The closing updates of the stock market on Tuesday show that the benchmark equity indices, Sensex and Nifty, experienced significant volatility and ended flat. Investors chose to stay cautious before the Reserve Bank of India’s upcoming interest rate decision.
Selling pressure in the IT sector, foreign fund outflows, and weak trends in global equities impacted market sentiments, according to traders.
The 30-share BSE Sensex managed to secure marginal gains of 5.41 points or 0.01%, settling at 62,792.88. Throughout the day, it reached a high of 62,867.95 and a low of 62,554.21.
The NSE Nifty increased by 5.15 points or 0.03%, closing at 18,599.
Both benchmark indices displayed high volatility, fluctuating between highs and lows during the trading session.
UltraTech Cement emerged as the top gainer in the Sensex chart, rising by 3.13%. Other gainers included Kotak Mahindra Bank, Tata Motors, Axis Bank, Maruti, Bajaj Finserv, Bajaj Finance, and Mahindra & Mahindra. On the other hand, Infosys, Tech Mahindra, Tata Consultancy Services, Wipro, Bharti Airtel, HCL Technologies, ICICI Bank, and Nestle were among the laggards.
In Asian markets, Tokyo closed in positive territory, while Shanghai and Hong Kong settled lower. European equity markets were trading negatively, and the US markets ended lower on Monday.
According to Vinod Nair, Head of Research at Geojit Financial Services, profit-booking occurred in the domestic market due to selling pressure in the IT sector. IT stocks faced a decline in anticipation of reduced spending. However, a rally in the auto and banking sectors helped offset the losses.
The RBI’s commentary on growth and inflation forecasts following its MPC meeting will be an important factor going forward, as there is a general consensus that the rate pause will continue.
The global oil benchmark, Brent crude, declined by 1.84% to reach USD 75.33 per barrel.
Foreign Institutional Investors (FIIs) sold equities worth ₹700.98 crore on Monday, as per exchange data.
On Monday, the BSE benchmark rose by 240.36 points or 0.38% to settle at 62,787.47, while the Nifty advanced by 59.75 points or 0.32% to end at 18,593.85.
