Profit-booking drags broader mkts; Metal, PSB indices fall 3%, IT stocks up

The BSE Sensex closed at 54,555 levels, up 152 points or 0.28 per cent. The Nifty50 index shut shop at 16,280 levels, up 22 points or 0.13 per cent

MARKET LIVE: Sensex, Nifty flat in pre-open; Silver up 1% on MCX

LIVE market updates: Equities turned volatile during the fag-end of the session and hefty profit-booking emerged in public banks and metal counters along with select pharma, FMCG, and realty stocks. However, the downside was limited by gains in IT stocks and heavyweights like Bharti Airtel, HDFC, Kotak Bank, and Reliance Industries.

The BSE Sensex index slumped 471 points from the fresh record high of 54,779.6, touched during intra-day trade, and hit a low of 54,308. The index, however, recovered swiftly to close at 54,555 levels, up 152 points or 0.28 per cent.

On the NSE, the Nifty50 index shut shop at 16,280 levels, up 22 points or 0.13 per cent. Earlier today, it claimed a new lifetime high of 16,359.

Meanwhile, in the broader markets, the BSE MidCap and SmallCap indices bled 1 per cent and 2 per cent, respectively.

4:14 PM

TECH VIEW :: Nagaraj Shetti, Technical Research Analyst, HDFC Securities

A small positive candle was formed with upper and lower shadow. Technically, this action signal a formation of high wave type candle pattern. Normally, such high wave formation after a reasonable upmove or decline more often act as a reversal. But, having formed this pattern amid sideways range movement, the significant predictive value is ruled out.

The overall market breadth continued with negative trend and broad market indices like mid cap and small cap segments of NSE exchange have continue to bleed on Tuesday. This could be a cause of concern for the market participants. Until the market breadth improves, we are unlikely to see any sharp upside for the index ahead.

The Nifty continues to trade in a narrow range with volatility and this market action could continue for the next session. After the upside breakout of the broader range recently, the Nifty sustaining with the upside breakout could be positive indication with regards to a trend of index. A decisive move above 16360 is expected to open next upside towards 16500 levels in the near term. Immediate support is placed at 16200-16150 levels.

4:12 PM

CLOSING COMMENTS :: S Ranganathan, Head of Research at LKP securities

What started as a sell-off in Metal Stocks dramatically triggered a sell-off today in the Small-Cap Index after rallying for several months. The Midcap Index and the PSU banks too were also not spared as both investors & traders booked profits. The index at close quite honestly was not reflective of the market mood as the breadth was very weak.

4:11 PM

MARKET VIEW | Covid wave, fall in liquidity lethal combination for mid & small caps

Domestic market remained highly volatile as the early gains were trimmed off following selling pressure in global markets. Concerns over an early withdrawal of asset purchase programs by the Federal Reserve and US CPI inflation data to be released this week impacted global market. However, strong support from large caps, especially from sectors like finance and IT, helped domestic main indices to end on a positive note. After a steady rally during the previous months, the small and mid-cap stocks are witnessing consolidation for the past few trading sessions while buying interest has shifted to large caps. The third wave of Covid and fall in liquidity will be a lethal combination for highly priced mid & small caps.

-- Vinod Nair, Head of Research at Geojit Financial Services

4:10 PM

Aptus Value Housing Finance IPO receives 20% bids on Day 1

4:09 PM

IPO Check :: Chemplast Sanmar subscribed 14% so far on Day 1

4:08 PM

IPO Alert :: Lukewarm response to Nuvoco Vista IPO, subscribed only 27% so far

>> The issue closes for subscription tomorrow

4:06 PM

IPO Alert :: CarTrade Tech subscribed 87% so far on Day 2

4:05 PM

Bharti Airtel rallies 4%, hits new high in intra-day

>> According to analysts, Bharti Airtel has a clear advantage to further gain high-quality subscribers in both pre-paid and post-paid categories, considering Vodafone Idea’s weak financial position.

4:03 PM

Future Retail rebounds after 2 days of heavy selling

Report that Amazon has drawn up blueprint to bailout for cash-strapped Future Retail pushed stock higher

4:00 PM

Zomato tanks 4% ahead of June quarter numbers

3:52 PM

Earnings Impact :: Coal India slips nearly 1%

>> State-owned Coal India Limited on Tuesday reported 52.5% rise in consolidated net profit at Rs 3,174 crore for the quarter ending June 30, 2021. It was Rs 2,080 crore in the year-ago period. Consolidated revenue from operations rose 37% to Rs 25,282 crore as against Rs 18,487 crore in June 2020.