Sensex, Nifty drop for second day on selling in IT, tech shares
The Hindu
Sensex and Nifty declined for a second straight day due to intense selling in IT, banking and tech stocks
Benchmark stock indices Sensex and Nifty declined for a second straight day on Wednesday due to intense selling in IT, banking and tech stocks amid a mixed trend in global equities.
The 30-share BSE Sensex declined 371.83 points or 0.60% to close at 61,560.64 after a flat start. During the day, it tumbled 592.37 points or 0.95% to 61,340.10.
The NSE Nifty declined 104.75 points or 0.57% to settle at 18,181.75.
"In response to weak global sentiments, domestic investors remained cautious as the US market grappled with recession concerns led by recent economic data indicating slowdown. The US retail sales figures for April reflected a decrease in demand, and ongoing debt ceiling negotiations further dampened market sentiment," Vinod Nair, Head of Research at Geojit Financial Services, said.
Among the Sensex firms, Kotak Mahindra Bank, Asian Paints, Tata Consultancy Services, HCL Technologies, Infosys, Tata Steel, Wipro, Bajaj Finance, Tata Motors, Titan and Bajaj Finserv were the major laggards.
In contrast, IndusInd Bank, ITC, Bharti Airtel, Maruti, UltraTech Cement, Mahindra & Mahindra and State Bank of India were the gainers.
"Markets lingered in negative territory as cautious investors continued to book profit after the recent spike. The subdued economic readings coming in from the US and China once again raise concerns of a slowing economy and hence recession fears, which is making investors jittery about the future," said Shrikant Chouhan, Head of Equity Research (Retail), Kotak Securities Ltd.