Nifty and Sensex Decline; Realty and Energy Stocks Outperform

24 Jul 2024 , 01:26 PM

Benchmark indices Nifty and Sensex extended their losing streak for the fourth consecutive session, impacted by the announcement of a capital gains tax hike in the Union Budget. Additionally, a downturn in bank and FMCG stocks further weighed on market sentiment.

Despite the negative trend in major indices, the broader market outperformed, with indices rising by 0.5% and almost 2%, respectively. Both have seen a substantial rally of nearly 22% since the start of the year.

As of 1:20 PM, the Sensex was down by 554 points or 0.69%, standing at 79,874.13, while the Nifty 50 fell by 136 points or 0.56%, trading at 24,342.30. The market breadth was positive, with 1,728 shares advancing and 582 declining. The India VIX, also known as the fear gauge, dropped by around 4% to 13%, indicating reduced market volatility.

The Nifty Bank index was the worst performer, sliding over 1%, followed by the FMCG index, which was down by 0.5%. This decline came despite the government’s increased focus on boosting rural consumption. Notably, Hindustan Unilever Limited (HUL) reported its Q1 earnings, leading to a more than 2% drop in its stock price.

On the positive side, realty and energy stocks saw strong gains, with the respective indices surging by nearly 2%. Key contributors to the rally included major energy players such as Reliance Industries, NTPC, Coal India, ONGC, and Power Grid.

Key Nifty Gainers:

• SBI Life
• HDFC Life Insurance
• ONGC
• Tata Motors
• Coal India

Key Nifty Losers:

• Tata Consumer Products
• Bajaj Finance
• Bajaj Finserv
• Nestle India
• Axis Bank