Markets saw a correction today as caution over upcoming quarterly results along with worsening Sino-US trade war hit mood hard.Some amount of profit booking was also at play.The BSE Sensex closed down 176.27 points, or 0.52 per cent, at 33,891 while its NSE counterpart Nifty fell 52.45 points, or 0.51 per cent, at 10,198.Of the Sensex 30-stock pack, 12 scrips rose, but 18 fell.
IndusInd Bank turned the biggest loser, down 3.5 per cent, followed by Coal India, Reliance, Sun Pharma, PowerGrid and Tata Steel.
Infy was the leader, up 2.44%, followed by SBI, HUL, TCS, Tata Motors, and LT.On the Nifty, 29 stocks declined while 21 advanced.
Broader markets BSE Midcap and Smallcap indices beat the benchmarks, jumping 0.91 per cent and 0.94 per cent, respectively.
In BSE sectoral landscape, healthcare, Bankex, metal, power and oil gas all came down.
The oil and gas index was the worst hit.
What made markets stumble1.
Weak technical outlook: Technical experts expect 10,290 level to be the immediate resistance for the Nifty50 in the near future.
They were expecting weakness to resume if the index fails to break above the said level.
On Tuesday, the index hit a high of 10,285, giving the bulls a chance to regain ground.
2.
Europe a drag: Even as reports suggesting Chinese regulators pledging support to boost liquidity in mainland stock market helped Asian markets recoup losses by the end, trading in European shares was fairly tepid, which weighed on the domestic market.
Earlier, US stocks had settled lower in overnight trade on intensifying Sino-US trade fight.
3.
Heavy selling in RIL, private lenders: Owing to heavy selling, Reliance Industries fell by around 3 per cent, or 30.90 points, at 1,056.9 points.4.
Unabated FPI selloff: The net FPI outflows has almost doubled to Rs 25,2579.89 crore, signalling risk aversion.Expert-speakVinod Nair, Head of Research, Geojit Financial Services "Investors turned stock specific in the ongoing result season while maintaining a cautious view due to upcoming state elections.
Weak global cues and selling pressure in stocks that unveiled below expected results dragged the indices down.
Drop in oil prices will provide leeway to maintain support in the market while triggers like upcoming trade talks between the US and China give more cues to investors."