MUMBAI– Indian equities closed marginally higher on Monday as early momentum driven by GST reforms, easing India-U.S. trade tensions, and optimism in the auto sector gave way to late-session profit-taking in technology shares.
The Sensex added 76.54 points, or 0.09 percent, to finish at 80,787.30. The 30-share benchmark opened strong at 80,904.40, surging nearly 400 points to an intraday high of 81,171.38 before losing steam in afternoon trade. The Nifty 50 settled at 24,773.15, up 32.15 points, or 0.13 percent, just shy of the 24,800 mark.
“The domestic market failed to sustain its early gains as a late-session sell-off reflected the prevailing ‘buy-on-dips, sell-on-rallies’ strategy, highlighting investor caution,” said Vinod Nair, Head of Research at Geojit Financial Services.
Auto and metals stocks provided much of the day’s support, buoyed by expectations of stronger demand after recent GST rate cuts and price reductions from leading automakers. IT shares, however, dragged on the indices, with global uncertainty prompting sustained selling. Overseas, sentiment improved after softer U.S. jobs data boosted hopes of a Federal Reserve rate cut in September.
Among Sensex gainers were Tata Motors, Mahindra & Mahindra, Adani Airports, Bajaj Finserv, Ultratech Cement, Tata Steel, HDFC Bank, and BEL. Decliners included Trent, Asian Paints, HCL Tech, Tech Mahindra, PowerGrid, TCS, Sun Pharma, Larsen & Toubro, NTPC, and Bharti Airtel.
Most sectoral indices ended in positive territory. Nifty Auto surged 3.30 percent, or 868.60 points, while Nifty Financial Services gained 0.21 percent and Nifty Bank advanced 0.13 percent. Nifty IT was the outlier, slipping 0.94 percent, or 325 points.
Broader markets also mirrored the mixed tone. Nifty Smallcap 100 rose 0.16 percent, Nifty Midcap 100 climbed 0.50 percent, and Nifty 100 added 0.18 percent. (Source: IANS)
