Financial, metal and consumer goods stocks were the most hit Domestic stock markets gave up early gains on Tuesday amid a selloff across sectors barring information technology stocks, despite gains in Asian peers.
The S-P BSE Sensex index first rose as much as 109.06 points to 37,511.55, before shedding 201.17 points from that level to enter the negative territory.
The broader NSE Nifty benchmark gave up as much as 63 points from its intraday high of 11,076.30, to touch 11,013.30 at the end of the first hour of trade.
Here are 10 things to know:At 10:15 am, the Sensex traded 132.81 points - or 0.36 per cent - lower at 37,269.68, while the Nifty was down 49.35 points - or 0.45 per cent - at 11,004.55.
Financial, metal and consumer goods stocks were the most hit, whereas IT stocks bucked the trend.Top percentage laggards on the 50-scrip index at the time were Yes Bank, Indiabulls Housing Finance, IndusInd Bank, Britannia, Bajaj Finance, ICICI Bank, UltraTech Cement and ITC, trading between 1.79 per cent and 4.89 per cent lower.On the other hand, Infosys, Wipro, TCS and Dr Reddy's - enjoying gains of between 0.77 per cent and 2.36 per cent - were the top gainers.Market breadth favoured declines, with 623 stocks enjoying gains on the BSE and 1,041 struggling with losses.
On the NSE, 514 stocks advanced while 1,093 declined.ICICI Bank, ITC and Reliance Industries were the top drags on the Sensex.Analysts say fresh concerns about the slowdown hurt investors' sentiment.The markets witnessed a technical bounce-back in the past few sessions.
News of financial irregularities in CG Power and Industrial Solutions has triggered fresh concerns among investors.
Banking and non-banking financial companies' businesses are already facing a slowdown, said Jaikishan Parmar, senior equity research analyst-BFSI, Angel Broking.A lot of mutual funds have stakes in CG Power.
This development brings back concerns about a contagion effect spreading into other sectors, he added.Vodafone Idea shares fell as much as 3.17 per cent in early deals, a day after the telecom company said Balesh Sharma stepped down as chief executive officer due to personal reasons.The company's board approved the appointment of Ravinder Takkar as its managing director and CEO for a period of three years.Equities in other Asian markets extended gains amid hopes for stimulus in major economies, withMSCI's broadest index of Asia-Pacific shares outside Japan rising 0.31 per cent.Japan's Nikkei rose 0.45 per cent.
The improved mood was helped by a rally on Wall Street overnight, with the S-P 500 gaining 1.21 per cent.The Sensex and Nifty had ended 0.14 per cent and 0.06 per cent higher respectively on Monday, extending recent gains to a third straight day.(With inputs from Reuters)Get Breaking news, live coverage, and Latest News from India and around the world on TheIndianSubcontinent.com.
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