Sensex, Nifty Snap Three-Session Rally As ICICI Bank, ITC, Infosys Drag: Market Wrap
Hindalco Industries, RIL, Bajaj Auto, Sun Pharma and HCL Technologies were positively contributing to the change.
![<div class="paragraphs"><p>NSE building. (Photo: Vijay Sartape/NDTV Profit)</p></div>](https://media.assettype.com/bloombergquint%2F2023-08%2Fc957e0b4-af8b-429e-92b5-02789d2e1436%2FNSE_building_with_logo_and_signage_in_BKC__Bandra_Kurla_Complex___Source_Vijay_Sartape_BQ_Prime__Nat.jpeg?rect=0%2C0%2C1600%2C900&auto=format%2Ccompress&w=200)
The benchmark indices closed lower on Monday mainly due to losses in bank shares, fast-moving consumer goods and information technology.
The NSE Nifty 50 closed 38 points or 0.18% lower at 21,418.65, while the S&P BSE Sensex was 169 points or 0.24% down at 71,315.09.
![Sensex, Nifty Snap Three-Session Rally As ICICI Bank, ITC, Infosys Drag: Market Wrap](https://media.assettype.com/bloombergquint%2F2023-12%2Fea7893fd-a458-4441-bf1e-343e8361f40f%2FSENSEX__45_.png?auto=format%2Ccompress)
![Sensex, Nifty Snap Three-Session Rally As ICICI Bank, ITC, Infosys Drag: Market Wrap](https://media.assettype.com/bloombergquint%2F2023-12%2Ff59ab334-7150-4b58-b795-10ea35841b4d%2FNIFTY_50__47_.png?auto=format%2Ccompress)
A decline below 21,350 can lead to a correction towards 21,220 or 21,100 in the short term. Resistance is expected at 21,500 on the higher end, according to Rupak De, senior technical analyst at LKP Securities.
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"The market started on a subdued note as concerns over oil supply disruptions through the Red Sea and elevated valuations dented investor sentiment," Vinod Nair, head of research at Geojit Financial Services, said. "On the global front, attention will be directed towards BOJ monetary policy and UK inflation data."
"We expect a near-term consolidation in the market due to an unfavourable risk reward after the recent rapid performance, concerns over El Nino and a slowdown in world GDP," Nair said.
Global Cues
Most of the indices in Asia closed lower as investors await Japan's central bank's Tuesday meeting on expectations that it might go further away from its ultra-dovish policies.
The sentiment was also dampened after several Fed officials, including New York Fed President John Williams, New York Fed President John Williams, and Chicago Fed President Austan Goolsbee, hinted that the U.S. Federal Reserve might not cut rates next year. Following this, markets in Europe also opened lower.
Shares of ICICI Bank Ltd., Infosys Ltd., ITC Ltd., Axis Bank Ltd., and Tech Mahindra Ltd. dragged the index lower.
Hindalco Industries Ltd., Reliance Industries Ltd., Bajaj Auto Ltd., Sun Pharmaceutical Industries Ltd., and HCL Technologies Ltd. were positively contributing to the change.
Eight sectoral indices on the NSE fell and six advanced. Nifty Media rose the most, followed by Pharma. Realty, PSU Bank, and Bank fell the most.
The broader markets outperformed the benchmark indices as the BSE MidCap rose 0.28% and the SmallCap gained 0.48%. Eleven out of the 20 sectors compiled by the BSE advanced.
The market breadth was skewed in favour of buyers. As many as 2,176 stocks advanced, 1,711 declined and 141 remained unchanged on the BSE.