Profit booking bleeds indices; realty stocks down

Profit booking bled India’s key equity market indices during the post-noon trade session on Wednesday.

Accordingly, the overall market breadth turned weak as mid and smallcaps fell massive due to profit booking.

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Sector wise, selling pressure was witnessed in the realty segment.

Consequently, around 12.25 p.m. the S&P BSE Sensex traded at 54,209.87, lower by 344.79 points or 0.63 per cent from its previous close.

The NSE Nifty50 traded at 16,213.85, lower by 66.25 points or 0.41 per cent from its previous close.

“Nifty weakened on Aug 11 with broad markets seen massive selling. In the process, Indian indices are one of the worst performers in the region,” said Deepak Jasani, Head of Retail Research, HDFC Securities.

“Realty, consumer durables, and healthcare are the loss leaders today with no sectors being in the green.”

According to Gaurav Garg, Head of Research at CapitalVia Global Research: “Indian benchmark continues to trade in a small range between 16,200-16,350. After a positive start in the market, we witnessed a correction and the gains got wiped off in the early morning session. Sentiments remain intact and poised towards positivity as government data shows a very small impact of the second wave on the businesses and that suggests the signs of economic recovery.”

“The market continues to respect the support level of 16,200. Our research suggests that we can expect the recovery in the market near the level of 16,200 and gain momentum, leading to an upside projection till the level of 16,450-16,500.”