New Delhi, Aug 11 (IANS) Profit booking subdued India’s key equity market indices on Wednesday.
Accordingly, the overall market breadth turned weak as mid and smallcaps fell massively due to profit booking. Besides, the volatility index (India VIX) was also marginally up at 12.71 levels.
Both the indices opened on a positive note but witnessed profit booking for the fourth consecutive day. However, they staged a strong recovery from intra-day low levels to finally close on a flat note.
On the global level, Asian stocks were mixed on Wednesday ahead of US inflation data, whereas European stocks held steady after US lawmakers agreed to a trillion dollar boost for the economy.
Segment wise, metals, oil & gas and power scrips gained the most, while healthcare and banking stocks fell the most.
Consequently, the S&P BSE Sensex ended the day’s trade on a flat note at 54,525.93, lower by 28.73 points or 0.053 per cent from its previous close.
However, the NSE Nifty50 closed at 16,282.25, up by 2.15 points or 0.013 per cent from its previous close.
“Nifty has closed in the band of 16,238-16,280 for the sixth session after seeing some downward volatility earlier in the day,” said Deepak Jasani, Head of Retail Research, HDFC Securities.
“Advance decline ratio continues to be negative but has improved compared to the previous day. The broader markets may be close to making a short term bottom and this may enable the Nifty to rise mildly in the near term,” he added.
Siddhartha Khemka, Head, Retail Research, Motilal Oswal Financial Services, said: “Equity markets opened on a positive note but yet again failed to hold its stance and traded in red for most part of the session before recovering towards the fag end to close the session on a mixed note.
“Midcaps and smallcaps were more brutally hammered over the last two days, which did recover somewhat post the clarity. Metals were the biggest gainers as the passage of the infra bill by the US Senate would result in substantial surge in demand amid tight supply.”
–IANS
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