The market turned volatile in late trade after a relatively quiet session. It recorded highest turnover at 4.15 lakh crores. However, the Nifty lost 35 points to close at 5870 while the Sensex fell 94 points to end at 19,323.80.
The market were rangebound since early trade today but it got into bear grip in late trade, weighed down by Reliance Industries, Infosys, HDFC and ICICI Bank.
Despite today's of late sell-off, experts still feel the market would go higher in near term.
Hemant Thukral of Aditya Birla Money, says that one should maintain long positions, although 6,000-6,030 level will prove to be a slight resistance. "Until we cross that, I do not think the rally towards 6,150 will progress, but first target for the Nifty remains 6,030," he asserts.
Tirthankar Patnaik of Religare Capital Markets, is expecting the Sensex to touch 22200 based on valuation multiple of 14x.
Meanwhile, private oil & gas producer Reliance Industries and software services exporter Infosys fell 1 percent each. FMCG majors too saw selling pressure; ITC and Hindustan Unilever were down 0.5-1 percent.
Country’s largest private sector lender ICICI Bank declined 0.9 percent whereas its rival State Bank of India rose 0.7 percent as cabinet cleared Rs 3,004 crore fund infusion in the bank.
Housing finance company HDFC and IT services exporter TCS went down over 0.7 percent.
Shares of Mahindra & Mahindra, BHEL, Jindal Steel, GAIL and Sterlite Industries dropped more than 1.5 percent.
However, commercial vehicle major Tata Motors bucked the trend, rising 1.34 percent. State-controlled oil & gas producer ONGC and top telecom operator Bharti Airtel were up 0.9 percent and 0.4 percent, respectively.
Declining share outnumbered advancing by 940 to 498 on the National Stock Exchange.