Sensex, Nifty end flat as profit booking, rising crude offset early gains
Mumbai, August 10
Domestic benchmark indices ended on muted note on Monday following a volatile session, as the benchmarks struggled to build on early gains. Surging Brent crude prices and continuing West Asia uncertainty offset the positive impact of softer-than-expected US jobs data and strong corporate earnings, as per analysts.
Sectorally, the market witnessed a mixed session with realty, financial services and IT stocks leading the gains. Further, investors booked profits following the recent rally. Sensex closed in the green at 78,542.44, up 43.27 points or 0.06 per cent, likewise Nifty ended the session in the positive territory, settling at 24,583.80, up 13.15 points or 0.05 per cent.
In the commodity market, Brent crude was trading at around USD 84.53 per barrel while crude oil was trading at around USD 78.98 per barrel. At the same time, gold was trading at around USD 4,340.44.
On BSE, Titan, Tata Steel, Asian Paint, M&M, HCL Tech, LT, Kotak Bank, BEL, Infosys, Trent among others were the major gainers. Meanwhile, SBI, Eternal, ITC, Bharti Airtel, Power Grid, Reliance, Indi Go among others were the major losers.
Likewise, on NSE, Titan, Kotak Bank, BEL, Infosys, Cipla, JSW Steel, Bajaj Auto, HCL Tech, ONGC, Maruti among others were the top gainers. ITC, SBI, Eternal, Coal India, Wipro, Adani Ports, Nestle, NTPC, Hindustan Unilever among others were the top drags.
Riyank Arora, Associate Vice President - HNI & Derivatives, Hedged.in noted, "Today's dip looks like routine profit booking rather than a change in trend, provided the key supports hold. The larger picture still favours the bulls. A buy-on-dips approach in quality names, backed by disciplined risk management, remains the sensible way to play this."
"Weakness in a handful of large-cap names set the tone for the session, and the close came in on a cautious footing. That said, the broader trend hasn't been dented -- global and domestic cues remain the key swing factors from here," Arora said.
Market analyst Vipin Dixena noted, "Today's price action reflects a market that is still looking for a clear trigger. Despite the supportive earnings backdrop, the inability of the benchmarks to sustain the morning gains indicates that investors are becoming selective at current levels. Stock-specific action remained important, with Titan, Hero MotoCorp and Oil India among the stocks attracting attention, while PFC and some PSU banking names remained under pressure."
"Nifty continues to consolidate around the 24,600 mark. The 24,500-24,450 zone remains an important near-term support area, while 24,650-24,700 is the immediate resistance zone. A decisive breakout above 24,700 could bring fresh momentum, whereas a sustained break below 24,500 would increase the risk of further consolidation or correction," he said.
— ANI
Reader Comments
As a retail investor, this kind of sideways movement is frustrating. One day it goes up, next day it comes down. The Middle East tension is really making international investors nervous. But good to see IT and financials holding up. Hopefully once the geopolitical situation settles, we'll see a clear direction.
Interesting to see how Indian markets are holding up compared to global peers. The crude oil prices are definitely a concern though - India imports most of its oil, so this will eventually impact inflation and possibly RBI's rate decisions. Let's see how the week progresses.
I've been investing in mutual funds SIPs for 5 years now. I don't even look at daily fluctuations anymore. Long-term investors shouldn't worry about 40-50 point movements. India's growth story is intact, we'll see newer highs in coming months. Kaam karte raho, patience is key! 💪
The market seems range-bound between 24,450-24,700 as the analyst mentioned. Good time for options traders to use strangle strategies. However, for traditional investors, this consolidation is healthy before the next leg up. Titan and Kotak Bank look strong - might add on dips.
Everyone talking about profit booking, but honestly, I think FIIs are being cautious because of the elections in US and the Iran situation. Our domestic institutions are doing a good job supporting the market. Thoda sabr rakhna padega. In the long run, India is going to be the world's growth engine. 🌏
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