Home / Business / Money / Sensex down for 6th day, Nifty manages to hold 8000; ITC up

Sensex down for 6th day, Nifty manages to hold 8000; ITC up


TheNewsInternational Team

The market trimmed losses in last hour of trade to close marginally lower, continuing downtrend for sixth consecutive session on Monday. Weak Asian cues & Q2 earnings, bad manufacturing PMI data and NDA’s likely loss in Bihar elections drove the Nifty below 8000 intraday but buying in Reliance Industries & ITC and recovery in Infosys helped market recover in last hour of trade.

Rakesh Arora, Macquarie says reporting (earnings) season is reflecting the fragile nature of recovery and has not provided anything to cheer about as yet.

All eyes are on Bihar elections to lift sentiment and take the market beyond the range, he adds.

The 30-share BSE Sensex fell 97.68 points to 26559.15 and the 50-share NSE Nifty declined 15 points to 8050.80, continuing downtrend for sixth consecutive session today. The broader markets closed flat.

On the global front, Asian markets closed lower on tepid China’s PMI data. Caixin’s purchasing managers’ index in October rose to 48.3 from September’s fresh six-and-a-half year low of 47.2, contracting for an eighth straight month. Shanghai, Nikkei and Hang Seng were down 1-2 percent. European markets were mixed as CAC and DAX gained 0.2-0.6 percent while FTSE fell 0.4 percent.

Back home, auto stocks and midcap & smallcap earnings were in focus today. Bajaj Auto tanked nearly 5 percent after reporting a 9 percent year-on-year decline in October sales. However, Mahindra & Mahindra topped buying list on Sensex, up 2.3 percent after its October sales increased by 20 percent year-on-year to 51,383 units, majorly led by passenger vehicle (up 19 percent to 24,060 units) and commercial vehicle sales (up 31 percent at 18,756 units).

Tata Motors gained 0.7 percent on reporting a 1 percent increase in sales at 43,486 units led by passenger vehicle and medium & heavy commercial vehicle sales. Maruti Suzuki rose 1 percent as sales jumped 29 percent to 1.35 lakh units.

Indian Bank and Oriental Bank of Commerce climbed 6-8 percent on improvement in asset quality quarter-on-quarter.

Metals stocks lost shine today; Vedanta, Hindalco and Tata Steel lost more than 3 percent. HDFC and Sun Pharma were down more than 2.5 percent today.

Larsen and Toubro lost further, down 1.6 percent as brokerages cut target price on the stock post slash in FY16 revenue and order inflow guidance by the engineering & construction major last Friday. CLSA cut price target to Rs 1,850 from Rs 2,070 and earnings by 5-10 percent over FY16-18.

Reliance Industries, ITC, ICICI Bank, TCS and Axis Bank supported market, up 0.5-1 percent.

Leave a Reply

Scroll To Top