Sensex, Nifty Decline For Second Straight Day Dragged By Banks
Indian equity benchmarks fell for second day in a row dragged by financial heavyweights like HDFC twins, ICICI Bank and Kotak Mahindra Bank.
The S&P BSE Sensex fell 0.6 percent or 215 points to 35,012 and the NSE Nifty 50 index tumbled 0.6 percent or 68 points to 10,628.
Nine out of 11 sector gauges compiled by the National Stock Exchange ended lower led by the Nifty Realty index's 3.3 percent drop. It was followed by Nifty Bank index which fell 1.6 percent. On the other hand, the Nifty IT index was the top gainer, up 0.3 percent.
The mid- and small-cap shares underperformed their larger peers as the Nifty Midcap 100 index fell over a percent while the Nifty Smallcap 100 index plunged 2.8 percent.
Bonds Extend Drop As Finance Ministry Official Hints At Higher Rates
Sovereign Indian bonds extend decline after an unidentified finance ministry official flagged the possibility of an increase in interest rates to curb inflation.
- Hardening of rates looks inevitable given inflation trajectory, a finance ministry official told reporters in New Delhi, asking not to be identified citing rules.
- Risks to RBI’s inflation target has increased significantly: official
- Meeting fiscal deficit aim this fiscal year will be challenging: official
- Yield on benchmark 10-year government bonds rose 5 basis points to 7.90 percent versus 7.87 percent before the comments; was at 7.85 percent on Friday
Yes Bank Erases Gains After Block Deal
- Yes Bank has 20 lakh shares change hands in a block. Stock up 0.04 percent at Rs 342.80.
Buyers and sellers were not immediately known
Fab Four Stocks Of The Day
- SAIL: The Delhi-based government owned steel maker rose as much as 5.5 percent to Rs 76. International brokerage has upgraded the stock to 'neutral' from 'sell' and also raised its target price to Rs 83 from Rs 50.
- Anant Raj: The Delhi-based real estate developer surged as much as 11.44 percent to Rs 45.30. The board has considered a proposal for realign and reorganize certain business activities of the company to have better focus and faster execution of projects, Anant Raj said in an exchange filing.
- Dr Reddy's Labs: The Hyderabad-based drugmaker rose as much as 4.5 percent to Rs 2,027.90 after U.S. FDA completed inspection at its Srikakulam plant with no observations.
- Pfizer: The Mumbai-based drugmaker rallied for ninth day in a row, posting its longest winning streak since December 2013, and rose as much as 3.3 percent to Rs 2,650.
HDFC Bank Falls More Than Rs 100 From Day's High
Shares of the country's largest private sector lender fell as much as Rs 104 from day's high to Rs 2,053.20.
Global funds can increase their stake in the Mumbai-based bank by 1.68 percent or 4.3 crore shares, according to NSDL data.