Profit booking, caution ahead of Union Budget subdue equities

Mumbai, Jan 31 (IANS) Caution ahead of the presentation of the Union Budget and negative global cues pulled the Indian equities markets lower on Tuesday.

The Budget session started on Tuesday with President Pranab Mukherjee’s address to a joint sitting of both HOuse of Parliament, along with Finance Minister Arun Jaitley tabling the Economic Survey for 2016-17.

However, investors were worried about political logjam over the recent demonetisation decision that could stall Parliament’s proceedings.

The key indices provisionally closed the day’s trade in the red, as heavy selling pressure was witnessed in stocks of IT, oil and gas, and healthcare stocks.

The wider 51-scrip Nifty of the National Stock Exchange (NSE) edged down 71.45 points or 0.83 per cent, to 8,561.30 points.

The barometer 30-scrip sensitive index (Sensex) of the BSE, which opened at 27,867.92 points, provisionally closed at 27,655.96 points (at 3.30 p.m.) — down 193.60 points or 0.70 per cent, from the previous close at 27,849.56 points.

The Sensex touched a high of 27,867.92 points and a low of 27,624.54 points during the intra-day trade.

The BSE market breadth was tilted in favour of the bears — with 1,899 declines and 824 advances.

On Monday, the NSE Nifty had inched down 8.50 points or 0.10 per cent, to close at 8,632.75 points, while the BSE Sensex was down 32.90 points or 0.12 per cent.