Indian shares recovered from over 2 per cent lows but still ended in the red on Monday after Prime Minister Narendra Modi's heavy defeat in Bihar's state elections raised concerns the government would struggle to pass policy reforms.
The benchmark BSE index ended down by 143.84 points or 0.55 per cent at 26,121.40 after falling as much as 2.32 per cent, while the broader NSE index ended lower by 39.1 points or 0.49 per cent at 7,915.20 after falling as much as 2.35 per cent earlier in the day.
Gains in auto and consumer goods stocks helped cushion the losses in financial and pharmaceutical stocks.
Both indices hit their lowest intra-day level since September 29 and have booked losses in 10 out of 11 sessions.
Among BSE sectoral indices, realty index fell the most by 2.2 per cent, followed by healthcare 1.31 per cent, TECK 0.7 per cent and infrastructure 0.66 per cent. On the other hand, consumer durables index found investors' support and was up 2.24 per cent, followed by auto 1.25 per cent, FMCG 1.16 per cent and oil & gas 0.01 per cent.
Top five Sensex losers were Sun Pharma (-5.82%), BHEL (-3.86%), Dr Reddy's (-3.44%),Wipro (-1.99%) and ICICI Bank (-1.7%), while the major gainers were Tata Motors (+3.89%), Maruti (+2.54%), ITC (+1.59%), Vedanta (+1.52%) and SBIN (+1.17%).
Early trade
The benchmark BSE Sensex cracked below the 26,000-mark by plunging over 608 points and the NSE Nifty dipped below 7,800-level in the opening trade.
Falling for the fourth straight session, the 30-share index dipped below the crucial 26,000-level by tumbling 608.34 points or 2.31 per cent to 25,656.90.
The gauge had cumulatively lost 325.35 points in the previous three days.
On similar lines, the National Stock Exchange Nifty slipped below the 7,800-level by losing 180.55 points or 2.26 per cent to 7,773.75.
Brokers' comment
A report by SMC Global said "Asian stocks kicked off the new trading week mixed mirroring the handover from Wall Street amid weakening commodity prices."
Brokers said the sentiment turned distinctly weak following defeat of the BJP-led NDA in the Bihar Assembly polls which would negatively impact reforms drive, triggering all-round selling.
Meanwhile, foreign investors bought shares worth Rs 219.17 crore last Friday.
Global markets
European shares were little changed in mid-morning trade on Monday with losses among auto sector stocks led by Continental and Renault offset by gains among energy plays.
The FTSEurofirst 300 index was down 0.05 per cent, having closed up 0.3 per cent on Friday, and the euro zone’s blue-chip Euro STOXX 50 fell 0.01 per cent.