Sensex Today: The key benchmark indices drifted a wee bit lower after starting Monday’s trading session on a quiet note.
The S&P BSE Sensex was down 80-odd points at 65,720, while the NSE Nifty50 was seen holding the 19,700-level.
IT shares were seen holding steady gains, HCL Technologies up over 1 per cent was the top mover among the Sensex 30. TCS and Infosys were up 0.4 per cent each. That apart, NTPC, SBI, Tata Motors and Tech Mahindra were the notable gianers.
On the other hand, Axis Bank was down nearly 1 per cent. Larsen & Toubro, Mahindra & Mahindra, Asian Paints and Nestle were the other prominent losers, down over 0.5 per cent.
The broader indices, however, were quoting with modest gains. The BSE MidCap index was up 0.3 per cent, while the SmallCap added 0.6 per cent.
Dr. V K Vijayakumar, Chief Investment Strategist at Geojit Financial Services, said: “The ongoing rally in the mother market US triggered by declining bond yields makes the market construct slightly favourable for the continuation of the rally in India, too. Like in cricket, there will be occasional set backs, but it is the long-term trend that matters in the market. Clearly, this is a buy on the dips market. Retail investor exuberance is pushing up the broader market. Investors should not be blinded by the recency bias and chase small caps running away without fundamental support. In spite of recent underperformance, safety is now in large caps. Since FIIs turned buyers in the cash market on two days recently, they are unlikely to sell big and may again buy on favourable developments. There is momentum in large-cap IT stocks. The expectation that US will not tip into a sharp recession has improved the prospects for IT. Autos, telecom, capital goods and construction-related segments are likely to remain resilient. Banking stocks bouncing back is only a matter of time."
Location: New Delhi, India