India News | Sensex, Nifty Spiral Lower for 4th Day; IT Stocks Buck Trend

Mumbai, Sep 22 (PTI) Equity benchmarks buckled under selling pressure for the fourth session on the trot on Tuesday as wary investors took money off the table amid concerns over economic recovery and weak global cues.

A depreciating rupee and stretched valuations in frontline stocks further weighed on risk appetite, traders said.

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The 30-share BSE Sensex settled 300.06 points or 0.79 per cent down at 37,734.08.

Similarly, the broader NSE Nifty fell 96.90 points or 0.86 per cent to finish at 11,153.65.

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Maruti was the top loser in the Sensex pack, shedding 2.83 per cent, followed by L&T, IndusInd Bank, Axis Bank, ONGC, HDFC, Reliance Industries, Asian Paints and Kotak Bank.

IT stocks led the gainers' chart, with HCL Tech, TCS and Tech Mahindra spurting up to 2.43 per cent.

Other winners included Sun Pharma, ICICI Bank and UltraTech Cement.

Asian markets ended in the red following heavy selling on Wall Street overnight. European bourses stabilised after Monday's sell-off, though concerns over a second wave of COVID-19 cases remained an overhang.

"Indian indices witnessed another day of volatility, with indices losing ground in the latter half of the trading day, as the broader markets also under-performed...Doubts about the timing of a global economic recovery emerged, following talks of further restrictions to contain a resurgence in virus infections around the world, especially in Europe.

"This uncertainty hit the Indian markets also, which have been driven by liquidity and the expectation that the economy and earnings would be back on track soon. Markets seem to be consolidating and taking stock of the situation. Investors are advised to stay cautious," said Vinod Nair, Head of Research at Geojit Financial Services.

BSE industrials, capital goods, oil and gas, energy, realty and auto indices lost as much as 2.49 per cent, while IT and teck indices finished higher.

Broader BSE mid-cap and small-cap indices slumped up to 1.70 per cent.

Bourses in Shanghai, Hong Kong and Seoul ended with losses. Stock exchanges in Europe opened on a positive note.

Meanwhile, global oil benchmark Brent crude was trading 1.30 per cent higher at USD 41.98 per barrel.

In the forex market, the rupee depreciated 20 paise to close at 73.58 against the US dollar.

(The above story is verified and authored by Press Trust of India (PTI) staff. PTI, India’s premier news agency, employs more than 400 journalists and 500 stringers to cover almost every district and small town in India.. The views appearing in the above post do not reflect the opinions of LatestLY)