Mumbai (Maharashtra) [India], September 28 (ANI): Indian equity benchmarks opened lower on Monday, with the Nifty 50 slipping below the crucial 23,000 level as rising crude prices, pressure on the rupee and higher global bond yields weighed on sentiment.
The market is also heading into the month-end expiry of the Nifty and Bank Nifty contracts on Tuesday, adding to expectations of volatility.
At the time of reporting, the Nifty 50 was down 215 points, or 0.93 per cent, at 22,925.50, while the BSE Sensex fell 665.36 points, or 0.90 per cent, to 73,230.38. The Nifty had opened at 23,064.90 and touched an early high of 23,080.25 before slipping to a low of 22,914.10.
Brent crude was trading at USD 106.58 a barrel, up 2.17 per cent, while gold was down 2.09 per cent at USD 4,195.30.
Market expert Ajay Bagga said oil, the US 10-year Treasury yield and the currency would remain key factors for the market this week.
“With oil on the boil, the rupee under pressure and global bond yields rising, Indian markets are facing multiple challenges. With the month-end expiry of the Nifty and Bank Nifty slated for Tuesday, expect volatility,” Bagga said.
He added that domestic money was absorbing foreign selling, but heavy supply from the primary market was limiting the scope for a broader rally.
Hemang Gor, Senior Research Analyst – Derivatives & Technical Research at Axis Direct, said the market’s bias remained cautious. “Technically, the bias is neutral-to-cautious, and the undertone stays subdued as long as the index trades below 23,300,” Gor said.
Among sectors, Nifty Private Bank fell 1.02 per cent, PSU Bank 0.95 per cent, Financial Services 0.93 per cent, Metal 0.93 per cent and FMCG 0.89 per cent. Nifty IT was the only sector shown in positive territory, rising 0.05 per cent.
Among Nifty stocks, Dr Reddy’s Laboratories, TCS and SBI Life were among the early gainers, while Hindalco, Max Healthcare and Adani Enterprises were among the top losers at the time of reporting.
As Nifty breached the 23,000 mark, market analyst Vipin Dixena said that, “Below that, I would watch 22,800–22,700. On the upside, 23,300 is the first hurdle, followed by 23,500.” (ANI)
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