Nifty closes flat with marginal loss

Indian equity markets closed flat with marginal losses on Tuesday, with heavy selling pressure witnessed in healthcare, banking and automobile stocks.

Substantial inflows of foreign funds, a strong rupee and broadly positive global cues helped the key indices pare some of their losses and close on a flat-to-negative note.

The wider 51-scrip Nifty of the National Stock Exchange (NSE) closed a tad lower by 5.35 points or 0.06 per cent at 9,121.50 points.

The barometer 30-scrip sensitive index (Sensex) of the BSE, which opened at 29,525.88 points, closed at 29,485.45 points — down 33.29 points or 0.11 per cent from the previous close at 29,518.74 points.

The Sensex touched a high of 29,585.05 points and a low of 29380.14 points during the intra-day trade.

The BSE market breadth was tilted in favour of the bears — with 1,739 declines and 1,058 advances.

However, the broader markets underperformed the benchmark indices. The S&P BSE mid-cap index was down by 0.45 per cent, while the small-cap index fell by 0.19 per cent.

“Markets ended with marginal losses on Tuesday as a sharp recovery towards the close curbed the losses,” Deepak Jasani, Head – Retail Research, HDFC Securities, told IANS.

“Major Asian markets have ended on a positive note, barring the Nikkei and Straits Times. European indices like DAX and CAC 40 too traded higher.”

Anand James, Chief Market Strategist, Geojit Financial Services, said: “While FDA (US Food and Drug Administration) observations kept pharma space depressed, banking stocks were also under pressure from potential farm loan waivers.”

“Nifty found value buying towards close, though limited, and with few domestic triggers before Q4 numbers, market should keep its ear on global cues especially with Brexit being triggered on March 29,” James added.

On the currency front, the Indian rupee strengthened by seven paise to 65.30 against a US dollar from its previous close of 65.37 to a greenback.

In terms of investments, provisional data with exchanges showed that FIIs purchased stocks worth Rs 1,662.72 crore, whereas the domestic institutional investors (DIIs) divested scrip worth Rs 798.57 crore.

“Indian equity markets witnessed some recovery from lower levels tracking bearish USD/INR futures prices,” Dhruv Desai, Director and Chief Operating Officer of Tradebulls, told IANS.

On the sector-specific movement, Desai said: “IT sector stocks traded with mixed sentiments and witnessed some recovery from lower levels in the second half of the session.”

“Banking, pharma, auto, oil-gas and telecom sector stocks traded with bearish sentiments due to selling pressure, while textile, aviation, FMCG, cement and power sector stocks traded with sideways to firm sentiments.”

Sector-wise, the S&P healthcare index plunged by 223.73 points, followed by the banking index, which dipped by 142.59 points, and the automobile index, which fell by 95.19 points.

On the other hand, the S&P FMCG index rose by 93.43 points, the IT index was up by 34.17 points, and the capital goods index edged higher by 30.53 points.

Major Sensex gainers on Tuesday were: ITC, up 1.97 per cent at Rs 287.65; ONGC, up 1.60 per cent at Rs 193.70; Infosys, up 1.12 per cent at Rs 1,032; Larsen and Toubro (L&T), up 0.73 per cent at Rs 1,549.55; and Hindustan Unilever, up 0.60 per cent at Rs 903.80.

Major Sensex losers were: Dr. Reddy’s Lab, down 4.36 per cent at Rs 2,622.80; Axis Bank, down 3.28 per cent at Rs 488; Gail, down 1.41 per cent at Rs 370.05; Maruti Suzuki, down 1.40 per cent at Rs 6,077.40; and Reliance Industries, down 1.29 per cent at Rs 1,263.80.

FIIs net buy Rs 1,662.72 Cr in equities and DIIs net sell 798.57 Cr in equities.

FII positions in Index puts, futures and calls.

Nifty Put Call Ratio (PCR) data shows support at 9100 and resistance at 9200

(With agency inputs)