MARKET COMMENT Jayant Manglik, President, Religare Broking Markets failed to hold the early gains and lost nearly a percent, pressurized by weak global cues. Participants were in profit taking mood from the beginning and mostly sectoral indices traded in tandem with the benchmark index. The decline was wide spread and broader market indices too ended with loss of nearly a percent each. Local headwinds combined with feeble global cues are keeping the participants on edge. Traders have no option but to align their position according to the prevailing sentiment and maintaining a balanced approach in trading. Also, we advise keeping close watch on upcoming macroeconomic data, earnings and global markets for cues
The S&P BSE Sensex ended at 34,813, down 346 points (-0.98 per cent), while the broader Nifty50 index settled at 10,482, down 103 points(-0.97 per cent).
Among the sectoral indices, the Nifty PSU Bank index fell 2.1 per cent weighed by Oriental Bank of Commerce. The Nifty Auto index, too, declined 2.4 per cent led by fall in Tata Motors and Hero MotoCorp. However, the Nifty IT index rose 0.7 per cent led by a rise in the share prices of Tech Mahindra and Infosys.
The rupee traded on a weak note on Monday slipping below the 73-per US dollar mark to hit 73.06 in intra-day trade, down from its previous close of 72.49 against the greenback.
Asian shares drifted lower on Monday as signs of softening demand in China rekindled anxiety about the outlook for world growth, but Saudi Arabia’s plans to cut production helped to halt a slide in oil prices.