Mumbai– Global growth concerns, along with disappointing quarterly results and heavy selling pressure in banking, automobile, healthcare and consumer durables stocks dragged the Indian equity market into the red on Monday.

Accordingly, the weakness was led by a slide in ICICI Bank, Reliance Industries and ITC.

However, global cues such as broadly positive Asian markets and fresh inflow of foreign funds aided in arresting the downward spiral.

Index-wise, the S&P BSE Sensex closed the day’s trade at 35,656.70 points, down 368.84 points or 1.02 per cent from its previous close.

The broader NSE Nifty50 lost 119 points or 1.10 per cent at 10,661.55 points.

The Sensitive Index of the BSE, which had closed at 36,025.54 points on Friday last week and opened higher at 36,099.62 points.

On January 25, the previous trade session, the Sensex had edged lower by 169.56 points or 0.47 per cent. The Nifty too went down by 69.25 points or 0.64 per cent.

“Market slid below 10,700 mark as uncertainty over global trade negotiation and US Fed policy later this week added volatility,” said Vinod Nair, Head Of Research at Geojit Financial Services.

“Any progress in US China trade deal and a dovish view from FOMC meet amid global growth concern may provide respite to investor’s dilemma. Additionally, weak set of earnings from auto major and selling in banks marked the tone of domestic indices.”

According to Deepak Jasani, Head of Retail Research with HDFC Securities: “Markets ended with losses on Monday for the second consecutive session. The weakness was led by a slide in ICICI Bank, Reliance Industries and ITC.”

“The Nifty could drift down further once the immediate supports of 10,628 are broken. Any pullback rallies could find resistance at 10,804.”

Stocks-wise, scrip of Zee, Dish TV, Sun TV and DLF moved higher, whereas shares of Adani Ports, Adani Power, DHFL and Indian Bank dipped.

On a company specific basis, the Zee Entertainment Enterprises Ltd (ZEEL) stock on Monday gained 16.64 per cent at Rs 372.50 a share, up Rs 53.15 from its previous close on the BSE.

The upswing in the stock price came a day after Zee and Essel Group Chairman Subhash Chandra said that the company management has successfully arrived at an understanding with lenders to whom the shares held by the group’s promoters have been pledged.

In terms of currency, the Indian rupee strengthened to Rs 71.10-11 per US dollar from its previous close of 71.18.

Investment-wise, foreign institutional investors (FII) bought Rs 223.44 crore worth of stocks on Monday, while the domestic institutional investors (DII) invested Rs 92.32 crore worth of stocks. (IANS)

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