Mumbai: Key Indian equity indices the BSE Sensex and the NSE Nifty 50 closed on a flat note on Monday after touching fresh highs during the intra-day trade.
According to market observers, mixed global cues, coupled with profit booking in banks, capital goods and telecom stocks, and outflow of foreign funds sudued investors’ sentiments.
However, the key indices scaled fresh intra-day highs on expectations of more tax reliefs in the GST Council meet slated for later during the week.
The Nifty50 scaled a new intra-day high of 10,490.45 points, while the Sensex touched a fresh high of 33,848.42 points intra-day.
On closing basis, the broader Nifty50 of the National Stock Exchange was down 0.70 points, or 0.01 per cent, at 10,451.80 points.
The barometer 30-scrip Sensitive Index (Sensex) of the BSE closed trade at 33,731.19 points — up 45.63 points or 0.14 per cent — from its Friday’s close.
The BSE market breadth was bullish — 1,419 advances and 1,375 declines.
“Markets ended flat on Monday after witnessing a roller coaster ride during the day. Investor sentiments were spoiled on mixed cues from global markets and as President Donald Trump’s tour of Asia got underway,” Deepak Jasani, Head – Retail Research, HDFC Securities, told IANS.
“Political unrest in Saudi Arabia also added to investor jitters in Asia,” added Jasani.
In terms of the broader markets, the BSE mid-cap closed higher by 0.46 per cent and the small-cap index gained 0.31 per cent.
According to Dhruv Desai, Director and Chief Operating Officer of Tradebulls, the Sensex fell in early trade on profit booking in metal, oil and gas, banking, tech and PSU stocks after a recent rally.
“Besides, capital outflows by foreign funds and a mixed trend at other Asian bourses and caution ahead of earnings from some more bluechip companies this week influenced the sentiment,” Desai told IANS.
“The market had hit fresh high in intraday trade riding on hopes that the government may announce measures to help traders and small businesses in the next GST council meeting that begins on Thursday,” he added.
On the currency front, the rupee weakened by 13 paise to close at 64.68 against the US dollar from its previous close at 64.55.
On Friday last week, provisional data with the exchanges showed that foreign institutional investors sold scrip worth Rs 9,690.84 crore whereas domestic institutional investors purchased stocks worth Rs 33.40 crore.
Anand James, Chief Market Strategist, Geojit Financial Services, said: “Simmering geopolitical tensions in the Korean peninsula kept investors on the backfoot, but expectations of more tax reliefs kept stocks buoyant.
“Auto and PSU bank sector found traction but a rise in VIX (Volatility Index) over 8 per cent indicates that the record peaks, and the deluge of IPOs have had investors in two minds,” said James.
Sector-wise, the S&P BSE consumer durables index surged by 1,598.88 points, followed by automobile index by 293.10 points and IT index by 91.35 points.
On the other hand, the S&P BSE banking index fell by 94.76 points, capital goods index by 69.79 points and energy index by 20.71 points.
Major Sensex gainers on Monday were: Tata Motors (DVR), up 5 per cent at Rs 259.25; ONGC, up 3.81 per cent at Rs 198.95; Tata Motors, up 3.28 per cent at Rs 461.55; Mahindra and Mahindra, up 2.49 per cent at Rs 1,364.35; and Cipla, up 1.87 per cent at Rs 540.
Major Sensex losers were: Sun Pharma, down 1.96 per cent at Rs 541.40; NTPC, down 1.81 per cent at Rs 178.85; Bharti Airtel, down 1.59 per cent at Rs 532.75; Lupin, down 1.39 per cent at Rs 1,034.70; and Axis Bank, down 1.19 per cent at Rs 533.55.
IANS