Markets slip tracking weak global cues; Sensex sheds over 330 pts, Nifty 50 below 15,650; HDFC twin, TCS, RIL, Dr Reddy's weigh; Nestle, Maruti in focus

A broad-based selloff is recorded with banking, auto and IT stocks underperforming the most. India's Volatility Index dived nearly 7%.

Jul 28, 2021 10:07 IST India Infoline News Service

Stock Market Down
Indian markets witness a steep fall on Wednesday on the account of weak global cues as investors turned cautious due to a rout in China. Also, mixed response to US technology earnings for Q1 further swayed weighed on markets sentiments.

Back at home, a broad-based selloff is recorded with banking, auto and IT stocks underperforming the most.

India's Volatility Index dived nearly 7%. In the early deals, Sensex has dipped to at least an intraday low of 52,185.90, while Nifty 50 has clocked the day's low of 15,626.25.

At around 10:05 AM, Sensex is trading at 52,246.39 down by 332.37 points or 0.63%. Nifty 50 was performing at 15,649.70 lower by 96.75 points or 0.61%.

Top bulls on Sensex are - IndusInd Bank soaring nearly 2% followed by Bharti Airtel, Bajaj Finserv and HUL surging around 1% each.

Top bears on Sensex are - Nestle, HDFC, HDFC Bank and Dr Reddy's Lab slipping between 1.2-1.4%. Heavyweight stocks like Axis Bank, Maruti Suzuki and TCS dived more than 1% each. RIL, Kotak Bank, M&M, L&T, Bajaj Auto and HCL Tech dipped nearly 1% each.

Major companies like Maruti Suzuki India, Nestle India, ABB India, Astec Lifesciences, Birlasoft and Central Bank of India will be in focus on Wednesday ahead of their June 2021 quarterly results.

Other companies that will also present their Q1 today are - Century Textiles & Industries, Coforge, Dhanlaxmi Bank, Embassy Office Parks REIT, Gateway Distriparks, Geojit Financial Services, Greenpanel Industries, Grindwell Norton, Happiest Minds Technologies, Heritage Foods, HSIL, ICRA, IDBI Bank, Intellect Design Arena, JM Financial, Mahindra Lifespace Developers, Mahanagar Gas, Mold-Tek Packaging, Pfizer, Radico Khaitan, Ramco Systems, Route Mobile, RPG Life Sciences, Sagar Cements, SRF, Tata Coffee, TCI Express, TeamLease Services, United Breweries, UTI Asset Management Company, and Welspun India.

In terms of sectoral indices, BSE Bankex and BSE IT were top laggards slumping by 277 points and 237 points. BSE Auto and BSE Capital Goods also weighed down.

Asian indices traded lower with Japan's Nikkei 225 diving nearly 400 points. The huge sell-off in the Chinese stocks see collateral risk-off in other Asian markets. The Hong Kong 'Hang Seng’ has fallen over 2500 points in 3 days which highlights the losses in one market and which could see foreign investors dump stocks in other markets.

Overnight, on Wall Street, US indices pulled back from their record levels with global cues as Nasdaq fell over 2% before recovering to close down 180 points. Bond yields dip to 1.25% as the risk of trade sees flight to safety while US$ closes flat at 92.45. Alphabet numbers after market see stocks up 3% as results beat all estimates.

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