Markets Open Flat Ahead of Modi’s First Floor Test in Lok Sabha
The Indian rupee opened slightly stronger at 69.01 against the US dollar. On Thursday, the rupee weakened by 43 paise to close at a historic low of 69.05 against the US currency, the first time the rupee ended below the 69 level against the greenback.
Image for representation.
New Delhi: The BSE Sensex and the NSE Nifty 50 opened flat on Friday tracking subdued global markets, weaker rupee, ahead of the no-confidence motion against the Narendra Modi government. The Sensex opened at 36,377.03, higher by 26 points, while the NIfty 50 started at 10,963, rising by 6.40 points.
Midcaps started in the red. Reliance, Infosys, ICICI Bank, Kotak Bank, L&T, Sun Pharma, Tata Steel were early gainers, while Vedanta, HDFC, Bharti Airtel, ONGC, HUL, HDFC Bank, Bajaj Auto started lower.
The Indian rupee opened slightly stronger at 69.01 against the US dollar. On Thursday, the rupee weakened by 43 paise to close at a historic low of 69.05 against the US currency, the first time the rupee ended below the 69 level against the greenback. Thursday also marked the biggest single-day fall in the rupee against the US currency since May 29.
The no-confidence motion by the Congress and the TDP in the Lok Sabha against the Modi government had weighed on the market on Thursday as well. The Sensex had erased opening gains to close 147 points lower at 36,373 and the Nifty slipping 28 points to close below 11,000.
The broader markets fell in-line with benchmark peers. The Nifty Midcap index edged 191 points lower to 18,018 and the Nifty Bank declined 127 points to 26,881. Market breadth was also was in favour of declines with the advance-decline ratio at 1:3 at close.
Amongst sectors, besides oil and gas, capital goods and media, all the sectoral indices closed in the red. The FMCG, autos and telecom sectors were the top losers.
HUL was the top index loser, followed by Tata Steel, M&M and Axis Bank. In the midcap space, Ashok Leyland continued its downfall post an increase in permissible truck axle load. The Chennai-based auto company saw a fall of over 14 percent in today’s trade.
On the earnings front, UltraTech reported earnings in-line to marginally better than estimates. Revenue came in at Rs 8,655 crore against poll of Rs 8,742 crore, profit at Rs 598 crore against an estimate of Rs 604 crore. Margin improved to 18.78 percent against the poll of 18.1 percent.
After 15 years, Lok Sabha will debate a motion of no-confidence on Friday and the ruling BJP is making every muscle work to make the opposition regret its decision. The NDA has about 312 members in the 533-member house. The majority mark, however, stands at 267 as 11 seats are vacant. The Congress and the other parties that support the no-trust motion have about 152 seats.
In the futures market, the call option of 11,100 saw maximum addition of shares in the open interest with premium slipping 28 percent. And, amongst Put calls 10,900 saw 5.7 lakh shares were shed in the open interest with premium surging 39 percent. Nifty July Futures closed with a premium of six points against a premium of 16 points on Tuesday.
Recommended For You
- Gearing up For 2053 World Cup? Cricket Fans Try Viral #FaceAppChallenge on Team India
- Mission Mangal Trailer Has Akshay Kumar Leading a Team of Talented Scientists
- Erica Farnandes-Parth Samthaan's Kasautii Zindagii Kay Gets a New Villain in Alka Amin
- After #SareeTwitter, Indian Men Are 'Growing' the New Trend of #BeardTwitter
- ICJ Orders Pakistan To Grant Consular Access To Kulbhushan Jadav