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Shares of M&M and Tech Mahindra were the top drags for Sensex at market opening.
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The domestic equity benchmarks kicked off the week on a muted note as Sensex, Nifty opened flat on Monday, May 31. The BSE Sensex opened lower by 31.44 points at 51,391.44, while the Nifty-50 index was down by 13.70 points at 15,422.
The 30-share pack Sensex witnessed losses in 17 shares and 13 advances at market opening. Shares of M&M dipped over five per cent in the early trade, while those of Tech Mahindra and Infosys shed over a per cent each.
Among the sectors, the Auto and PSU Bank sector were among the top losers on selling pressure from upper levels. Shares of M&M and Tata Motors (-1.36 per cent) were the top laggards in the Auto pack, while Bank of Baroda was the top loser in the PSU Bank space as it declined over three per cent.
The broader markets were however trading firm with positive bias as both BSE Midcap and Smallcap indices were up marginally. Shares of PNB Housing Finance were the top performer in the Smallcap space as they gained 20 per cent in the morning trade ahead of its quarterly results.
On the flipside, Reliance, ICICI Bank, and ITC were the top gainers of Sensex as they gained over a per cent each at the time of filing.
In the overall market breadth, 1247 shares advanced, 631 shares declined, and 90 shares remained unchanged.
Moving further, analysts are positive on the market trend as the fall in the Covid-19 tally and hopes of an increase in the vaccination program from the next month are major positives. Further, Central banks around the globe maintaining their accommodative stance has also helped the sentiment in the market.
Siddhartha Khemka of Motilal Oswal Financial Services, said, "As the 2nd Covid-19 wave continues to recede in India and pace of vaccination expected to pick up from next month, we expect the long term fundamentals to remain intact. Rising global inflation is a worry but is unlikely to hurt India unless energy prices start picking up."
Further various Central Banks have maintained their hawkish outlook. Next week RBI’s MPC would be key monitorable where the officials are expected to maintain their accommodative stance, Khemka added.