Sensex in red again, falls over 300 pts in volatile mid-day trade
After recouping around 400 points from Monday’s mega fall in morning, the benchmark BSE Sensex plunged back into the negative zone in late morning deals and was down by 326.88 points at 25,414.68.
The index slipped in late morning trade following sustained selling seen in tech, power, healthcare, IT and capital goods sectors, despite buying still seen in oil and gas, metal, realty, banking and FMCG stocks.
The BSE Sensex resumed higher at 25,916.26 and moved in a range of 25,351.19 and 26,124.83 before quoting at 25,414.68 at 1130 hrs, a fall of 326.88 points or 1.27%.
The 50-share Nifty was trading lower by 103.60 points or 1.33% to 7,705.40 at 1140 hrs.
The market is expected to remain volatile in the near future as traders roll over their positions in the futures & options (F&O) segment from the near month August series to Sept. The near month derivatives is set to expire on Thursday.
Major losers were, BHEL 5.79%, Cipla 4.19%, Lupin, 4.06%, Bharti Airtel 4.01%, Vedanta 3.55%, Maruti Suzuki 3.30%.
However, gains in Coal India 2.60%, Axis Bank 1.65%, HUL 1%, RIL 0.49% cushioned some loss.
Meanwhile, foreign investors sold shares worth Rs 5275.40 crore on Monday.
Meanwhile, most Asian stocks were trading lower. Key benchmark indices in Hong Kong, Singapore, South Korea and Taiwan were off by up to 2.50%. In mainland China, the Shanghai Composite was down 6.48%.
Analysts, however, remain bullish on India, pointing out that the economic fundamentals remain much better than the peers and will bounce back as investors will return once the global volatility settles.
“We reaffirm our bullish view on Indian equities as our economic fundamentals are much better than peers and one of the few equity markets holding very bright future prospects from the perspective of equity returns. Once the global turmoil settles down, Investors will hunt for opportunities and India will show up on every investors radar,” said Sageraj Bariya of East India Securities.