Sensex, Nifty trade lower on profit booking

Mumbai: Key indices on Tuesday eased owing to profit booking recorded during the mid-session. Negative global cues had also dampened the investor confidence. Equities on BSE and NSE traded slightly in the red during a volatile session as selling pressure was witnessed in metal and healthcare stocks.

However, increased chances of a key economic legislation’s passage during parliament’s monsoon session, value buying and positive macro-economic data supported prices at lower levels.

The market barometer 30-scrip Sensex lost 21.41 points and concluded at 27,981.71 on profit booking. The wider Nifty edged lower by 13.65 points or 0.16 per cent to 8,622.90 points.

Opened at 28,069.12 points, Sensex touched a high of 28,175.22 points and a low of 27,943.91 points during the intra-day trade. The BSE market breadth was skewed in favour of the bears with 1,676 declines and 952 advances. Both the key Indian indices ended on a lower note during the previous trade session on Monday, on the back of profit booking, along with lower crude oil prices and global event risks.

The barometer index had declined down 48.74 points or 0.17 per cent to 28,051.86 points, while the NSE Nifty edged lower by 1.95 points or 0.02 per cent to 8,636.55 points.

“The key indices came off the day’s highs due to caution ahead of global event risks and profit booking,” said Anand James, Chief Market Strategist at Geojit BNP Paribas Financial Services.

While pointed out that banking stocks traded sideways to firm on buying support, Dhruv Desai, Director and Chief Operating Officer of Tradebulls, said: “However, GST (Goods and Services Tax) Bill slated to come up in the Rajya Sabha and bargain hunting supported prices at lower levels. Sugar sector stocks faced profit booking, while auto stocks held their initial gains.”

The rupee the inter-bank foreign exchange (Forex) market pared its initial losses to rule stable at 66.74 against the American currency on bouts of dollar selling by banks and exporters amid bearish dollar overseas as well as higher domestic equities. The rupee opened lower at 66.79 per dollar from last yesterday’s closing level of 66.74.

Source: IANS