Sensex declined 142 points to close at 75,868 while Nifty 50 fell 7 points to end the session at 23,907. This came even as India VIX, which measures volatility in markets fell 6% to 15.24.
HDFC Bank shares were the top losers on Sensex, falling nearly 3% after a report on an internal probe over Rs 45 crore interest payments spooked investors, although the bank rejected wrongdoing claims. ICICI Bank, ITC, Infosys, Hindustan Unilever and Tech Mahindra shares followed, closing with marginal losses. On the other hand, Power Grid shares gained nearly 3%. Zomato-parent Eternal, NTPC, Tata Steel, IndiGo and Maruti Suzuki shares followed, gaining up to 3%.
Nifty Midcap 100 index gained 0.5% while Nifty Smallcap 100 index rose 0.2%. Sectorally, Nifty Media and Nifty Metal gained around 3% and 2% respectively. Nifty Financial Services, Nifty Bank and few other indices meanwhile closed up to 1% lower. Around 1,535 stocks declined on NSE, while 1,772 advanced and 115 remained unchanged.
US and Iran appear to be closing in on the much-awaited deal to end the war in the Middle East and open up the Strait of Hormuz, but tensions simmer after the US conducted strikes on Iran. Tehran on Tuesday said that the US had violated a ceasefire by striking targets near the contested Strait of Hormuz, potentially complicating efforts to bring the war to a close.
Iran’s foreign ministry said US strikes in Iran’s southern Hormozgan province, where Iranian media reported sounds of explosions early on Tuesday, represented a “gross violation” of the ceasefire in place for nearly seven weeks. The US said its attacks were defensive in nature, targeting missile sites and boats attempting to lay mines.Israel meanwhile pounded Lebanon with more than 120 air strikes on Tuesday in one of the heaviest days of bombing in weeks, Lebanese security sources said. Iran has sought an end to Israeli attacks in Lebanon as part of any peace deal.Oil prices remained below the crucial $100 per barrel mark. Brent crude futures declined nearly 3% to trade at $97 per barrel, while WTI Crude futures also fell around 4% to trade at $90 per barrel.
Rupee ends unchangedRupee ended the session almost unchanged, up 1 paise at 95.69 against US dollar. Jateen Trivedi, VP Research Analyst of Commodity and Currency at LKP Securities, highlighted that the sharp rise in oil prices seen yesterday after US’ strikes on Iran again increased pressure on the rupee due to concerns over India’s import bill and inflation outlook.
FII selling resumesForeign investors remained net sellers of Indian equities on Tuesday, net selling shares worth Rs 2,408 crore on Dalal Street, according to provisional data on NSE. This came after FIIs net bought Indian shares worth more than Rs 2,115 crore on Monday, snapping a four-day long net selling streak.
Foreign investors have overall remained bearish on Indian markets so far in May, remaining net sellers of Indian equities for 12 out of 17 sessions.
Global marketsAsian markets remained mixed on Wednesday morning. South Korea’s Kospi jumped more than 2%, while Japan’s Nikkei gained over 0.5%. Hong Kong’s Hang Seng and China’s Shanghai Composite however fell more than 1% each.
Wall Street ended the previous session in the deep green, with the tech-heavy Nasdaq gaining more than 1%. Dow Jones futures are currently in the green with marginal gains, indicating a positive start for the American stock market later today.
European markets had delivered mixed performance yesterday, with France’s CAC and Germany’s DAX declining around 1% each, while UK’s FTSE closed slightly higher in the green. The markets are however in the deep green today.(With inputs from agencies)(Disclaimer: Recommendations, suggestions, views and opinions given by experts are their own. These do not represent the views of The Economic Times)
