The markets are trading near the day's lows as global sentiments turned negative. Asian stocks closed lower, after Moody's downgraded Japan's credit ratings, and European indices slipped after a positive start. At 1330 hours, the Sensex was down 152 points to 16,345 and the Nifty was trading 45 points lower at 4,903.
Most analysts maintained that short term outlook was negative but valuations were attractive from a long term perspective. Prabhat Awasthi, MD & Head of Equities Research at Nomura India said valuations are attractive compared to long term averages, and over a 12 months period, investors would be better off if they bought at these levels.
Barring defensives such as FMCG and consumer durables, all sectoral indices were down, led by auto stocks that fell over 1.5 per cent. Metals, banking and IT stocks also saw selling pressure.
IT stocks saw profit booking after Tuesday's gains. TCS was down over 1.5 per cent. Wipro and Infosys were also trading lower. Reliance Industries was down over 0.5 per cent.
On the Sensex, Hindalco, HUL, Sterlite, DLF and ONGC were the only stocks to advance. Maruti and Tata Power were down over 4 per cent. JSPL, Tata Motors, Tata Steel, Coal India and SBI were the other big losers, falling over 2 per cent.
The market breadth was weak with 49 per cent advances on the BSE 500 index.
No comments:
Post a Comment