| | |
Key equity benchmarks closed in red on the first day of the new derivatives expiry.Indices have gained over 6 percent in the last fortnight and seems like traders have lightened their positions in the realty and banking stocks ahead of the monetary policy review on May 3.
Brokers attributed the weakness to profit booking, as the market had risen around 6 percent over the last fortnight.
Over the last couple sessions, there have been more positive surprises than negative ones. However, the market appears to have priced in much of the good news, and gains have been restricted to stocks of companies delivering on the numbers.
Shares of LIC Housing Finance, Maruti Suzuki and Idea Cellular were among the best performers of the day, rising 5-6 percent on strong fourth quarter numbers.
Hero Motocorp’s quarterly net profit declined 5 percent, but the drop was lower than what analysts were expecting.
The next key trigger for the market is the RBI policy review on May 3. It is widely expected that the central bank will cut interest rates by 25 basis points, as inflation is showing signs of cooling down.
Bharti Airtel, Bajaj Auto, GAIL and Larsen & Toubro were the big gainers in the Nifty. HCL Tech, Jindal Steel, Reliance Industries, Jaiprakash Associates and HUL figured among the losers.
Key gainers in the midcap space included Welspun Corp, Sobha Developer, United Phosphorous, Blue Dart, TTK Prestige ended.
Shares of Delta Corp were hammered 10 percent after the company reported a net loss in its fourth quarter and a decline in revenues. Trading in the stock was frozen after there were only sellers. Unitech, HDIL, Persistent and Punj Lloyd were the other big losers.
The market drifted lower as the Nifty was struggling below 5900 levels pulled lower by banks, oil and gas, technology and realty stocks.
Key equity benchmark indices were trading weak in the afternoon trade. The first day of the new derivatives expiry kicked off on a weak note. Selling pressure picked up after European markets opened in red.
The market continued its southward journey, pulled down by weakness in technology and banking stocks. The Sensex is down 78.14 points at 19328.71, and the Nifty down 32.50 points at 5883.80.
The Nifty was trading soft on the first day of the new derivatives expiry. Profit booking by the traders dragged Nifty below 5900 after the benchmark index rallied close to 350 points in the last seven trading sessions.
ADS BY GOOGLE
video of the day
Market technically overbought; paper supply to weigh: Dutt