Domestic equity benchmarks the Sensex and the Nifty ended lower on October 25 amid mixed global cues.
Sensex opened 171 points higher at 60,002.96 and touched an intraday high at 60,081.24, rising 250 points. It, however, witnessed profit booking and fell about 343 points in intraday trade.
The index finally closed 288 points, or 0.48%, down at 59,543.96 while the Nifty50 closed with a loss of 74 points, or 0.42%, at 17,656.35.
Midcaps witnessed some buying interest as the BSE Midcap index rose 0.45% while the Smallcap index settled 0.35% lower.
With this, the market benchmarks ended their seven-session winning streak (including Muhurat trading).
The lack of positive triggers and mixed global cues appear to have pushed investors to profit booking after the recent rise in the market as the lingering concerns over rate hikes, recession and geopolitical tensions persist.
Global cues were mixed and uninspiring. Concerns about uncertainty over whether Xi Jinping’s new leadership team would prioritise economic growth weighed on Asian markets, reported Reuters.
Tech Mahindra, Maruti Suzuki and Larsen & Toubro were the top gainer stocks in the Sensex index while Nestle, Hindustan Unilever and Bajaj Finserv were among the top laggards.
Among the sectoral indices, BSE Capital Goods rose 1.24% while the Auto index moved up by 1.22%. The FMCG index fell 1.10%.
"The domestic market pared its early gains with FMCG and private banks pressuring the benchmark. The market's attention has shifted to central bank policy announcements since the European Central Bank is expected to hike interest rates at its upcoming policy meeting. The impending US GDP data will give additional clarity to the expectation that the Fed will temper its aggression in regard to rate hikes," said Vinod Nair, Head of Research at Geojit Financial Services.
Crude oil prices slipped. Benchmark Brent Crude traded near the $92 a barrel mark while the rupee fell 5 paise to close at 82.73.
Technical view by analysts
Rupak De, Senior Technical Analyst at LKP Securities, pointed out that Nifty formed a bearish candle on the daily chart. During the day the Nifty remained above the previous consolidation high, suggesting a rise in optimism.
"Over the short term, the trend is expected to remain strong. On the higher end, resistance is visible at 17,950. On the lower end, support is placed at 17,550/17,400," said De.
Key market data
Disclaimer: The views and recommendations given in this article are those of individual analysts. These do not represent the views of MintGenie.