Sensex tanks over 450 points in early trade; Nifty slips below 14,800

Elsewhere in Asia, bourses in Shanghai, Hong Kong, Tokyo and Seoul were trading on a negative note in mid-session deals.

Equity benchmark Sensex tumbled over 450 points in early trade on Tuesday, tracking losses in index-heavyweights HDFC twins, ICICI Bank and Kotak Bank amid negative cues from global markets.

The 30-share BSE index was trading 470.10 points or 0.95% lower at 49,032.31 in initial deals.

Similarly, the broader NSE Nifty slumped 145.80 points or 0.98% to 14,796.55.

Kotak Bank was the top loser in the Sensex pack, shedding over 2%, followed by HDFC, TCS, ICICI Bank, Bajaj Auto, Tech Mahindra, M&M and Maruti.

On the other hand, Sun Pharma, NTPC, ONGC, ITC, Reliance Industries and UltraTech Cement were among the gainers.

In the previous session, Sensex ended 295.94 points or 0.60% higher at 49,502.41, and Nifty jumped 119.20 points or 0.80% to 14,942.35.

Foreign institutional investors (FIIs) were net buyers in the capital market as they purchased shares worth ₹583.69 crore on Monday, according to provisional exchange data.

According to Binod Modi, Head Strategy at Reliance Securities, domestic equities do not look to be positive as of now on weak global cues.

“U.S. indices, especially S&P 500 and Nasdaq, fell sharply mainly on account of heavy selling pressure in high profile technology and growth stocks. While U.S. equities have been gaining momentum consistently well supported by robust March quarter corporate earnings and loose monetary policy stance of the Federal Reserve, the bond market has been broadly muted in the last one month. This started weighing on investors’ sentiments as any surge in bond yield will make valuations of technology or growth stocks quite expensive,” he noted.

Elsewhere in Asia, bourses in Shanghai, Hong Kong, Tokyo and Seoul were trading on a negative note in mid-session deals.

Meanwhile, international oil benchmark Brent crude was trading 0.73% lower at $67.82 per barrel.

Source: Read Full Article