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Wednesday, 26 May 2021

Sensex opens on choppy note; Asian Paints, Bajaj Finserv among top laggards in pack

Mumbai: Equity benchmarks Sensex and Nifty opened on a choppy note on Thursday ahead of the expiry of monthly derivatives amid a largely weak trend in Asian markets.

After opening on a positive note, the 30-share BSE index slipped into red to trade 67.33 points or 0.13 percent lower at 50,950.19, and the broader NSE Nifty fell 11.20 points or 0.07 percent to 15,290.25.

Asian Paints was the top laggard in the Sensex pack, shedding over 1 percent, followed by Bajaj Finserv, Bajaj Finance, IndusInd Bank, HUL and Maruti.

On the other hand, Tech Mahindra, TCS, Titan and HCL Tech were among the gainers.

In the previous session, Sensex ended 379.99 points or 0.75 percent higher at 51,017.52, and Nifty climbed 93 points or 0.17 percent to finish at 15,301.45.

Foreign institutional investors (FIIs) were net buyers in the capital market as they purchased shares worth Rs 241.60 crore on Wednesday, as per provisional exchange data.

"Domestic equities look to be flat as of now. With the market cap of domestic equities crossing $3 trillion and market-cap to GDP over 110 percent, there is apprehension among investors about the sustainability of market rally," said Binod Modi Head-Strategy at Reliance Securities.

Further, traders said the market is choppy ahead of the expiry of monthly futures and options (F&O) contracts.

US equities recorded modest gains led by rebound in growth stocks as the recent retreat in bond yields brought investors’ focus back to growth stocks like technology, Modi stated.

Elsewhere in Asia, bourses in Hong Kong, Seoul and Tokyo were in the negative terrain in mid-session deals, while Shanghai was trading with gains.

Meanwhile, international oil benchmark Brent crude was trading 0.73 percent lower at $68.23 per barrel.



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