Equity benchmark indices climbed in early trade on July 6 amid unabated foreign fund inflows but later faced volatile trends after a record-breaking rally in the past few trading sessions.
| Photo Credit: PTI
Equity benchmark indices climbed in early trade on July 6 amid unabated foreign fund inflows but later faced volatile trends after a record-breaking rally in the past few trading sessions.
Investors preferred to stay cautious amid weak global market trends and record rally in equities.
The 30-share BSE Sensex climbed 54.09 points to 65,500.13 in early trade. The NSE Nifty went up by 21.15 points to 19,419.65.
Later, both the benchmark indices faced volatile trends and were trading marginally higher.
From the Sensex pack, Nestle, Power Grid, Reliance Industries, Tata Motors, UltraTech Cement, Larsen & Toubro, Kotak Mahindra Bank and Wipro were among the biggest gainers.
IndusInd Bank, Tata Steel, Bajaj Finance, Maruti, HCL Technologies and Hindustan Unilever were among the laggards.
In Asian markets, Seoul, Tokyo, Shanghai and Hong Kong were trading lower.
The U.S. markets ended in the negative territory on Wednesday.
Global oil benchmark Brent crude dipped 0.21% to $76.49 a barrel.
“Negative sentiment across the global equities could see local benchmarks struggle in early July 6 trade, with profit-taking likely to continue after yesterday’s Federal Open Market Committee (FOMC) minutes meeting hinted that another rate hike in July is on the table.
“Other factors that could weigh on sentiment are US-China tensions, drop in industrial activity in China in June, and overbought technical conditions back home,” Prashanth Tapse, Senior VP (Research) at Mehta Equities Ltd, said.
Foreign Institutional Investors (FIIs) continued their buying activity as they bought equities worth Rs 1,603.15 crore on Wednesday, according to exchange data.
“U.S. stocks ended lower on Wednesday with the S&P 500 snapping a three-day winning streak after the minutes of the Federal Reserve’s last policy meeting showed almost all participants expected additional interest-rate increases after unanimously deciding to leave rates unchanged in June,” Deepak Jasani, Head of Retail Research at HDFC securities, said.
The BSE benchmark had dipped 33.01 points or 0.05% to settle at 65,446.04 on July 5 after a record-breaking rally. The Nifty eked out marginal gains of 9.50 points or 0.05% to end at its fresh record high of 19,398.50.
For all the latest business News Click Here
