Market turns shaky on US rate hike worries; Nifty sheds 43 pts

Equities succumbed to fresh bout of profit-taking after a big overnight spike with the benchmark Nifty falling by 43 points to close at 7,829.10 as focus shifted to monetary policy in the run up to the US Fed meet.
Easing inflationary pressures had buoyed the Indian market to a two-week high yesterday.
A massive sell-off in China's markets, which plunged 3.5 per cent to hit a two-and-a-half-week low on fears over the health of the world's second-largest economy added pressure on market sentiments.
European equities are trading lower after reversing its early gains.
After the overnight sharp rally, trading began on a soft note amid caution ahead of US Federal Reserve policy decision and moved in a tight range.

The market turned highly volatile in late afternoon trade and subsequently slipped into the deep red on fresh round of profit taking before staging a recovery after briefly falling more than 80 points in late afternoon trade.

Meanwhile, government data which came out yesterday showed retail inflation fell to a new low of 3.66 per cent in August. Even WPI inflation eased further to (-)4.95 per cent in August.
The 50-share Nifty index opened a tad weak at 7,867.35 and swung between 7,880 and 7,799.75 before ending at 7,829.10, showing a fall of 43.15, or 0.55 per cent.
Among sectoral indices, metal fell the most, down by 2.35 per cent, weighed down by China's sluggish factory output data. It was followed by auto (1.58 pc), infra (1.29 pc), bank Nifty (1.02 pc), PSU bank (0.98 pc), realty (0.48 pc) and healthcare (0.13 pc).

Bucking the trend, FMCG, energy and technology attracted steady buying interest.
Infra leader L&T, Tata Motors, Axis Bank, ICICI Bank, HDFC Bank, Idea, M&M, Tata Steel, HDFC, Vedanta, Ambuja Cements, Hero MotoCorp, Dr Reddy's, SBI, Bharti Airtel, Asian Paints and Hindalco topped the list of biggest index losers.
Notable gainers included ITC, Tech Mahindra, Sun Pharma, Reliance, HUL, Maruti and NTPC.
Turnover in the cash segment rose to Rs 13,534.45 crore compared with Rs 12,444.27 crore yesterday.
A total of 7,636.94 lakh shares changed hands in 6,353,833 trades and the total market capitalisation of NSE stood at Rs 9,362,454 crore.