Markets settle lower on profit-booking, but gains most in six weeks

The benchmark indices on Friday settled lower as investors booked profits in index heavyweights such as ITC and HDFC ahead of a long weekend, but posted their biggest weekly gain in six weeks.

The S&P BSE Sensex ended at 29,918 down 111 points, while the broader Nifty50 closed at 9,304, down 38 points. 

In the broder market, the S&P BSE Midcap and S&P BSE Smallcap indices outperformed to gain 0.2% and 0.6%, respectively. 

The market breadth, indicating the overall health of the market, turned negative from positive. On BSE, 1,479 shares fell and 1,386 shares rose. A total of 136 shares were unchanged.

"With Trump optimism waning, domestic markets took little inspiration from global equities whose gains were limited ahead of FOMC rate decision next week. While earnings shocks kept Pharma and Realty under check, FMCG stocks were seen struggling probably after FM’s announcement on GST stoked concerns over higher commodity tariffs,” said Anand James, Chief Market Strategist, Geojit Financial Services.

Sectors and stocks

Nifty Realty index (down 1.7%) was the leading sectoral loser, led by losses in Prestige (down 4%) and Delta Corp (down 4%) and Indiabulls Real Estate (down 3%).

The Nifty Bank pared entire intraday losses to settle 0.1% higher. 

Public sector banks (PSBs), Andhra Bank, Canara Bank, Indian Bank, Oriental Bank of Commerce and Vijaya Bank hit their respective 52-week highs on the NSE with Nifty PSU Bank index gaining 3%. 

Syndicate Bank, Canara Bank, Union Bank, Allahabad Bank and Andhra Bank gained anywhere between 5% to 9%. 

Consumer goods and cigarettes maker ITC (down 2%) declined for a second day and was the biggest loser on the Nifty.

Shares of Tata Teleservices (Maharashtra) hit the upper circuit limit of 20% after the Delhi High Court approved a $1.2 billion settlement between promoter Tata Sons and NTT DoCoMo.

Among the losers, biopharmaceutical company Biocon fell over 3% in intraday trade after the company on Thursday reported a 62% plunge in March-quarter consolidated profit. The stock settled at Rs 1,113, down 0.5%.

Global markets

European markets were trading mixed. The European Stoxx 50 was 0.16% higher, France's CAC 40 was up 0.2%, while Britain's FTSE 100 shed 0.3%. 

Asian stocks slipped as investors booked profits after a strong week. South Korea's KOSPI index, which opened higher, reversed its gains and fell 0.2%.

MSCI's broadest index of Asia-Pacific shares outside Japan lost 0.15%. Hong Kong's Hang Seng index slipped 0.3%, while China's Shanghai Composite ended little changed.