28 August,2024 10:15 AM IST | Mumbai | mid-day online correspondent
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Stock market benchmark indices turned flat after beginning the trade on a positive note on Wednesday amid profit-taking in line with weak trends in Asian peers.
The 30-share BSE Sensex climbed 128.81 points to 81,840.57 in early trade. The NSE Nifty went up by 30.4 points to 25,048.15.
However, soon both the benchmark indices faced profit-taking and were trading lower. The BSE benchmark traded 42.46 points lower at 81,682.57 while the Nifty quoted 21.60 points down at 24,996.15.
Among the 30 Sensex firms, Mahindra & Mahindra, Power Grid, Tata Motors, Titan, Sun Pharma, ITC and Reliance Industries were the biggest gainers.
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Bajaj Finserv, JSW Steel, Tata Steel, Tata Consultancy Services, HCL Technologies and Maruti were among the laggards.
In Asian markets, Seoul, Tokyo, Shanghai and Hong Kong were trading lower.
The US markets ended with marginal gains on Tuesday.
What experts said on stock market update
"The market has entered a consolidation phase with low volatility and this trend is likely to continue in the near-term. Falling bond yields in the US has restrained FII selling and they have even turned marginal buyers. Going by previous trends, DIIs are likely to sell if FIIs continue to buy. This trend will keep the market within a range with a slight upward bias. This is a desirable and healthy trend, given the elevated valuations in the market," V K Vijayakumar, Chief Investment Strategist, Geojit Financial Services, said while speaking on stock market update.
Foreign Institutional Investors (FIIs) bought equities worth Rs 1,503.76 crore on Tuesday, according to exchange data.
Domestic Institutional Investors (DIIs) offloaded equities worth Rs 604.08 crore.
Global oil benchmark Brent crude climbed 0.14 per cent to USD 79.66 a barrel.
After oscillating between highs and lows, the BSE benchmark eked out a marginal gain of 13.65 points or 0.02 per cent to settle at 81,711.76 on Tuesday. The NSE Nifty ended almost flat, up 7.15 points or 0.03 per cent, at 25,017.75 -- its ninth straight session of gains.
Rupee falls 2 paise to 83.95 against US dollar in early trade
Meanwhile, rupee depreciated 2 paise to 83.95 against the US dollar in morning trade on Wednesday, weighed down by a muted trend in domestic equities.
Forex traders said from a macroeconomic standpoint, the rupee's downside appears well-contained, with the 84-level acting as a crucial support, likely bolstered by expected RBI intervention to prevent further depreciation.
At the interbank foreign exchange market, the local unit opened at 83.94, then lost further ground and touched 83.95, registering a loss of 2 paise from its previous close.
On Tuesday, the rupee depreciated by 6 paise to close at 83.93 against the American currency.
According to CR Forex Advisors MD Amit Pabari the Reserve Bank's interventions not only seem to limit the rupee's downside but also cap its appreciation.
"This was evident earlier in the week when, despite significant dollar weakness, the rupee remained steady, unlike other emerging market currencies that experienced notable gains," Pabari said while speaking on stock market update.
The rupee is expected to trade within a narrow range in the near term, with an upside limit around 83.80 and solid support near 84.05, with a broader range of 83.60 to 84.05 in the medium term, Pabari added.
(With imnputs from PTI)
