'Muhurat' trading: Global cues, profit booking subdue markets

Geo-political tensions in the Korean peninsula along with fears of rising non-performing asset (NPA) levels of the domestic banking sector pulled the key Indian equity markets in the red during the special "Muhurat" trading session on Thursday.

The hour-long session is held every year on Diwali to mark the start of the Hindu New Year.

According to market observers, the special session to mark Samvat 2074 witnessed heavy selling pressure in the banking, metals and oil and gas stocks, along with profit bookings which eroded investors' risk-taking appetite.

The Nifty 50 of the National Stock Exchange (NSE) receded by 74.95 points or 0.73 per cent to 10,135.90 points.

Similarly, the 30-scrip sensitive index (Sensex) of the BSE plunged during the intra-session trade.

The S&P BSE Sensex, which opened at 32,656.75 points, traded at 32,373.98 points (at 7.15 p.m) -- down 210.37 points or 0.65 per cent from Wednesday's close at 32,584.35 points.

The Sensex touched a high of 32,663.06 points and a low of 32,341.10 points during the intra-session trade.

In Samvat 2073, the barometer index (BSE Sensex) had gained 4,654 points or 16.6 per cent whereas the NSE Nifty 50 had risen by 1,585 points or 18.4 per cent.

"Samvat 2074 opened on a flat and then plunged into the red, following global trends, as tension have risen once again between North Korea and the US," Dhruv Desai, Director and Chief Operating Officer of Tradebulls, told IANS.

The special trading session held every year on Diwali is considered to be auspicious for stock market trading. It is believed that the "Muhurat" trading on this day brings wealth and prosperity throughout the year.

This ritual has been observed for ages by the trading community.

--IANS

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