Sensex fell for a second straight session on Wednesday as caution prevailed ahead of state elections results, including that of the crucial state of Uttar Pradesh, and a US Federal Reserve policy meeting next week. The election in Uttar Pradesh is the world’s largest this year and will have a key influence on Prime Minister Narendra Modi’s chances of clinching a second term in 2019. Exit polls will be released on Thursday and results will be out on Saturday. Meanwhile, the Federal Reserve has a policy meeting on 14-15 March and markets are expecting a rate hike after recent hawkish comments by policymakers.
“The market is in a consolidation phase and is probably already over-rated. Election results followed by the Fed meeting are important for the Indian market, after which it will take a call accordingly next week,” said R.K. Gupta, managing director at Taurus Asset Management Company. “Whatever may be the outcome of the elections, the market is going to take a correction.”
IT stocks were among the biggest percentage losers on the NSE index, with Infosys Ltd and HCL Technologies Ltd shedding more than 1% each. Kotak Mahindra Bank Ltd rose as much 2.69% to a record high after a block deal by an unknown buyer and a media report that Canadian pension fund Caisse de Depot et Placement du Quebec was looking to buy a stake. Financial stocks Yes Bank Ltd and IndusInd Bank Ltd gained up to 1.83% and 0.75%, respectively, and were among the top gainers on the Nifty.
2.00pm: BSE Sensex trades lower by 81 points, or 0.28%, to 28,918, while the Nifty 50 falls 22 points, or 0.24%, to 8,925. MTNL shares surge over 5% to trade at Rs23.60 on buzz of merger talks with BSNL.
1.12pm: BSE Sensex trades lower by 144 points, or 0.50%, to 28,856, while the Nifty 50 falls 40 points, or 0.44%, to 8,907.
1.00pm: MTNL shares surge over 8% on buzz of merger talks with BSNL.
12.08pm: BSE Sensex trades lower by 151 points, or 0.52%, to 28,848, while the Nifty 50 falls 44 points, or 0.49%, to 8,903.
10.55am: BSE Sensex trades lower by 83 points, or 0.29%, to 28,917, while the Nifty 50 fell 6 points, or 0.06%, to 8,941. Kotak Mahindra Bank Ltd shares rise 2% to Rs 833 after huge block deal. Around 1.5% stake or 27.6 million shares of the company changed hands in a block deal. However, details of the buyers and sellers were not known, according to Bloomberg report.
9.30am: BSE Sensex trades higher by 9 points, or 0.03%, to 29,008, while the Nifty 50 rises 8 points, or 0.08%, to 8,954
9.27am: Wockhardt Ltd shares fall 2% to Rs 724.90. The company said the Health Products Regulatory Authority of Ireland has given nod to the renewal of certificate for its Aurangabad facility.
9.25am: Astral Poly Technik Ltd shares rise 3% to Rs 454.50. Brokerage firm CLSA has initiated coverage on Astral Poly with ‘Buy’ rating with a target price of Rs 545.
9.20am: Retail companies trading higher ahead of the Rs1,870-crore initial public offering (IPO) of Avenue Supermarts Ltd, parent of D-Mart. Future Retail Ltd rose 4%, Shoppers Stop Ltd rose 2.4%, V-Mart Retail Ltd rose 2.5%.
9.15am: The rupee opened at 66.63 a dollar. At 9.15am, the home currency was trading at 66.64, up 0.06% from its previous close of 66.67.
9.10am: The 10-year bond yield was at 6.835% compared to its Tuesday ’s close of 6.829%. Bond yields and prices move in opposite directions.
9.00am: Asian currencies were trading higher. Japanese yen was up 0.16%, Taiwan dollar 0.14%, Indonesian rupiah 0.11%, Singapore dollar 0.1% and Philippines peso 0.07%. However, Thai baht was down 0.09%.
With inputs from Reuters
