Markets settle with modest gains in choppy trade

PTI

Mumbai, March 11

Rising for the fourth straight day, benchmark indices Sensex and Nifty settled marginally higher after a choppy session on Friday, tracking mixed global trends amid uncertainties on the geopolitical front.

The BSE Sensex opened weak and declined 414.44 points to 55,049.95 in opening deals. But within minutes, it pared all its losses and jumped 369.56 points to 55,833.95.

Facing volatility, the index finally settled at 55,550.30, higher by 85.91 points or 0.15 per cent.

Similarly, the broader NSE Nifty gained 35.55 points or 0.21 per cent to close at 16,630.45.

“The Indian equity markets, in line with the global markets, continue to display a very high level of volatility, reacting to the bouts of incremental news flow on the geopolitical front,” according to Milind Muchhala, Executive Director, Julius Baer.

While the markets were preparing for the known unknowns of Fed action, state elections and the big-ticket LIC IPO, the Russia-Ukraine turmoil clearly emerged as a tail risk, adding to the uncertainty for both the short-term and the medium-term, he added.

From the 30-share Sensex pack, Sun Pharma, Dr Reddy’s, PowerGrid, ITC and Titan were among the lead gainers.

In contrast, Nestle, Maruti Suzuki India, Tata Steel, NTPC, UltraTech Cement and Axis Bank were among the laggards.

Bourses in Hong Kong and Tokyo settled lower, while Shanghai was marginally higher.

Stock exchanges in the US settled lower on Thursday.

Bulldozing a resurgent rainbow coalition led by the Samajwadi Party, the BJP on Thursday stormed back to power in Uttar Pradesh, and also retained Uttarakhand, Manipur and Goa, while Arvind Kejriwal’s AAP scripted a stellar victory in Punjab, winning a three-fourth majority, pulverising its rivals.

Meanwhile, international oil benchmark Brent crude jumped 1.93 per cent to USD 111.4 a barrel.

Foreign institutional investors continued their selling spree in Indian markets as they offloaded shares worth Rs 1,981.15 crore on a net basis on Thursday, according to exchange data.

“The global stock market tumbled on Thursday as key peace talks between Russia and Ukraine came to a halt. As a result of the BJP’s triumph, the market gained confidence. However, with the ECB and US Federal Reserve meetings coming up in the coming days, caution is advised,” according to Mohit Nigam, Head - PMS, Hem Securities.

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