Investors took some profit off the table on Friday after markets scaled historic levels a day before, when the S&P BSE Sensex surpassed the 50,000-mark for the first time. That said, investors rewarded stocks of the firms that delivered strong Q3FY21 results.
In the intra-day trade, the benchmark S&P BSE Sensex plunged 790 points and hit a low of 48,835 levels. The index settled around day's low level of 48,878 levels, down 746 points or 1.5 per cent. Financial stocks bore the maximum brunt with Axis Bank declining 4.4 per cent on the Sensex, followed by ICICI Bank (3.7 per cent), SBI (3.5 per cent), and IndusInd Bank (3.5 per cent). On the flipside, Bajaj Auto, HUL, TCS, Ultratech Cement, Infosys, and Bajaj Finserv were the only gainers on the Sensex.
On the NSE, the Nifty50 settled at 14,372 levels, down 218 points or 1.5 per cent.
The broader markets, however, fared slightly better. The S&P BSE MidCap index ended 1.1 per cent lower at 18,777.46 levels while the S&P BSE SmallCap index closed at 18,442 levels, down 0.93 per cent.
Sectorally, most of the key indices settled lower. The Nifty Metal index underperformed the benchmark and closed 4 per cent lower. Among individual stocks, SAIL fell 14 per cent, JSPL slipped 8 per cent, and Hindustan Copper declined over 4 per cent.
That apart, Nifty Bank index tanked over 1,000 points, or 3.25 per cent, to close at 31,176 levels.
In a separate development, the RBI issued a discussion paper on regulatory framework on NBFCs which said the NBFCs shall be classified in 4 categories from now on. Besides, NBFCs falling in the highest level category would need to maintain a CET-1 ratio of 9 per cent. The sector ended 2.6 per cent lower today and shall remain in focus on Monday.
Shares of SBI Cards settled Friday's session 5 per cent higher after the SBI-arm reported impovement in asset quality in the December quarter.
That apart, investors bought shares of Bajaj Auto, that hit a record high of Rs 4,130 and ended 11 per cent higher on the Sensex, after the company reported an expansion in operating Ebitda margin to 19.8 per cent from 18.4 per cent in the year-ago quarter. READ MORE
On the downside, shares of Biocon plunged 13 per cent in the intra-day trade and ended 11 per cent lower on lower-than-expected Q3 results, with consolidated net profit down 17 per cent year on year (YoY) at Rs 169 crore. READ MORE
YES Bank reported a net profit of Rs 151 crore for the December quarter of FY21 and a NII of Rs 2,560 crore.
Shares of Reliance Industries ended 2.4 per cent lower on Friday ahead of the announcement of its December quarter results. The shares have surged around 6 per cent during the week.
In the primary market, the IPO of Indigo Paints was subscribed over 61 times till 4 PM on the last day of the issue. Meanwhile, the public issue of Home First Finance was subscribed by 1.6 times till 4 PM on day 2.
Asian shares slipped off record highs on Friday as investors took profits after a recent rally that was driven by hopes of US economic stimulus by newly inaugurated President Joe Biden.
MSCI's broadest index of Asia Pacific stocks outside of Japan extended losses in afternoon trading to be last off 0.6 per cent at 720.17 points following three straight sessions of gains. Australia's benchmark index eased 0.3 per cent while Japan's Nikkei fell 0.4 per cent.
In Europe, stocks fell on Friday, hit by tighter travel restrictions in the euro zone and weak UK retail sales numbers. The pan-European STOXX 600 index fell 0.4 per cent.
Dow Jones Futures were last trading over 200 points lower indicating a weak start on Wall Street later today.