Equity indices close flat as global cues subdue sentiments
Mumbai, September 9, 2021
India's key domestic stock market indices ended on a flat-to-positive note on Thursday as bearish global cues subdued investor sentiments.
Besides, investors also feared that a roll-back of loose monetary policy will impact liquidity. Even the volumes were sharply lower due to a three-day weekend ahead.
Globally, Asian markets were mixed on further crackdown on tech companies in China.
On a sector specific basis, power, telecom, capital goods and metal indices gained the most, whereas consumer durables, realty and healthcare indices were the main losers.
Consequently, the Sensex closed at 58,305.07 points, higher by just 54.81 points, or 0.094 per cent, from its previous close.
The Nifty50 on the National Stock Exchange ended the day's trade at 17,369.25, inching up by 15.75 points or 0.091 per cent from its previous close.
"Nifty ended almost flat for the third consecutive session after a mild intra-day selling. Nifty opened lower and remained in a range of 77 points by way of a zigzag move," said Deepak Jasani, Head of Retail Research, HDFC Securities.
"Large caps also seem to have run into some sort of resistance this week. Select small and midcaps have bounced up. A range of 17,246-17,437 is the band for the Nifty, a move beyond which could accelerate the trend in that direction," he added.
According to Siddhartha Khemka, Head, Retail Research, Motilal Oswal Financial Services: "Following global cues, Indian equities traded negative for most part of the day.
"Going ahead, global cues would be actively tracked as fear of economic slowdown looms while Delta variant cases continue to surge. All eyes would be on ECB council meeting due today as its expected to start tapering its stimulus programme soon given the surge in inflation to 10-year high."
Vinod Nair, Research Head at Geojit Financial Services, said: "Domestic markets were highly volatile tracking negative cues from global markets amid selling seen in realty and pharma stocks. However, mid and small cap stocks continued to attract buyers leading to its outperformance.
"Regulatory crackdown in China, global concerns over the looming reduction in asset purchases ahead of the European Central Bank meeting and slowdown in economic recovery pulled global markets lower."