Sensex, Nifty recover from afternoon jitters; indices turn flat

Indian benchmark indices saw a sudden selling pressure during the Friday's trading session but managed to recover the losses partially towards the end of the day. Nifty50 index, which scaled new highs during the session and the 30-share pack BSE Sensex, gave up their initial gains and indices turned to red amid the selling in afternoon's trade.

 

BSE's barometer Sensex tanked about 900 points from day's high at 77,808.45 to 76,908.59. NSE's Nifty50 tanked nearly 245 points from day's high to 23,422.40. On the contrary, second rung stocks managed to hold grounds as BSE midcap and smallcap indices traded flat. Fear gauge India VIX was flat around 13.45-mark.

 

Investors lost about Rs 2.3 lakh crore from their kitty as the total market capitalization of the all BSE-listed companies crumbled down to Rs 433.71 lakh crore, which stood at Rs 436.02 lakh crore at the end of Thursday's trading session.

 

Selling pressure in select heavyweights dragged the index sharply lower. HDFC Bank, Reliance Industries and Larsen & Toubro (L&T) cumulatively contributed more than 380 points in the day's fall. On the contrary, IT major Infosys and Tata Consultancy Services (TCS), along with Bharti Airtel gave some support.

 

On a sectoral front, Nifty oil & gas index, Nifty Bank, Nifty Financial Services Index and Nifty realty indices were the biggest laggards at the time of writing this report. Among the gainers, The Nifty IT pack was a standout performer followed by the Nifty Media and Nifty Consumer Durable pack.

 

In the broader markets, State-run fertilizers counters Paradeep Phosphates, Chambal Fertilizers, Gujarat Gujarat Narmada Valley Fertilizers & Chemicals and Garden Reach Shipbuilders & Engineers cracked 6-7 per cent each during the session. Coromandel International tumbled 5 per cent for the day.

 

On the other hand, Hester Biosciences hit an upper circuit of 20 per cent, while Time Technoplast rallied 18 per cent. Gravita India surged 15 per cent, while Elin Electronics soared about 11 per cent. Railtel Corporation gained more than 10 per cent during the session.