Sensex, Nifty Break Two-Day Winning Run


Domestic stock markets suffered sharp losses on Tuesday amid a selloff across sectors barring energy shares, breaking a two-day winning run. The S&P BSE Sensex index fell 656.36 points – or 1.75 per cent – to end at 36,925.55, and the broader NSE Nifty benchmark settled at 10,924.35, down 185.30 points – or 1.67 per cent – from the previous close. Sharp selling in financial, automobile and information technology stocks dragged the markets lower, however strength in energy stocks – led by heavyweight Reliance Industries – kept the losses in check.
Top percentage laggards on the 50-scrip benchmark index were Yes Bank, Bajaj Finance, Mahindra & Mahindra, Bajaj Finserv, Eicher Motors, Grasim Industries and Maruti Suzuki India, finishing with losses of between 5.05 per cent and 10.89 per cent.

HDFC, HDFC Bank and Infosys were the top drags on Sensex.

Marked breadth was highly negative with an advance decline ratio of 1:2, with 867 stocks on the BSE ending higher and 1,647 finishing lower. On the National Stock Exchange (NSE), 550 stocks advanced while 1,228 declined.

Analysts say auto industry data refuelled concerns about economic slowdown.

Domestic passenger vehicles sales in India plunged 30.98 per cent to 2,00,790 units last month, data from industry body Society of Indian Automobile Manufacturers (SIAM) showed. The drop in sales is the worst since December 2000, when the industry sold a fifth of the vehicles it sells currently.

On the other hand, Reliance Industries shares ended 9.72 per cent higher at Rs. 1275.00 apiece on the BSE, a day after the conglomerate said Saudi Arabia’s Aramco will buy a 20 per cent stake in its oil-to-chemical business by paying $15 billion. Speaking at the company’s 42nd Annual General Meeting on Monday, Reliance Industries chairman Mukesh Ambani said the group has a clear roadmap to become zero net-debt company in 18 months.

Reliance Industries shares were the top percentage gainer on the Sensex.

The government will release consumer inflation data for the month of July later in the day.

The financial markets will remain closed on Thursday, August 15 for Independence Day.

Source By NDTV


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