Sensex, Nifty End At 4-Month Low As Drugmakers Selloff And Investors Fret Over U.S. Election
Indian shares declined to a four-month low, after closing lower for a fourth straight session this week, as healthcare companies tumbled amid a U.S. probe on producers of generic drugs.
The S&P BSE Sensex, after swinging in a 300-point range, managed to claw back some of its losses to close 0.5 percent lower at 27,274. While the NSE Nifty tested the 8,400-mark briefly before ending trade at 8,433, down 0.6 percent.
Both the indices ended the truncated week down 2.5 percent. It is their biggest weekly decline since October 2.
The broader markets too remained under pressure as investors indulged in cutting down their position with the small-cap index falling by 2.20 per cent and the mid-cap index shedding 1.34 per cent.
L&T Hits 5-Month Low As Govt Plans Stake Sale
Shares of the country’s largest construction firm dropped 3.2 percent intraday, after the government sold a 1.63 percent stake in the company.
The transaction took place through block deals with private institutional buyers picking up the entire chunk on offer, leaving no headroom for state-run LIC to participate, sources said.
SUUTI, which was created to take over part of the assets and liabilities of the now-defunct Unit Trust of India, held 8.16 percent stake in L&T. According to a report in the Mint quoting unidentified government official, the Centre may look to sell up to 3 percent of its stake.
The stock, which is down near a five-month low, has fallen for nine out of the last 10 trading sessions.
Sensex Drops 250 Points from Day’s High; Nifty Tests 8,400
Indian shares extended their three-day decline after a weak opening in European equities increased anxiety among investors ahead of next week’s U.S. presidential elections.
The main laggards in trade remained the pharma stocks amid mounting concerns about potential pressures on U.S. drug prices after revelations of a Justice Department probe into industry collusion.
Titan Extends Losses After Q2 Misses Estimates
Shares of the watch maker slumped 4 percent to Rs 366 after its second quarter earnings disappointed the street.
It reported a net profit of Rs 181 crore for the September quarter, compared to Rs 192 crore estimated by analysts in a Bloomberg poll. Net sales came in at Rs 2,680 crore, unchanged from what it managed to sell a year ago period.