Investors lose Rs 2.6 lakh crore in 6 hours as bears crush banking stocks
Bears liquidated their lengthy positions forward of the Budget and F&O expiry, sending benchmark indices tumbling. Heavyweights RIL and financials have been among the many worst hit, as worries over Q3 underperformance put them beneath strain. Selling by FIIs additionally dented sentiments.
The 30-share pack Sensex tanked 937.66 factors or 1.94 per cent to shut at 47,409.93. Its broader peer NSE Nifty slid 271.40 factors or 1.91 per cent to 13,967.50. Both indices turned destructive for the present yr.
“Indian bourses mirrored combined sentiment from world friends with a downward rally owing to consecutive days of FII promoting. Barring the defensive FMCG phase, all sectors traded in the purple zone with banking and pharma stocks being the worst hit. The world markets have been combined immediately forward of the US Fed assembly amid uncertainty over the US stimulus. We ought to count on increased volatility in the approaching days’ given pre-budget occasion threat,” mentioned Vinod Nair, Head of Research at Geojit Financial Services.
Market at a look:
- RIL continues its submit Q3, plunges 3% to slip beneath Rs 1,900 stage
- Investors dump ICICI Sec even thought PAT doubles, inventory down 7%
- India VIX rises 5% forward of F&O expiry, index ends at 24.39
- Nifty FMCG lone sectoral gainer; banking indices most hit
- Nifty Smallcap index defies market pattern, ends with positive factors
“Investors should build for a defensive portfolio and also hold cash, as there will be good buying opportunities in the future.”
Among the bluechips, Tech Mahindra was the highest gainer, rising 2.62 per cent. SBI Life Insurance, Wipro, ITC, ExtremelyTech Cement, HCL Tech, Nestle India and Power Grid have been different gainers.
Tata Motors was the highest loser in the Nifty pack, falling 4.44 per cent. Tata Steel, Titan, IndusInd Bank, Hindalco, Hero MotoCorp, Axis Bank, M&M, Dr Reddy’s Labs and HDFC Bank have been different stocks that ended in the purple.
The broader market indices closed on a combined word, outperforming their headline friends. Nifty Smallcap rose 0.15 per cent and Nifty Midcap skidded 1.58 per cent. Nifty 500 — the broadest index on NSE — dropped 1.68 per cent.
Gujarat Gas, L&T Tech Services, National Aluminium, Tata Elxsi, Graphite India and Indian Energy Exchange have been high gainers from mid and smallcap indices, climbing in the vary of 3-7 per cent.
Vakrangee, DCB Bank, Ujjivan Financial Services, ICICI Securities, LIC Housing Finance and Future Retail have been main losers from broader market house, falling in the vary of 4-7 per cent.
Barring Nifty FMCG that added 0.30 per cent, all sectoral indices closed with cuts. Nifty Private Bank was the most important loser, down 3.05 per cent adopted by 2.93 per cent. Nifty Financial Service, Nifty Realty and Nifty Metal have been different losers.
Market breadth was in favour of losers as 1,066 stocks ended in the inexperienced, whereas 1,847 counters settled with cuts. As many as 147 securities hit 52-week highs, largely from the smallcap house. Meanwhile, 42 scrips hit 52-week lows, largely from the microcap house. About 240 stocks hit higher circuit limits and 339 decrease circuit limits.
European markets have been buying and selling with cuts on the final depend. London-based FTSE was down 0.24 per cent whereas Paris and Frankfurt have been down 0.27 per cent and 0.52 per cent, respectively. Asian markets have been combined. with Hong Kong, South Korea, Thailand and Indonesia buying and selling in the purple, and others registering some positive factors.
