Sensex, Nifty open weak on negative global cues

Mumbai, January 3

Domestic equities declined for the second day as the BSE benchmark Sensex on Thursday fell over 100 points on weak global cues and heavy selling by foreign and domestic institutional investors.

The 30-share index was trading 103.90 points, or 0.29 per cent, lower at 35,787.62 in morning trade.

Similarly, the NSE Nifty declined by 28.85 points, or 0.27 per cent, to 10,763.65.

On Wednesday, the BSE Sensex finished lower by 363.05 points, or 1 per cent, at 35,891.52; and the NSE Nifty plunged 117.60 points, or 1.08 per cent, to settle at 10,792.50.

The biggest losers in the Sensex pack include Tata Steel, ONGC, Coal India, Axis Bank, IndusInd Bank, PowerGrid, HDFC duo, Bharti Airtel and Sun Pharma, falling up to 2 per cent.

Among gainers were Hero MotoCorp, HUL, Infosys, Bajaj Finance and Tata Motors, rising up to 1 per cent.

Market turned volatile ahead of corporate earnings scheduled to begin next week, traders said, adding that heavy selling by foreign as well as domestic investors also weighed on local equities.

On a net basis, foreign portfolio investors (FPIs) sold shares worth Rs 621.06 crore on Wednesday, while domestic institutional investors (DIIs) were net sellers to the tune of Rs 226.18 crore, provisional data available with BSE showed.

Globally, investor sentiment also turned choppy after the White House meeting between US President Donald Trump and top Congressional leaders on resolving the ongoing partial government shutdown ended in a stalemate on Wednesday.

The Republicans and Democrats stuck to their respective positions over the presidential demand for a US-Mexico border wall.

Trump is seeking USD 5.2 billion in funding for the wall which according to him is a must to prevent flow of illegal immigrants into the US.

On Wall Street, Dow Jones Industrial Average reversed all early gains after Apple cut its holiday-quarter revenue forecast, and ended a tad higher at 23,346.24 points.

Elsewhere in Asia, Hong Kong’s Hang Seng was down 0.36 per cent, Kospi fell 0.25 per cent and Shanghai Composite Index was trading flat in early trade.

Japanese market remained closed on Wednesday. The rupee weakened further and opened lower at 70.30 against the US dollar.

Meanwhile, the benchmark Brent crude futures were trading lower by 1.09 per cent at USD 54.31 per barrel. PTI