JOIN USStock markets remain weak
Despite tail-end buying amid easing of wholesale inflation to seven-month low and firm global cues, the S&P BSE benchmark Sensex continued to rule weak for the third week in a row.
The 30-share index slipped another 10 points to settle at 20,366.82 this week.
Persistent capital outflows from foreign funds mainly affected the market sentiment.
Foreign institutional investors (FIIs) were net sellers of Rs 106.96 crore during the week, including the provisional figure of February 14.
Wholesale-based inflation eased to a seven-month low of 5.05 per cent in January from 6.16 per cent in December.
With industrial output in negative terrain and price rise under control, hopes rose that RBI will cut interest rates soon, said brokers.
Shares of power, metal, FMCG, healthcare and banking sectors declined on profit-booking, while consumer durable, IT and auto scrips firmed up on good buying enquiries.The Sensex resumed higher at 20,429.16 and hovered in a range of 20,516.60 and 20,149.01 before ending at 20,366.82, showing a mere loss of 9.74 points, or 0.05 per cent.
The BSE benchmark index has tumbled by 766.74 points, or 3.63 per cent, in the last three weeks.
The NSE’s 50-share benchmark Nifty moved down by 14.85 points, or 0.24 per cent, to settle at 6,048.35.
Jignesh Chaudhary, Head of Research, Veracity Broking Services said, “It was a mixed trading week in equity markets which saw some positive as well as negative trading. It started the week on a negative note due to the absence of FIIs from the market who has been primarily net sellers.”
He added, “We feel Sensex is going to trade in the range of 19,850 to 20,980 levels in the following week with a slight negative bias. Similarly, the Nifty too will trade in range of 5,950 to 6,130 levels in the coming week.”
Among the S&P BSE sectrol indices, power dropped by 2.79 per cent, Metal 2.58 per cent, FMCG 1.91 per cent and HC 1.78 per cent, while CD rose by 2.15 per cent, IT 2.12 per cent, auto 1.50 per cent and teck 1.12 per cent.