Global cues, profit booking subdue equity markets
Mumbai, July 19, 2021
Profit booking subdued India's equity markets during the morning trade session on Monday.
Initially, the equity markets had a gap-down opening due to negative global cues which emanated from rising Covid cases.
Sectorally, IT, Pharma and Realty sectors moved up while Banking, Financials and Metal sectors slipped.
Consequently, the BSE Sensex traded at 52,761.74 points, at 11.20 a.m., lower by 378.32 points or 0.71 per cent from its previous close.
The Nifty50 on the National Stock Exchange traded at 15,822.20, lower by 101.20 points or 0.64 per cent from its previous close.
"Indian markets opened lower in line with other Asian markets, but recovered some of the opening losses by mid morning. New listings GR Infra and Clean Science had a dream debut," said Deepak Jasani- Head of Retail Research at HDFC Securities.
"A move above 15,882 could negate the weakness to a large extent."
According to Ashis Biswas at CapitalVia Global Research: "The market is trading at extremely high valuations.
"The current valuation is largely based on long-term initiatives made by our administration, the results of which we may witness in the near future."