The market ended in the red for the third day in a row as investors turned cautious ahead of release of key macro-economic data.
While the Sensex fell 241.41 points or 0.66 per cent to settle at 36,153.62, the Nifty 50 shed 57.40 points or 0.53 per cent to settle at 10,831.40.
Metal shares bucked weak market trend while most IT stocks declined.
The market breadth was negative as 1057 shares rose and 1476 shares fell. Selling in the broader market continued with both the Mid Cap and Small Cap indices falling close to 0.5 per cent.
Metal stocks were in the limelight with Jindal Steel & Power (9.84 per cent), Steel Authority of India (5.47 per cent), Hindustan Copper (5.06 per cent), JSW Steel (4.19 per cent), Tata Steel (1.57 per cent), NMDC (0.80 per cent), Vedanta (0.53 per cent) and Hindustan Zinc (0.40 per cent), edged higher. National Aluminium Company fell 3.70 per cent.
Selling was seen in IT, telecom, real estate stocks. Most IT stocks ended lower. MindTree (1.84 per cent), Infosys (1.47 per cent), HCL Technologies (1.4 per cent), TCS (0.72 per cent), Tech Mahindra (0.42 per cent) and Persistent Systems (0.12 per cent), edged lower.
According to analysts, as there are no major domestic and global triggers, selling pressure could continue in the coming sessions. Near-term investors should remain cautious. The focus of investors is likely to be on the last leg of Q3FY19 earnings season. The market will closely monitor the progress of trade talks between US-China, behaviour of crude oil prices and fluctuation in currency as it will further induce volatility in the markets, analysts said.
Market View
Jayant Manglik, president, Religare Broking, said, “We would advise the investors to stay focused on selective blue chip companies. However, considering the near term uncertainty, traders should strictly hedge their leveraged positions.
Vinod Nair, head of research, Geojit Financial Services, said, “The lack of positive triggers is impacting the sentiments of domestic equity market. India is underperforming in spite of improvement in the global market and appreciation in INR. Inflows have reduced this month due to muted Q3 results and outcome of general election.”
