Sensex, Nifty end flat ahead of F&O expiry, Union Budget and US Fed policy outcome

Mumbai: Equity benchmarks Sensex and Nifty on Wednesday ended flat as cautious investors refrained from taking any bets ahead of January derivatives expiry, US Fed policy outcome and upcoming Union Budget. The BSE Sensex ended marginally lower by 1.25 points and the NSE Nifty closed with a negligible loss of 0.4 points. Heavyweights ICICI Bank and Tata Steel – both rising over 5 percent – saved the day for the Sensex. Also, the mixed trading pattern in global shares as US-China trade talks kicked off earlier in the day made domestic investors even more cautious. After opening over 200 points higher, the 30-share Sensex swung 359 points to finally settle 1.25 points lower at 35,591.25. Similarly, the broader NSE Nifty ended 0.40 points down at 10,651.80. [caption id=“attachment_4418263” align=“alignleft” width=“380”] Representational image. Reuters[/caption] Sectorally, metal and banking stocks rallied the most, while FMCG and realty stocks came under selling pressure. Broader indices, however, outperformed benchmark indices with BSE Smallcap index jumping 0.78 percent and BSE Midcap index rising 0.22 percent. On a net basis, foreign portfolio investors (FPIs) sold shares worth a net of Rs 354.36 crore Tuesday, while domestic institutional investors (DIIs) were net buyers to the tune of Rs 81.27 crore, provisional data available with BSE showed. Global investor sentiment was mixed as American and Chinese negotiators started two days of high-level talks aimed at settling a six-month trade war that has weakened both sides, shaken financial markets and clouded the outlook for the global economy, experts said. Domestic investors turned cautious ahead of futures and options expiry of January series contracts and the upcoming interim budget, to be held on Friday. Market is also awaiting the outcome of the US Federal Reserve’s meeting later in the day, they added. Among the Sensex pack, ICICI Bank was the top gainer, rallying 6.05 percent, ahead of its quarterly earnings scheduled for release later in the day. Shares of Tata Steel soared 5.14 percent after S&P Global Ratings said the company’s plan to sell a majority stake in its Southeast Asia business will help the company reduce debt by about 3 percent without impacting its business position. Axis Bank shares also jumped 4.56 percent after the third largest private sector lender Axis Bank reported a 131 percent surge in net income for the December quarter. Other gainers include HCL Tech, Bajaj Finance, SBI, L&T, Coal India and Vedanta, gaining up to 2.82 percent. On the other hand, Bajaj Auto, Kotak Bank, HDFC, Yes Bank, Sun Pharma, Bharti Airtel, ITC, RIL, HDFC Bank, HUL, ONGC and Sun Pharma were the top losers, shedding up to 2.65 percent. Elsewhere in Asia, Hong Kong’s Hang Seng rose 0.40 percent and Korea’s Kospi surged 1.05 percent; while Shanghai Composite Index shed 0.07 percent and Japan’s Nikkei slipped 0.52 percent. In the eurozone, Frankfurt’s DAX slipped 0.21 percent, while Paris CAC 40 rose 0.53 percent in late morning deals. While, London’s FTSE jumped 0.94 percent. The Indian rupee, meanwhile, depreciated marginally against US dollar at 71.15. The benchmark Brent crude futures rose 0.16 percent to $61.30 per barrel.     To keep watching India’s No. 1 English Business News Channel – CNBC-TV18, call your Cable or DTH Operator and ask for the Colors Family Pack (inclusive of 24 channels), available for Rs. 35/- per month, or subscribe to the channel for Rs. 4/- per day. To keep watching the Leader in Global Market & Business News – CNBC-TV18 Prime HD, call your Cable or DTH Operator and ask for the Colors Family HD Pack (inclusive of 25 channels), available for Rs. 50/- per month, or subscribe to the channel for Rs. 1/- per day.