Domestic stock markets ended Wednesday’s volatile session on a lower note. The losses on Dalal Street were led by FMCG, PSU banking and financial services stocks. The S&P BSE Sensex ended 336 points lower, or 0.92 per cent, at 36,108.47 while, NSE’s benchmark index Nifty finished at 10,831.50, down 91.25 points or 0.84 per cent from the previous close. Thirty one out of 50 stocks closed in the negative zone. Top drags on the Nifty were ITC, Grasim, Indiabulls Housing Finance, Titan and Mahindra & Mahindra, closing between 4.75 and 2.03 per cent lower.
ITC, Mahindra and Mahindra, Infosys, Power Grid Corporation and State Bank of India led losses on the 30-stock Sensex.
ITC shares fell despite the FMCG major reported a 3.85 per cent rise in net profit at Rs 3,209 crore for the December quarter. Shares closed 4.75 per cent lower at Rs 276 on the NSE.
Global markets impacted trading sentiments of the domestic indices. “Renewed concerns about global growth and the US-China trade war continued to plague global markets,” said Viral Berawala, CIO, Essel Mutual Fund.
“People are buying quality stocks in a staggered manner instead of pumping in money, as the cards are now open for the upcoming elections,” news agency Reuters quoted said AK Prabhakar, head of research at IDBI Capital, as saying.
“Investors are wary of a mixed government, as reforms would be tougher to go through, and it could also lead to a loosening of monetary policy,” he said.
Worries about global growth were amplified by the IMF cutting its 2019 economic outlook, a weak US home sales report and new signs of trade tension between the United States and China.
Meanwhile, foreign portfolio investors (FPIs) sold shares worth a net Rs 78.53 crore, while domestic institutional investors (DIIs) sold shares worth Rs 84.15 crore on Tuesday, provisional data on the NSE showed.
(With agency inputs)