Stock Market Updates: Weakness across sectors dragged the markets lower.
Domestic stock markets started Tuesday’s session on a flat note tracking weakness across Asian equities, as concerns about increasing COVID-19 deaths and lockdowns overshadowed optimism about the roll-out of coronavirus vaccinations. The S&P BSE Sensex index opened 33.93 points, or 0.07 per cent, higher at 46,287.39, but the broader NSE Nifty 50 benchmark began the day at 13,547.20, down 10.95 points, or 0.08 per cent, from its previous close. Weakness across sectors, led by banking, financial services and IT shares, dragged the markets lower. (Also Read: Stocks to Watch Today)
At 9:16 am, the Sensex traded 189.34 points, or 0.41 per cent, lower at 46,064.12, while the Nifty was down 50.90 points, or 0.38 per cent, at 13,507.25. (Track Sensex, Nifty Here)
Axis Bank, ONGC, Tata Motors, Hindalco and State Bank of India (SBI), trading between 1.06 per cent and 1.82 per cent lower, were the worst hit among 31 laggards in the 50-scrip Nifty basket.
On the other hand, Eicher Motors, HDFC Life, UPL, Dr Reddy’s and HDFC Bank, up 0.80-1.31 per cent each, were the top gainers in the index.
Reliance Industries, Infosys, ICICI Bank and Tata Consultancy Services (TCS) were the biggest drags on Sensex.
Official data released after market hours on Monday showed consumer inflation eased last month but still remained beyond the Reserve Bank of India’s comfort zone, reinforcing analysts’ view that the central bank’s Monetary Policy Committee may keep key rates on hold for now. (Also Read: Consumer Inflation Eases To 6.93% In November, Better Than Estimate | RBI Likely To Keep Policy Rates On Hold, Say Analysts)
Asian share markets moved lower, with MSCI’s index of Asia-Pacific shares outside Japan down 0.40 per cent at the last count, having hit a string of record highs last week.
The E-Mini S&P 500 futures were up 0.10 per cent, indicating a positive start for US markets on Tuesday.
On Monday, tighter COVID-19 restrictions were imposed on London as the government citing increased infection rates that may be partly linked to a new variant of the coronavirus.
News of the vaccines has powered gains in the last few months, with the Asian benchmark up nearly 16 per cent so far this year, sitting just shy of a record struck last week.
Last week, the United States authorised the emergency use of its first COVID-19 vaccine, developed by Pfizer and BioNTech. The vaccine has already been authorised in a handful of countries including Britain and Canada.