MID
SESSION PULLBACK
Nifty
7748 -116
Nifty
traded steady / flat for most part of the day and encountered huge
selling towards close to close with a loss of more than 100 points
and well below 7800 mark. All sectoral indices barring FMCG closed in
the red. However, Nifty closed around 100 DMA, another major support
level. Negative global cues are driving the market coupled with
considerable selling from FIIs. Nifty spot is expected to
encounter resistance at 7790,, 7825 and find support at 7715, 7680
for Friday. While Global cues and Funds flow are
expected to broadly guide the market movement, based on the present
market position, market can be expected to trade in a zigzag manner
with pullback in midsession.
GLOBAL
GROWTH FEARS PULLED DOWN INDICES
Growing
global growth worries spooked markets today with Sensex plunging 350
points to end below 26,000 mark after two months and Nifty slumping
116 points to sub 7,800 level on across-the-board selling in the last
hour of trade. Sustained capital outflows amid weak Asian closing and
lower European opening on the back of overnight fall on Wall Street
on concerns over global economic growth scenario weighed negatively
on sentiment. Besides, Indian rupee depreciated to 61.9 levels
against US dollar on risk-aversion. Selling was so strong across
Indian stocks that all 12 sectoral indices closed with losses of up
to 4.25 per cent with consumer durables, power, metal, auto, capital
goods, oil&gas and IT sectors taking the lead in the downslide.
Overall, 26 out of 30 Sensex-based scrips closed in the red while
ITC, Coal India, Gail and Cipla ended in the green. "Growth
fears, falling inflation and disappointing US economic data has sent
shares falling across Europe. Indian markets are afraid about the
withdrawal of stimulus by US Fed," said Rakesh Goyal, Senior VP,
Bonanza Portfolio. The 30-share BSE Sensex resumed lower but tried to
recover as it logged a high of 26,462.08. However, it soon fell in
last one-and-half-hour of trade and ended at 25,999.34, a fall of
349.99 points or 1.33 per cent. This is its weakest closing since
25,918.95 on August 13, 2014. Overall, more than 2,100 stocks closed
down while about 750 shares ended higher on BSE, wiping out a chunk
of investor wealth.
The 50-issue CNX Nifty of the NSE also dipped by
115.80 points, or 1.47 per cent to end at 2-month low of 7,748.20.
"It was a scary day for Indian markets which decisively broke
the important zone of 7800 on Nifty...Now actual outcome of state
polls will decide the fate of Indian markets going ahead," said
Rajshekar Gowda, Senior Analyst, HBJ Capital. Fall in the global
crude oil prices with European benchmark Brent North Sea crude shed
USD 1.22 to close at USD 83.78 a barrel in London, would have a
sentimental impact, brokers said.
No comments:
Post a Comment