Sensex tanks 159 points, Nifty ends below 10,700; Bharti Airtel, NTPC top losers
Vinod Nair, Head of Research, Geojit Financial Services
Weak global cues and trade tensions continued to be an overhang on markets. INR continued to be under pressure led by FII selling, inflationary concerns and current account deficit. Key events this week will be governments announcement on minimum support price (MSP) and fear of escalation in trade war between US and China.
The Sensex and Nifty extended losses as the session progressed, mirroring weak global sentiment, as investors booked profits in market heavyweights, while auto stocks rose following robust monthly sales data. At 12:30 pm, the Sensex was trading at 35,150, down 273.19 points, while the broader Nifty50 was ruling at 10,620, down 94 points.
Tata Steel: Tata Steel and Thyssenkrupp AG on Saturday signed definitive agreements to combine their European steel businesses in a 50:50 joint venture (JV) in a new company. The proposed new firm, to be named Thyssenkrupp Tata Steel BV, will be positioned as a leading pan European high quality flat steel producer with a focus on performance, quality and technology leadership.
Target: Rs 1870
Stoploss: Rs 1840
- Tata Consultancy Services confirmed promoters will participate in its buyback
- TCS had said it would buy back over 7.6 crore shares at a price of Rs 2100 each
Markets on Friday
The BSE Sensex surged almost 386 points today, reversing two sessions of losses, as the July series derivatives contracts started on a robust note amid recovery in the rupee. This is the benchmark's biggest single-session gain since May 31, when it had vaulted 416.27 points.
Global markets climbed after a prolonged spell of weakness, even as trade and crude oil headwinds remain.
Investor sentiment was bolstered as the rupee staged a recovery after hitting lifetime lows on Thursday. The Sensex opened strong at 35,128.16 and stayed in the positive zone throughout the session as buying activity gathered momentum. It scaled the day's high of 35,459.05 before closing at 35,423.48, a hefty gain of 385.84 points, or 1.10 per cent.
The gauge had lost 452.40 points in the past two sessions.