Sensex rises over 400 points in opening trade; Nifty 17,700. below from
Equity benchmark Sensex fell over 400 points in early trade on Monday, tracking losses in major indices Reliance Industries, Kotak Bank and Bajaj Finance amid a weak trend in global markets and persistent foreign fund outflow. The 30-share index was trading at 59,200.27, down 435.74 points or 0.73 per cent. Similarly, the Nifty fell 129.85 points or 0.73 per cent to end at 17,634.95.
Reliance Industries (RIL) was the top loser in the Sensex pack, falling nearly 4 per cent after the company scrapped a proposed deal to sell 20 per cent stake in its oil refinery and petrochemical business to Saudi Aramco for USD 15 billion. It said its energy portfolio had changed with the entry into a new energy business, which would require a re-evaluation of the deal. Other laggards include Maruti, Bajaj Finance, Kotak Bank and Bajaj Finserv. On the other hand, Bharti Airtel, PowerGrid, Asian Paints, IndusInd Bank and ITC were among the gainers.
The Sensex had closed at 59,636.01 in the previous session, down 372.32 points or 0.62 per cent. Similarly, the NSE Nifty fell 133.85 points or 0.75 per cent to end at 17,764.80. Foreign institutional investors (FIIs) were net sellers in the capital market as they offloaded shares worth Rs 3,930.62 crore on Thursday, according to exchange data. The stock markets remained closed on Friday on the occasion of ‘Guru Nanak Jayanti’.
VK Vijayakumar, Chief Investment Strategist, Geojit Financial, said, “Nifty has plunged around 4.5 per cent from all-time highs. Risk-off mood in global markets with fresh COVID cases in Europe and countries like Austria. May gather strength on lockdown.” Services.
Dollar index above 96 is another concern, while fall in crude oil is positive for India, he added, adding that Paytm’s disastrous listing could make sense in a stellar valuation of the IPO.
“In this risky environment, FII selling is likely to pick up. Retail investors need not rush to buy on downside. Partial profit booking and increasing liquidity level in the portfolio may be considered,” he added. “
Elsewhere in Asia, Hong Kong and Tokyo shares were trading with losses in mid-session deals, while Shanghai and Seoul were positive. Meanwhile, international oil benchmark Brent crude fell 0.06 per cent to $78.84 per barrel.
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