Sensex snaps 7-day losing streak, ends 128 points up
The benchmark Sensex on Tuesday snapped its seven-day losing streak but failed to maintain early gains a day when the BJP was trounced by the AAP in Delhi assembly elections.business Updated: Feb 10, 2015 17:58 IST
The benchmark Sensex on Tuesday snapped its seven-day losing streak but failed to maintain early gains a day when the BJP was trounced by the AAP in Delhi assembly elections.
The BSE bluechip index, which rose over 400 points just before noon, more than halved its gain to conclude at 28,355.62, up 128.23 points or 0.45%.
The Sensex, after resuming higher at 28,122.48, rose to 28,633.72 on initial strong buying as India's GDP growth is likely to accelerate to 7.4% in 2014-15.
However, the Sensex declined afterwards to 28,044.49 on late selling pressure and rising foreign capital outflows. On Monday, market participants had attributed the Sensex's 490-point plunge to exit polls predicting BJP's defeat in Delhi elections. In seven days, the Sensex has dropped by 1,454.38 points or 4.90%.
Till 3 pm, AAP had won 54 of the 57 seats for which the results were available with Election Commission and was leading on 13 seats. The BJP, which was hoping to ride on Narendra Modi's "magic" before the elections, could only manage to secure three seats. "In an extremely volatile session, markets managed to end in green on Tuesday, putting brake on a losing streak.
After initial downtick, benchmarks bounced back strongly in response to CSO releasing advanced GDP estimate. However, decisive win by the AAP again pushed the bulls on back foot," said Religare Securities, President-retail distribution, Jayant Manglik. The CNX 50-share Nifty also moved up by 39.20 points, or 0.46%, to 8,565.55 after touching a high of 8,646.25. Foreign portfolio investors sold shares worth net Rs 660.30 crore on Monday as per provisional data.
European stocks were trading lower on Greece's stand-off with its creditors. Key indices in France, Germany and UK were off 0.06-0.28%.
Asian stocks ended mixed on Tuesday as key indices in Taiwan, Japan and South Korea dropped by 0.30% to 0.57% while indices in China, Hong Kong and Singapore rose by 0.03% to 1.50%.
Back home, 18 scrips out of the 30-share Sensex pack ended higher while 12 others finished lower. Major gainers included Tata Motors (4.01%), ICICI Bank (3.34%), Tata Steel (2.80%), SBI (2.65%), Sesa Sterlite (2.64 %), M&M (2.53 %), Gail India (2.26 %) and Coal India (2.11 %). Hindalco (1.88 %), Tata Power (1.88 %), Tata Power (1.69 %), Cipla (1.53 %), HDFC Bank (1.48 %) and Infosys (1.34 %) and BHEL (1.06 %) also rose. Among Sensex laggards, TCS dropped by 2.87 %, followed by Sun Pharma 2.33 %, HDFC 2.05 %, Reliance Industries 1.63 %, HUL 1.17 % and NTPC 1.15 %. Among the S&P BSE sectoral indices, the Bankex rose by 1.76 %, followed by Auto 1.75 %, Metal 1.68 %, Consumer Durable 1.46 % and Power 1.16 %. The total market breadth remained negative as 1,402 stocks ended in red, 1,333 finished in green while 110 ruled steady. The total turnover rose sharply to Rs 3,883.69 crore from Rs 2,955.11 crore on Monday.