Mumbai– Profit booking dragged the Indian equity markets lower on Thursday, ending the eight consecutive sessions of gaining streak.
The two key domestic indices, S&P BSE Sensex gained 10.1 per cent and NSE Nifty50 climbed 9.5 per cent during the last eight consecutive sessions, supported by an estimated foreign fund inflow of over Rs 20,000 crore.
However, profit booking in financial stocks, especially those of the banking sector, led both the key market indices to slip nearly about 0.5 per cent.
On the other hand, healthy buying was seen in FMCG, auto, IT, media, pharma and realty stocks.
Besides, the Centre’s announcements on new schemes under the ‘Aatmanirbhar Bharat’ programme capped the fall.
Global markets too saw profit booking despite positive news on the vaccine front, as the pandemic situation remains severe.
Back home, the S&P BSE Sensex crossed the 43,700 mark during the initial trade to touch a record high of 43,708.47 points.
It closed at 43,357.19, lower by 236.48 points, or 0.54 per cent, from its previous close of 43,593.67.
Similarly, the Nifty50 on the National Stock Exchange closed in the red. It fell to 12,690.80, lower by 58.35 points, or 0.46 per cent, from its previous close.
“Banking stocks which were leading the bull charge came under profit booking in today’s session – bank Nifty closed almost 2 per cent lower for the day,” said Devarsh Vakil- Deputy Head of Retail Research at HDFC Securities.
According to Siddhartha Khemka, Head – Retail Research, Motilal Oswal Financial Services: “FM Nirmala Sitharaman’s measures to boost economy failed to cheer investors. FMCG sector gained a little as these measures would support the rural economy, while fertiliser stocks gained on announcement of subsidy for farmers.”
“The overall structure of the market remains positive. The FII flows continue to be abundant; thus providing support to the market. With the economy recovering fast, and the government extending benefits to stressed sectors, consumption is expected to revive with demand revival.” (IANS)