Stock Market Today: Sensex, Nifty Snap Three-Day Rally As ICICI Bank, ITC, Infosys Drag
The Nifty 50 index closed 38 points or 0.18% lower at 21,418.65 while the Sensex shed 168.66 points or 0.24% to close at 71,315.09.
KEY HIGHLIGHTS
Yield On The 10-Year Bond Ends Flat
The yield on the 10-year bond closed flat at 7.16% on Monday.
Source: Bloomberg
JK Tyre Hits 52-Week High
Shares of JK Tyre & Industries Ltd rose to hit a 52-week high after an extraordinary general meeting held by on Monday approved raising up to Rs 500 crore by way of qualified institutions placement.
Rupee Weakens Against U.S Dollar
The local currency weakened 6 paise to close at 83.06 against the U.S dollar on Monday.
It closed at Rs 83 on Friday.
Source: Bloomberg
Sensex, Nifty Snap 3-Day Rally As ICICI Bank, ITC, Infosys Drag: Closing Bell
Benchmark indices closed lower, snapping a three day rally, after rising to near their lifetime high levels. Today's fall was because of the losses in shares of banks, fast moving consumer goods, and information technology stocks.
The Nifty 50 index closed 38 points or 0.18% lower at 21,418.65 while the Sensex shed 168.66 points or 0.24% to close at 71,315.09.
"The market started on a subdued note as concerns over oil supply disruptions through the Red Sea and elevated valuations dented investor sentiment. On the global front, attention will be directed towards BOJ monetary policy and UK inflation data," according to Vinod Nair, Head of Research at Geojit Financial Services.
"We expect a near-term consolidation in the market due to an unfavourable risk reward after the recent rapid performance, concerns over El Nino, and a slowdown in world GDP," he added.
A decline below 21350 could lead a correction towards 21220/21100 in the short term. Conversely, resistance is anticipated at 21500 on the higher end, said Rupak De, Senior Technical analyst at LKP Securities.
Global Cues
Most of the indices in Asia closed lower as investors await Japan's central bank's Tuesday meeting on expectations that it might go further away from its ultra dovish policies.
The sentiment was also dampened after several Fed officials including New York Fed President John Williams, New York Fed President John Williams, and Chicago Fed President Austan Goolsbee hinted that the U.S. Federal Reserve might not cut rates next year. Following this, markets in Europe also opened lower.
Shares of ICICI Bank Ltd., Infosys Ltd., ITC Ltd., Axis Bank Ltd., and Tech Mahindra Ltd. dragged the index lower.
Whereas, those of Hindalco Industries Ltd., Reliance Industries Ltd., Bajaj Auto Ltd., Sun Pharmaceutical Industries Ltd., and HCL Technologies Ltd. limited the losses.
Eight sectoral indices on the NSE fell and six advanced. Nifty Media rose the most followed by Nifty Pharma. Nifty Realty, Nifty PSU Bank, and Nifty Bank fell the most.
The broader markets outperformed as the BSE MidCap rose 0.28%, while the BSE SmallCap was 0.48% higher. Nine out of the 20 sectors compiled by the BSE declined, while 11 advanced.
The market breadth was skewed in the favour of buyers. As many as 2,176 stocks advanced, 1,711 declined and 141 remained unchanged on the BSE.
Reliance Industrial Infrastructure Rise To Record High
The scrip rose as much as 15.71% to Rs 1,367.00 apiece, the highest level since it was listed on exchanged on Nov 26, 1991. It was trading 12.73% higher at Rs 1,331.85 apiece, as of 3:02 p.m. This compares to a 0.17% decline in the NSE Nifty 50 Index.
It has risen 40.77% on a year-to-date basis. Total traded volume so far in the day stood at 11 times its 30-day average. The relative strength index was at 77.89 which implied the stock is overbought.
