Sensex, Nifty End Lower As Banks & Metal Stocks Bleed Red

The equity markets ended lower for the second consecutive day in the week dragged by Banks, Metals. The BSE Sensex closed at 52,198.51, down by 354.89 points, and the Nifty-50 closed lower by 120.30 points at 15,632.10.

The overall market performance mainly remained with the bears as nearly 1393 shares closed with declines, while 398 shares ended green in the NSE. Shares of HCL Tech, Bharti Airtel, NTPC, and Tata Steel were among the top drags for the Sensex, declining 2-3 per cent each.

The banking space contributed the most to the market fall on Tuesday, July 20. Experts feel that the earnings session is likely to be weak for the sector as collection efficiency has been muted given the impact of Covid-19. The HDFC Bank's Q1 results have also raised concerns among investors, experts added. Shares of HDFC Bank and ICICI Bank plunged two per cent in the day's trade, while IndusInd Bank dipped more than three per cent.

However, the earnings outcome for stocks of Asian Paints and Shyam Metalics turned out to be positive as both the shares scaled their fresh record highs post Q1 results today. Asian Paints surged over six per cent and marked a record high of Rs 3,179.50, while Shyam Metalics made a high of Rs 461.15.

Asian Paints' Profit After Tax stood at Rs 598 crore, up 160 per cent Y-o-Y. PAT for Shyam Metalics stood at Rs 458.01 crore in Q1 against Rs 80.36 crore in the year-ago period.

"The markets have been able to close above the 15,600 support which is heartening for the time being. The short-term trend gets threatened if we break this level on a closing basis," said an expert.