Indian stock markets ended marginally lower on Wednesday ahead of the Union Budget 2018 with Sensex and Nifty finishing in negative territory for the second consecutive day. The Finance Minister Arun Jaitley is all set to present the last full-year Budget and final before the general elections of 2019. Investors are keenly awaiting for the Union Budget 2018 as it is the first budget after the nation-wide constitutional reform GST (Goods and Services Tax) which was implemented in July 2017. BSE Sensex slipped below the 36,000-mark losing 68.71 points or 0.19% to conclude at 35,965.02 whereas NSE Nifty managed to close above the psychological mark of 11,000 at 11,027.7, down by 21.95 points or 0.2% after hitting an intraday low of 10,979.3. Investors seemed to have turned a little cautious ahead of major Q3 earnings lined up in the day with blue-chip companies such as ICICI Bank, L&T, Vedanta and NTPC and uncertainties over upcoming Budget 2018.
Shares of heavyweight companies such as Infosys, ITC, HUL, TCS, Tata Steel, L&T, Sun Pharma and Dr Reddy’s contributed the most in the Sensex losses today. Jointly, these eight stocks washed away as much as 183 points from the index while an uptick in shares of Reliance Industries, HDFC, Kotak Mahindra Bank helped to trim the losses, collectively adding as much as 100 points to the key equity index. Shares of Bharti Infratel, Kotak Mahindra Bank, Tech Mahindra, Reliance Industries, Tata Motors, Hindalco, HDFC, BPCL, IndusInd Bank, HPCL, ABB, GSK Consumer Healthcare, Motherson Sumi Systems, OFSS rose 0.7-3%.
Among the choppy trades, shares of Dr Reddy’s, Tata Steel, UPL, HUL, Cipla, Lupin, Indiabulls Housing Finance, Sun Pharma, Infosys, Coal India, HCL Tech, ITC, TCS, Zee Entertainment Enterprises, Bajaj Auto, Havells, BEL, NMDC, Bank of Baroda, SAIL, Marico, Emami Ltd, Titan, ICICI Prudential, Tata Power, Bajaj Finserv, BHEL, Glenmark Pharma, Colgate Palmolive, Idea Cellular, Petronet LNG, DLF, NHPC, PNB, Cummins India and Shree Cements lost 0.8-6%.
Market across sectors
All the broader market indices closed in red with Nifty Midcap 50, Nifty Mid100 Free, Nifty Sml100 Free losing the most while Nifty Next 50, Nifty 100, Nifty 200, Nifty 500 shed 0.2-0.8%. India Vix, the indicator of volatility fell 2.69%. Among the sectoral indices of National Stock Exchange, eight out of 11 settled in the red with Nifty FMCG, Nifty IT, Nifty Metal and Nifty Pharma index emerging as the major laggards while Nifty Bank, Nifty Fin Service, and Nifty Pvt Bank index closed in green rising 0.4-0.6%. The domestic markets have extended the losses after opening slightly lower in the morning session with the headline indices Sensex and Nifty shedding over 0.6% each to hit the day’s low.
During the day, Sensex lost 215.32 points to hit the day’s low of 35,818.41 while Nifty index slipped below the 11,000-mark for the first time, diving as much as 70.35 points to the day’s low of 10,979.3.
Shares of Dabur India ended down 0.59% at Rs 356.5 after the homegrown firm reported 13% rise in consolidated net profit at Rs 333.05 crore for the third 31 December 2017, led by strong performance of the domestic FMCG business. Shares of Oberoi Realty closed up 0.26% at Rs 527.4 after the real-estate firm reported 42% increase in its consolidated net profit at Rs 120.19 crore for the fiscal third-quarter.
In the morning trades, Indian stock markets opened marginally lower ahead of Union Budget 2018 with Sensex slipping below 36,000-level. Investors across Asian markets got a jolt after US stock markets dropped for the second consecutive day with benchmark index Dow Jones posting its biggest decline since May 2017. Earlier yesterday, US stock markets fell for a second straight day, with the Dow Jones Industrial Average registering its biggest two-day drop since September 2016, pressured by healthcare stocks and rising bond yields, Reuters said in a report. The benchmark Dow Jones index also had its biggest daily percentage decline since May 2017 and the day’s 1.37-percent fall was the second-biggest single-day drop since the election of Donald Trump, Reuters added. The Dow Jones Industrial Average fell 362.59 points or 1.37% to 26,076.89, the S&P 500 lost 31.1 points or 1.09% to 2,822.43 and the Nasdaq Composite dropped 64.02 points or 0.86% to 7,402.48.