Nifty dropped 63 points to touch 10,829 on the downside. Analysts awaited the outcome of a bi-monthly policy meeting of the Reserve Bank of India due later this week.
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At 10:21 am, the Sensex was down 113 points at 36,356 and the Nifty traded at 10,862, 31 points weaker from the previous close.
Top laggards on the 50-scrip index were Tata Steel, Hindalco, Hindustan Petroleum, Zee and Mahindra & Mahindra, trading between 2.2 per cent and 3.5 per cent lower.
The market breadth favoured the declines with an advance-decline ratio of 1:2.5. On the NSE, 473 stocks traded with gains against 1,169 that traded lower.
The Nifty Metal index, comprising metal stocks, declined as much as 1.7 per cent in morning. Other than Tata Steel, other prominent losers on the metals pack included Hindalco, SAIL and Jindal Stainless Hisar.
Analysts awaited more large caps to report their quarterly earnings for cues in the near term.
"I expect markets to remain rangebound between 10,500 and 11,100 till the elections, but we will get a clearer picture of the market's direction by February 15, when most of the corporate earnings will be done," Madhumita Ghosh, head corporate solutions, Tasmac Global Education, was quoted as saying by news agency Reuters. "The markets have been at highs so some sort of correction is always welcome."
Reliance Communications shares plunged by more than half to a record low, after the telecom company said it will seek a fast-track resolution through the bankruptcy court National Company Law Tribunal to resolve its indebtedness.
Dewan Housing Finance Corp shares plunged their lowest since December 23, 2013, as claims of financial mismanagement and broader sectoral woes continue to plague the home loan provider, reported news agency Reuters. DHFC shares declined as much as 13 per cent to hit an intraday low of Rs 96.80 on the NSE.
The weakness in the domestic stock markets came despite strength in Asian peers, where equities hovered near four-month highs, after a mixed performance on Wall Street at the close of last week.
The rupee depreciated by as much as 48 paise to 71.73 against the dollar, reported news agency Press Trust of India.
(With agency inputs)
