Nifty, Sensex Near Day's Low As Bajaj Finance Drags: Midday Market Update
At 11:41 a.m., the NSE Nifty 50 was trading 0.16% lower at 22,534.70 and the S&P BSE Sensex fell 0.19% to 74,201.36.
India's benchmark equity indices erased early gains to fall to their day's low by midday on Friday, weighed by losses in Bajaj Finance Ltd. after its fourth-quarter results.
At 1:00 p.m., the NSE Nifty 50 was trading 70.95 points, or 0.31%, down at 22,499.40, while the S&P BSE Sensex fell 245.15 points, or 0.33%, to 74,094.29.
"We expect that Nifty will have a 1,000-point move in the May series," said Rahul Ghose, chief executive officer of Hedged.in. According to him, the open interest data is not conclusive, and 22,650–22,800 will be a congestion point for the index.
The index now has immediate support at 20DMA, currently trading at 22,382, and sustenance above the same will allow it to attract further bullish strength, said Avdhut Bagkar, technical and derivatives analyst at StoxBox.
Shares of Bajaj Auto Ltd., HCLTechnologies Ltd., HDFC Bank Ltd., ITC Ltd., and Tech Mahindra Ltd. capped loss in the Nifty.
While those of Bajaj Finance Ltd., Bajaj Finserv Ltd., ICICI Bank Ltd., Larsen & Toubro Ltd. and State Bank of India weighed on the index.
Broader markets outperformed the benchmarks. The S&P BSE Midcap was 0.79% up and the S&P BSE Smallcap was 0.66% higher.
On BSE, 17 out of 20 sectors advanced, and three declined. The S&P BSE Services rose over 1% to become the top performer. The S&P BSE Telecommunication was the worst performer among its peers.
Market breadth was skewed in the favour of buyers. Around 2,199 stock rose, 1,371 stocks declined, and 155 stocks remained unchanged on BSE.