Friday, 21 September, 2018

Markets end lower as Karnataka gets a hung assembly

Markets end lower as Karnataka gets a hung assembly Markets end lower as Karnataka gets a hung assembly
Stacy Diaz | 17 May, 2018, 02:43

The broader NSE Nifty too, was down testing the 10,700-levels.

At 11:30 a.m, the 30-share Sensex was at 35,867, up 310.54 points or 0.87 per cent. Stocks pared losses in afternoon trade.

In January 2008, the BSE had recorded its biggest fall, losing over 2,000 points in just two consecutive sessions.

On the sectoral front, PSU bank fell by 2.37 per cent, realty 2 per cent, auto 0.77 per cent, media 0.74 per cent, pharma 0.72 per cent, energy 0.33 per cent, FMCG 0.30 per cent, infra 0.29 per cent. Regardless, both indices are reliable indicators of the whole Indian economy and national growth prospects as well.

The market breadth, indicating the overall health of the market, remained negative. A total of 112 shares were unchanged.

The top losers were Tata Motors, down 4.29 per cent at Rs 310.25; Tata Motors (DVR), down 4.27 per cent at Rs 182.75; Coal India, down 2.11 per cent at Rs 264; State Bank of India, down 1.87 per cent at Rs 248.60; and Sun Pharma, down 1.22 per cent at Rs 468.25 per share. The market capitalisation of listed firms on the NSE stood at Rs 1,47,45,721.30 crore.

Engineering & construction major L&T was down 0.67% to Rs 1,366.85. The Sensex, which rose up to 437 points when early counting indicated that BJP was comfortably placed to form the government in Karnataka, gave up the gains as a hung mandate became clear. The BJP emerged as the clear-cut victor with more than 117 seats in the contest for 222 assembly seats. However, all gains turned negative after the Congress announced a post-poll alliance with the JD (S) and staked claim to form the government.

U.S. stock indices posted modest gains yesterday, with the Dow ending higher for the eighth session in a row on signs of easing trade tensions between the United States and China. Asian stocks were mixed as geopolitical developments and rising benchmark U.S. yields spurred a return of risk aversion.

Worldwide markets were down after North Korea cancelled high-level talks with Seoul and threatened to call off the much anticipated summit with the U.S. if it was pushed into unilaterally giving up its nuclear arsenal. Meanwhile, the Indian rupee recovered from its 15-month low hit on Tuesday following suspected intervention by the Reserve Bank of India (RBI). Investors are weighing the prospect for higher Federal Reserve rates as strong United States retail and factory data on Tuesday fueled bets the Fed may raise rates three more times this year.