Global cues subdue Indian equities

Mumbai, Nov 17 (IANS) Weak global cues, along with lower crude oil prices, pulled the Indian equity markets lower during the mid-afternoon trade session on Thursday.

Heavy selling pressure was witnessed in IT, consumer durables and capital goods stocks.

The wider 51-scrip Nifty of the National Stock Exchange (NSE) edged down by 19.20 points or 0.24 per cent to 8,092.40 points.

The barometer 30-scrip sensitive index (Sensex) of the BSE, which opened at 26,304.90 points, traded at 26,192.90 points (at 1.45 p.m.) — down by 105.78 points or 0.40 per cent from the previous close at 26,298.69 points.

The Sensex has so far touched a high of 26,449.87 points and a low of 26,192.90 points during the intra-day trade.

The BSE market breadth was skewed in favour of the bears — with 1,577 declines and 896 advances.

On Wednesday, the Indian equity markets had closed on a flat note due to prevailing anxiety over the impact of demonetisation, foreign fund outflows and negative global cues.

The barometer index was down by 5.94 points or 0.02 per cent, whereas the NSE Nifty gained only 3.15 points or 0.04 per cent.

“Markets are in a consolidation phase and trading flat on the back of weak global cues. USD/INR has shown some relief with the Indian rupee showing some appreciation,” Astha Jain, Senior Research Analyst at Hem Securities, told IANS.

“Global crude oil prices are lower. Investors are also keeping an eye out for the US Fed’s Janet Yellen’s speech later in the evening.”

According to Dhruv Desai, Director and Chief Operating Officer of Tradebulls, short covering led the CNX Nifty to trade with sideways sentiments.

“IT stocks traded with mixed sentiments, while banking, pharma, auto, oil-gas, textile and aviation stocks traded with firm sentiments on buying support,” Desai said.

“Media-entertainment, FMCG, power and cement stocks traded with mixed sentiments due to short covering.”