Nifty, Sensex Retreat From Record Highs To Log Worst Fall In Over A Month: Midday Market Update
Nifty was down 0.79% at 24,240, while Sensex was 0.82% lower at 79,691.7, as of 11:52 a.m.
Indian equity benchmark indices retreated from record highs from earlier trade to post their biggest declines in over a month on Wednesday, as Mahindra and Mahindra Ltd. and a few banking scrips dragged.
During the opening, the equity gauges—NSE Nifty 50 and S&P BSE Sensex—hit a record high by rising 0.11% and 0.16%, respectively.
They later pared gains, as Nifty was at 24,240, down 0.79% or 192 points, and Sensex was at 79,691.7, down 0.82% or 659 points, as of 11:52 a.m. On an intraday basis, the benchmarks recorded the worst fall since June 4, with Nifty and Sensex falling by 1.19% and 1.14% respectively.
The markets were waiting for some sign of consolidation and profit-taking, according to Ajit Mishra, senior vice president, research, Religare Broking Ltd. Earlier, the markets were seeing more of a time-wise correction and it's the first day that the markets are seeing a decisive decline, he said.
"If we break 24,150, the profit taking might extend and the 24,000, 23,850 level is where the Nifty might test."
.png?auto=format%2Ccompress)
.png?auto=format%2Ccompress)
.png?auto=format%2Ccompress)
Shares of Mahindra and Mahindra fell over 7% on Wednesday after the company slashed the price of its best-selling sports utility vehicle. The market capitalisation of the car-maker tanked over Rs 26,600 crore on Wednesday.
Meanwhile, Nifty Bank fell 0.93% during the day.
Shares of Mahindra and Mahindra, Reliance Industries Ltd., ICICI Bank Ltd., HDFC Bank Ltd. and Tata Consultancy Services Ltd. dragged the Nifty the most.
While those of Maruti Suzuki India Ltd., Bajaj Finance Ltd., Asian Paints Ltd., Apollo Hospitals Ltd. and Grasim Industries Ltd. cushioned the fall.
All Nifty sectors slipped in trade, with the media and the auto index declining the most by 2.37% and 2.22%, respectively. Nifty FMCG fell the least.
.png?auto=format%2Ccompress)
.png?auto=format%2Ccompress)
The broader indices declined more than the benchmarks, as the BSE MidCap fell by 1.04%, while BSE SmallCap declined 1.08%.
All 20 sectoral indices on BSE declined in the session, with BSE Auto falling the most.
The market breadth was skewed in the favour of the sellers as 2,837 stocks fell, 910 rose and 111 remained unchanged on the BSE.
