Indian market came under fag-end selling pressure to end in the red for the sixth straight session on Friday. Unabated selling by foreign institutional investors and concerns over inflation led to weakening of sentiment.
Sensex pared all intra-day gains and closed 136.69 points or 0.26 per cent lower at 52,793.62. During the day, the 30-stock index rallied 855.4 points or 1.61 per cent to 53,785.71. Nifty dipped 25.85 points or 0.16 per cent to end at 15,782.15.
Top Sensex losers were State Bank of India, ICICI Bank, NTPC, Bharti Airtel, Bajaj Finserv, Axis Bank and Maruti falling up to 3.76 per cent.
Sun Pharma, M&M, ITC, Hindustan Unilever, Titan and Reliance were among the top Sensex gainers, rising up to 3.76 per cent.
Of 30 Sensex stocks, 15 ended in the red.
The market breadth was negative with 2166 shares ending higher against 1169 stocks falling in the red. 137 shares were unchanged.
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Market cap of BSE listed firms stood at Rs 241.34 lakh crore. Banking and metal stocks were the top sectoral losers with their BSE indices, crashing 498 points and 453 points, respectively.
V K Vijayakumar, Chief Investment Strategist at Geojit Financial Services said, “This is the season of headwinds for markets. High inflation in the US and the hawkish Fed has pushed up bond yields, negatively impacting equity markets. FPIs continue their selling spree further impacting sentiments. To top it all, CPI inflation for April has come at a disturbingly high level of 7.79 per cent, leaving no option for RBI but to turn hawkish in the coming policy meets.”
Vijayakumar added that the positive side is that all this bad news is already known and factored-in by the market.
Continuing their selling spree, foreign institutional investors offloaded shares worth a net Rs 5,255.75 crore on Thursday, according to NSE data.
However, BSE mid cap and small cap indices ended 170 points and 320 points higher, respectively. Banking stocks too ended in the red. Bank Nifty slipped 410 points to 33,121 and BSE bankex fell 498 points to 38,241 amid the ongoing volatility in broader markets.
In the previous session, Sensex tumbled 1,158.08 points or 2.14 per cent to close below the 53,000-level at 52,930.31. It crashed 1,386.09 points or 2.56 per cent intra-day to 52,702.30. Nifty plunged 359.10 points or 2.22 per cent to end at 15,808
Markets in Asia settled higher, with Tokyo, Hong Kong, Seoul and Shanghai gaining significantly. Bourses in Europe were quoting higher in the afternoon session. Stock exchanges in the US had ended on a mixed note on Thursday. Meanwhile, international oil benchmark Brent crude jumped 1.09 per cent to $108.6 per barrel.