We had mentioned in Wednesday’s closing report that Nifty, Sensex were still on a short-term uptrend. The major indices of the Indian stock markets were range-bound on Thursday and closed with small losses over Wednesday’s close. NSE trading volumes were however high. The trends of the major indices in the course of Thursday’s trading are given in the table below:
Negative global markets, coupled with lower crude oil prices and a weak rupee, dented the equity markets during the mid-afternoon trade session on Thursday. Selling pressure was witnessed in automobile, banking and IT (information technology) stocks. The BSE market breadth was tilted in favour of the bulls -- with 1,366 advances and 1,506 declines. On the NSE, there were 658 advances, 960 declines and 255 unchanged.
Initially on Thursday, the benchmark indices opened on a higher note in sync with their Asian peers. However, the global markets, especially the European markets, remained subdued over speculation on curtailment of stimulus measures by the European Central Bank (ECB). Besides, caution prevailed ahead of key US macro-data on jobs to be released on Friday. In addition, lower crude oil prices, profit booking and consolidation added to the downward trajectory. The short-covering rallies earlier in the week have been halted by consolidation and caution ahead of key global event risks, pointed out market analysts.
Three public sector banks -- Indian Overseas Bank (IOB), Bank of India and Syndicate Bank -- on Wednesday announced reduction in their marginal cost of funds-based lending rate (MCLR) for various tenors. City-based IOB, in a statement issued here, said its MCLR for one year is reduced to 9.50% from 9.55% with effect from October 1. Similarly, Syndicate Bank said it has cut its MCLR for one year to 9.45% from 9.55% effective from October 7. On its part, Bank of India said its one year MCLR will be 9.35% effective from October 7. In this context, the bond market is not likely to be more attractive for stock market investors in the immediate context.
The top gainers and top losers of the major indices are given in the table below:
The closing values of the major Asian indices are given in the table below: