Q2 Results, NPAs Drag Equity Markets Lower  

The market barometer 30-scrip Sensex closed at 27,836.51 points down 254.91 points or 0.91 per cent from the previous close at 28,091.42 points. The wider 51-scrip Nifty edged lower by 76.05 points or 0.88 per cent to close at 8,615.25 points. - Sakshi Post

Mumbai: Disappointing quarterly earning results combined with caution over the rise in non-performing assets (NPAs) of the banking sector and negative global cues dragged the Indian equity markets lower on Wednesday. Besides, lower global crude oil prices and anxiety over the upcoming F&O (futures and options) expiry dented investors' sentiments. Financial stocks were the biggest contributors to the market decline.

The wider 51-scrip Nifty edged lower by 76.05 points or 0.88 per cent to close at 8,615.25 points. The market barometer 30-scrip Sensex closed at 27,836.51 points down 254.91 points or 0.91 per cent from the previous close at 28,091.42 points.

Opened at 28,050.55 points, Sensex touched a high of 28,050.55 points and a low of 27,759.56 points during the intra-day trade. The BSE market breadth was firmly in favour of the bears with 1,586 declines and 1,184 advances.

On Tuesday, the equity markets closed in the red due to a massive outflow of foreign funds and profit booking. The barometer index had receded by 87.66 points or 0.31 per cent to 28,091.42 points, while the NSE Nifty inched lower by 17.65 points or 0.20 per cent to 8,691.30 points.

Tata group stocks such as Tata Motors, Tata Steel and TCS all continued to reel and registered further losses by up to 4.27 per cent. It's estimated that the total loss in market capitalization of Tata Group companies would be Rs17,000 crore in the past two days since the board of directors remoived Cyrus Mistry from Chairmanship on Tuesday. TCS mcap dipped by Rs7,788 crore, Tata Motors suffer Rs6,100cr, Tata Steel Rs1,431cr, Titan Rs906cr and Tata Power lost Rs607crore.

Rupee Gains 3 Paise

Gaining for the third day, the rupee appreciated by a modest three paise to 66.79 against the US dollar on Wednesday on continued selling of the American currency by banks and exporters. Forex dealers said that besides sustained selling of the greenback by banks and exporters, the dollar's weakness against other currencies overseas led to the rupee upmove at the inter-bank foreign exchange. However, a markedly sluggish trend in early trade in the domestic equity market kept the gains on a tight leash. The local currency had gained three paise to close at 66.82 on Tuesday.

Source: IANS / PTI

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