IT gains as PSU Bank, oil & gas, metals, FMCG drag; Broader market under pressure

Though off the day’s lows, benchmark indices were trading in the red Monday afternoon. Market opened on a negative note as global sentiments remained weak and extended losses in the first half. Indices were trading lower amid broad-based selling but were off the day’s lows amid a recovery in IT.

At 1.02 pm, the BSE Sensex was trading at 54,587.96, down 247.62 points or 0.45 per cent. It recorded an intraday high of 54,795.24 and a low of 53,918.02. The Nifty 50 was trading at 16,340.75, down 70.50 points or 0.43 per cent. It recorded an intraday high of 16,403.70 and a low of 16,142.10.

Infosys, HCL, Powergrid, Bajaj Auto and Bajaj Finserv were the top gainers on the Nifty 50 while Reliance, Nestle India, IndusInd Bank, Hero Motocorp and Tech Mahindra were the top losers. The volatility index neared 22, up 3.31 per cent to 21.96 intraday, signalling caution among investors.

Investors remain concerned following a hawkish stance by the Fed and rate hikes by Central banks including RBI, Bank of England and Australian central bank, leading to an atmosphere of risk-off for equities, as per analysts.

Sectoral indices

On the sectoral front, all indices except Nifty IT were in the red. Oil & gas, banks, metals, FMCG and realty recorded higher losses. Nifty IT was up 0.46 per cent. Meanwhile, Nifty PSU Bank was down nearly 2 per cent while Nifty Oil & Gas was down over 1 per cent.

Nifty Bank and Nifty Private Bank were down 0.58 per cent and 0.63 per cent. Nifty FMCG and Nifty Consumer Durables were down 0.99 per cent and 0.80 per cent, respectively. Nifty Metal was down 0.97 per cent. Nifty Auto was down 0.62 per cent while Nifty Realty was down 0.60 per cent. 

Broader indices

Broader market witnessed increased pressure. Nifty Midcap 50 was down 1.41 per cent while Nifty Smallcap 50 was down 1.71 per cent. The S&P BSE Midcap was down 1.45 per cent while the S&P BSE Smallcap was down 1.27 per cent. 

Published on May 09, 2022