MUMBAI — Indian equity markets ended lower on Thursday as selling pressure across banking, financial services, and consumer stocks dragged the indices, while continued foreign institutional investor outflows added to the weakness in broader market sentiment.
The Sensex closed at 83,311.01, down 148.14 points, or 0.18 percent. The index opened slightly higher at 83,516.69 but soon reversed as declines in heavyweight financial stocks deepened. The Nifty also finished in the red, settling at 25,509.70, down 87.95 points, or 0.34 percent.
“Volatility dominated the domestic market, with broad-based profit booking seen amid continued FII outflows, despite a supportive Asian market,” said Vinod Nair, Head of Research at Geojit Financial Services. He added that the positive sentiment from the inclusion of four Indian stocks in the MSCI Global Standard Index and strong U.S. economic data was offset by weaker domestic manufacturing and services activity, as reflected in recent PMI figures.
Most sectors traded lower, though IT stocks held firm, buoyed by steady quarterly earnings and improving U.S. macroeconomic signals. Selective buying was seen in fundamentally strong companies due to better-than-expected Q2 results, even as caution prevailed across the market.
Among Sensex constituents, PowerGrid, BEL, Bajaj Finance, ICICI Bank, Titan, NTPC, Tata Steel, Bharti Airtel, Kotak Mahindra Bank, L&T, and Bajaj Finserv were among the notable losers. Asian Paints, Mahindra & Mahindra, TCS, Maruti Suzuki, and Tata Motors were among the gainers.
Sectorally, Nifty Financial Services dropped 0.60 percent, Nifty Bank declined 0.47 percent, and Nifty FMCG eased 0.19 percent. Meanwhile, Nifty IT and Nifty Auto managed to end slightly higher.
The broader market also mirrored the decline. Nifty Smallcap 100 fell 1.39 percent, Nifty Midcap 100 slipped 0.95 percent, and Nifty 100 declined 0.49 percent by the close.
Market participants are expected to watch for cues from global interest rate developments, foreign fund activity, and domestic economic indicators in the sessions ahead. (Source: IANS)
