Sensex, Nifty Fall; Tata Steel, HCL Tech & Axis Bank Gain
The 30-share BSE benchmark Sensex declined 116 points or 0.17 per cent to settle at 66,167. The broader NSE Nifty dropped 10 points or 0.05 per cent to end at 19,732. It finally extended declines for the third straight day on Monday, dragged by pharma, realty and IT stocks, though a rise in metals stocks helped offset some intraday losses. From the Sensex pack, Tata Steel, HCL Tech and Axis Bank closed higher, while Nestle India, TCS, IndusInd Bank and Asian Paints closed in the red.
Sector-wise, Nifty Pharma declined 0.46 per cent and Nifty FMCG fell 0.23 per cent. Whereas, Nifty Metal and Nifty Auto closed higher. In the broader market, Nifty Midcap100 gained 0.2 per cent and Smallcap100 surged 0.4 per cent. The market breadth was skewed in favour of the bulls. About 1,997 stocks gained, 1,793 declined and 163 remained unchanged on the BSE.
Meanwhile, Persistent geopolitical tensions continue to weigh down the sentiment on equity, yet the mid and smallcap index witnessed bargain hunting ahead of festival-driven demand and optimistic Q2 results. If the oil price moves higher in a sustained manner, it may elevate yields and operation costs, potentially straining margins in H2FY24. As the earnings season gets into full swing, investors will be more inclined to take a bottom-up approach to restructure their portfolios.
Technically, the important key resistances placed in October Nifty future are at 19,732 levels, which could offer the market on the higher side. Sustainability above this zone would signal opens the door for a directional upmove with immediate resistances seen at 19,770 – 19,880 levels. Immediate support is placed at 19,676 – 19,606 levels.
