Nifty holds 7,900-level after sliding 2 per cent

The market plunged over 2 per cent tracking poll debacle of ruling NDA in Bihar Assembly elections, but late buying in key heavyweights helped it to escape the larger fall as the benchmark Nifty managed to hold the key 7,900-level.
Earlier, the key index opened gap-down as pessimism ruled the roost following the rout of the BJP and its allies managed to garner only 58 seats in the 243- member house, while the newly-formed JD(U)-RJD-Congress alliance secured 178 seats.
Investors built-up the consensus that the debacle will slow-down the ruling NDA major economic reform process as shares were clobbered taking the index to a low 7,771.70.

However, soothing statement from Fitch Ratings Agency and leading global financials majors Citigroup, Nomura and Bank of America Merrill Lynch that BJP's defeat would unlikely have any impact on economic front saw the revival of buying activity amid tinge of short-covering, though the key indices ended red.
Selling was led by Realty 2.14 per cent, Pharma 1.94 per cent, Infra 1.27 per cent, Media 0.94 per cent and IT 0.64 per cent.
Buying interest was seen in Auto 1.25 per cent, FMCG 1.21 per cent and PSU Banks 1.41 per cent and fundamentally strong stocks in Metal and Energy sectors. It was also supported by shares from midcap and smallcap companies which garners over one per cent.

The 50-share Nifty resumed sharply lower at 7,788.25 and hovered between 7,937.75 and 7,771.70 before closing at 7,915.20, showing a loss of 39.10 points or 0.49 per cent.

Elsewhere, Asian market ended mixed after robust US jobs data bolstered expectations of rate hike by US Federal Reserve, while European stock were trading narrowly mixed.
Stockwise major losers are, SunPharma 5.78 per cent, Cairn 3.91 per cent, BHEL 3.60 per cent, Dr Reddy 3.57 per cent, Idea 3.27 per cent, Adani 3.16 per cent and ICICI Bank 1.48 per cent.
While notable gainers were, Tata Motors 3.94 per cent, BOB 2.63 per cent, Maruti 2.33 per cent, Asian Paint 1.90 per cent and PNB 1.77 per cent.

Turnover in cash segment climbed to Rs 17,616.96 crore from Rs 16,443.21 crore last Friday. A total of 8,535.33 lakh shares changed hands in 73,25,245 trades.
The market capitalisation of NSE stood at Rs 95,67,242.98 crore.