Stocks

Nifty retreats from 2-year closing high; election results, Fed meet eyed

Our Bureau Agencies Mumbai | Updated on January 13, 2018 Published on March 07, 2017

sensex

Domestic shares fell on Tuesday after hitting two-year closing highs in the previous session, as investors booked profits in recent outperformers ahead of state elections results, including that of Uttar Pradesh.

The broader NSE index closed down 16.55 points or 0.18 per cent at 8,946.90, after closing at its highest since March 2015 on Monday. The benchmark BSE index ended 48.63 points or 0.17 per cent lower at 28,999.56.

Among BSE sectoral indices, metal index fell the most by 1.79 per cent, auto 0.5 per cent, healthcare 0.47 per cent and realty 0.27 per cent. On the other hand, oil & gas index was up 0.41 per cent, consumer durables 0.37 per cent, power 0.28 per cent and capital goods 0.18 per cent.

Top five Sensex gainers were Adani Ports (+1.97%), ONGC (+1.26%), TCS (+1.22%), HDFC Bank (+0.42%) and Wipro (+0.4%), while the major losers were Tata Steel (-2.22%), Infosys (-1.37%), Lupin (-1.36%), Axis Bank (-1.28%) and Maruti (-0.85%).

Election results

The direction of markets will likely hinge on the results of the elections in the northern state of Uttar Pradesh, due out on Saturday, which will have a key influence on Prime Minister Narendra Modi's chances of clinching a second term in 2019.

Meanwhile, investors are also awaiting the US Federal Reserve meeting next week, where it is widely expected to raise interest rates.

“The market is largely seeing oscillations in a very narrow range,” said Saurabh Jain, assistant vice-president of research at SMC Global Securities.

“Clouds will be clear only by next week and markets will then take a decisive move. The Fed statement will give more clarity as to how things will shape out in future.”

Financial stocks fell, led by Axis Bank Ltd and YES Bank Ltd. Both dropped more than 1.5 per cent each.

Asian markets

Asian shares rose on Tuesday, diverging from New York markets that slipped on concern about President Donald Trump's ability to focus on economic policies.

Oil prices were mixed amid fears growing US production will offset OPEC cuts.

MSCI's broadest index of Asia-Pacific shares outside Japan rose almost 0.5 per cent, after pulling back slightly in early trade. Japan's Nikkei fell 0.2 per cent.

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Published on March 07, 2017
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