Weak global cues drag Indian equities lower

Mumbai, Dec 20 (IANS) Weak global indices, coupled with foreign fund outflows and a flat rupee, dragged the Indian equity markets lower on Tuesday.

The key indices traded in the red during the mid-afternoon trade session, as heavy selling pressure was witnessed in banking, automobile and healthcare stocks.

The wider 51-scrip Nifty of the National Stock Exchange (NSE) slipped by 28.75 points or 0.35 per cent to 8,075.60 points.

The barometer 30-scrip Sensitive Index (Sensex) of the BSE, which opened at 26,374.56 points, traded at 26,293.26 points (at 2.00 p.m.) — down 81.44 points or 0.31 per cent from the previous close at 26,374.70 points.

The Sensex has touched a high of 26,435.56 points and a low of 26,241.43 points during the intra-day trade so far.

The BSE market breadth was skewed in favour of the bears — with 1,705 declines and 740 advances.

According to Dhruv Desai, Director and Chief Operating Officer of Tradebulls, the CNX Nifty traded with bearish sentiments due to selling pressure.

“Banking, pharma, auto, oil-gas, textile and aviation stocks traded with bearish sentiments, whereas media-entertainment, FMCG and power stocks traded with mixed sentiments,” Desai said.

“Indian equity markets are likely to trade with volatile sentiments during the second half of the session due to short covering.”

On Monday, the barometer index closed lower by 114.86 points or 0.43 per cent, while the NSE Nifty inched down by 35.10 points or 0.43 per cent.