MUMBAI: Benchmark indices Sensex and Nifty ended lower on Wednesday as escalating tensions in the Middle East and caution ahead of the US Federal Reserve’s interest rate decision dampened investor sentiment.
The 30-share BSE Sensex fell 138.64 points or 0.17 per cent to close at 81,444.66.
After a weak start, sensex rose to a high of 81,858.97 in morning trade before losing ground. It touched a low of 81,237.01, down 346.29 points or 0.42 per cent from the day’s high.
The 50-share NSE Nifty declined 41.35 points or 0.17 per cent to settle at 24,812.05, marking its second straight session of losses.
Among Sensex constituents, Tata Consultancy Services, Adani Ports, Hindustan Unilever, Nestle, Bajaj Finserv and NTPC were among the top losers. IndusInd Bank, Titan, Mahindra & Mahindra and Maruti emerged as gainers.
The domestic market failed to maintain the opening gains as the continuing tensions in the Middle East and volatility in oil prices dragged overall sentiment.
“Aauto and consumer discretionary stocks gained on expectations of a demand revival,” said Vinod Nair, Head of Research at Geojit Financial Services.
Tensions escalate
Tensions escalated after Israeli warplanes struck targets in Iran’s capital overnight, while Iran responded with a limited missile barrage toward Israel. No casualties were reported.
Foreign Institutional Investors (FIIs) bought equities worth Rs1,482.77 crore on Tuesday, as per exchange data. Domestic Institutional Investors (DIIs) were net buyers to the tune of Rs8,207.19 crore.
Across Asia, South Korea’s Kospi, Japan’s Nikkei 225 and Shanghai’s SSE Composite closed higher, while Hong Kong’s Hang Seng ended in the red. European markets traded in positive territory, while US markets had closed lower on Tuesday.
Global oil benchmark Brent crude fell 1.35 per cent to $75.42 a barrel.
On Tuesday, the Sensex had declined 212.85 points or 0.26 per cent to settle at 81,583.30. The Nifty had dropped 93.10 points or 0.37 per cent to 24,853.40.
