Stock markets today: The domestic equity benchmark indices settled lower for the second consecutive day on Friday, August 18, amid weak global cues and heavy selling in IT, pharma, and realty stocks. Inflationary worries from the US and demand concerns from China weighed on investor sentiment. Both indices slipped over 0.25 per cent.

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At close, the S&P BSE Sensex was down 202.36 points, or 0.31 per cent, at 64,948.66, and the NSE Nifty declined 55.10 points, or 0.28 per cent, at 19,310.15. 

In the broader market, the Nifty Mid Cap 100 and Small Cap 100 indices also slipped and closed in the red.

On the sectoral front, the Nifty Bank ended 0.09 per cent lower at 43,851.05.

"World equity markets, including India, are under the grip of a sharp rise in US bond yields, which has led to currency depreciation in China and other emerging markets. This has prompted investors to park their funds in safe-haven dollar securities by exiting risky equity assets. The consolidation phase in local markets could continue for some more time as worries over further interest rate hikes in the US and other key economies coupled with higher inflation and slowing growth in China would curb appetite for equity as an asset class in the near term," said Amol Athawale, Vice President - Technical Research, Kotak Securities.

"Technically, on daily and intraday charts, the Nifty is holding a lower top formation, and on weekly charts, it has formed a small bearish candle, which is largely negative. However, on the lower side, it is consistently taking support near the 50-day SMA, or 19250/64750 (simple moving average),"  the market expert said.

Athawale added that a fresh sell-off could be seen only after the dismissal of the 50-day SMA or 19,250 level, below which the index could slip to 19,200–19,100.

"On the flip side, 19,400 would act as a key resistance level for the bulls, and above the same, the index could rise to 19,450–19,500. In the case of the Bank Nifty, weak sentiment is likely to continue until the index is trading below 44,100. Below this, it could slip to 43,500–43,200. On the flip side, above 44,100, it could move up to 44,400–44,600," Athawale said further. 

NIFTY STOCKS 

Adani Enterprises, Adani Ports, Eicher Motors, Maruti Suzuki, and Britannia were the top gainers. On the flip side, Hero MotoCorp, Tech Mahindra, TCS, Hindalco, and Infosys were the biggest laggards.

BUZZING STOCKS

South Indian Bank ended over 6 per cent higher on the BSE after RBI approves the appointment of PR Seshadri as the lender's MD & CEO.

Finolex Cables closed over 3 per cent higher after Jefferies raised its target on the stock.

Metal stocks remained weak on concerns related to China; Hindalco was the top loser. IT stocks dragged the market following weak global cues; TCS and Infosys were down 2 per cent each.

Manappuram Finance was the top midcap loser, closing with 3 per cent cuts.

AU Small Finance Bank rose more than 2 per cent on a positive brokerage note.

GLOBAL MARKETS 

Global shares mostly slipped Friday as rising yields in the bond market on Wall Street set off expectations that high-interest rates would continue in the US France's CAC 40 declined 0.9 per cent in early trading to 7,126.02. Germany's DAX dipped 0.8 per cent to 15,553.22. Britain's FTSE 100 shed 0.8 per cent to 7,255.18. U.S. shares were set to drift lower, with Dow futures down 0.1 per cent at 34,503.00. S&P 500 futures fell nearly 0.1 per cent to 4,381.75.

(With agency inputs)

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