After ending in a green yesterday, the Indian markets opened strong today morning. After Nifty closed above 10,000 yesterday, the other benchmark index of Indian markets, Sensex also reclaimed the 32,000 mark.
The IIP numbers for August and inflation figures for September are scheduled to be released tomorrow. The Head of Research at Geojit Financial Services, Vinod Nair said, “September CPI inflation is expected to surge to 3.52% from 3.36% while the rising crude oil price and volatility in rupee may limit RBI interference on the key rate.”
Just a day before that, the domestic financial institutions and retail investors seemed to build up their positions. Sensex was up more than 100 points after this interest in buying. The global cues were also looking strong and the positive leads from the other Asian markets further supported this rally.
Around 1.00 PM, things started to change. Both the Equity benchmarks Nifty and Sensex were off their day’s high. The main draggers were PSU banks, auto, metals and some technology stocks. As the clock ticked further, both the indices turned negative, with Nifty again going below the psychological 10,000-mark.
During the last trading hour, both the indices traded in red. The market breadth was decisively negative with only 456 shares advancing as against the 1,129 that were losing ground on BSE. Both Nifty Midcap and Smallcap lost more than 1%. The major losers in today’s trade were Indiabulls Housing SBI and BHEL. HPCL, Bharti Airtel and TCS came out as the top gainers today.
The second quarter earnings season will be kick-starting from tomorrow with IT heavyweight TCS coming out with its numbers. The markets are expected to take a definite direction once the major companies start posting their actual numbers.