Sensex, Nifty retreat from early highs to close flat

Mumbai, August 30

Advertisement

Benchmark equity indices Sensex and Nifty retreated from early highs to close on a flat note on Wednesday due to fag-end selling in banking and power shares amid mixed global cues.

The BSE Sensex ended 11.43 points higher at 65,087.25 points, marking its third straight day of gains.

Similar trends were witnessed on the NSE where the broader 50-share Nifty inched up 4.80 points to settle at 19,347.45 points.

Most of the European stocks were trading in the negative territory while Asian shares ended the day on a mixed note.

“European stocks fell after the latest round of price data suggested inflation may not yet be fully on the retreat in the euro region. Asian markets too gave up some of their morning gains,” Deepak Jasani, Head of Retail Research, HDFC Securities said.

Vinod Nair, Head of Research at Geojit Financial Services, said positive sentiment initially propelled domestic equities, buoyed by softer US labour market data that caused a retreat in US bond yields, alleviating concerns about rate hikes.

“This positive outlook was reinforced by Chinese banks’ move to reduce existing mortgage rates, favourably impacting Indian metal stocks. However, gains were tempered as the day progressed, primarily due to weakness in global markets attributed to lacklustre economic data from Europe.

“Banking stocks bore the brunt of this downturn, while mid- and small-cap segments displayed resilience amid the market dynamics,” he said.

In the Sensex pack, majority of the shares closed in the positive territory. Among the main gainers were Jio Financial Services which jumped 4.99%, Tata Steel (2.09%), Maruti Suzuki (1.87%), M&M (1.31%) and Infosys (1.19%). — PTI

Jio Financial jumps 5%

• The BSE Sensex ended 11.43 points higher at 65,087.25 points, marking its third straight day of gains
• The Nifty inched up 4.80 points to settle at 19,347.45 points
• In the Sensex pack, major gainers were Jio Financial (4.99%), Tata Steel, Maruti Suzuki, M&M and Infosys (1.19%)