Market snaps gaining streak, selling seen in IT, banking

The stock market on Thursday snapped a two-day gaining streak, erasing most of the gains from the previous two sessions. Selling was seen in the IT and banking names, tracking weakness in the June quarter earnings.

At close, the Sensex was down 375.24 points, or 0.45%, at 82,259.24, and the Nifty declined 100.60 points, or 0.40%, to 25,111.45.

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Further, the broader indices outperformed the main indices, with the midcap index finishing flat and the smallcap index adding 0.25%.

On the sectoral front, IT and PSU Bank shed 0.5-1%, while metal, consumer durables, and realty indices added 0.5-1%.

Nifty Realty rose 1.24%, Metal gained 0.67%, and Consumer Durables added 0.50%. On the other hand, Nifty IT was down by 1.39%.

On the financial side, Nifty Bank fell 0.59%, while the Financial Services index lost 0.40%. Nifty PSU Bank was down 0.79%, and Private Bank was down 0.58%.

Further on the BSE, as many as 149 stocks hit their 52-week highs in intraday trade, while 40 stocks touched their 52-week lows. Those on the high included HDFC Asset Management Company, MRF, RBL Bank, The Ramco Cements, JK Lakshmi Cement, and Global Health.

Notable ones on the flip side were HDB Financial Services, Jindal Worldwide, Pashupati Cotspin, Smartworks Coworking Spaces, and Sprayking.

On the Nifty, some of the key names on the top were Tata Consumer, up 2.01%, Tata Steel, up 1.68%, and Hindalco Industries, up 0.79%.

Around 31 stocks ended in the red, including Tech Mahindra, down 2.72%, IndusInd Bank, down 1.90%, and Infosys, down 1.67%.

Fresh foreign fund outflows and subdued quarterly earnings dented investors’ sentiment.

Among global markets, European indices were trading higher, while US markets also ended higher.

In Asian markets, South Korea’s Kospi, Japan’s Nikkei 225 index, and Shanghai’s SSE Composite index settled in the positive territory, while Hong Kong’s Hang Seng ended lower.