Benchmark equity market indices Sensex and Nifty finished nearly one per cent lower on Monday weighed by weakness in index contributors such as Reliance Industries, HDFC Bank, Kotak Mahindra Bank, TCS and Axis Bank. "Indian markets opened in green following positive global markets in Asia but soon lost the steam as the day progressed led by mixed results by major corporates like Reliance Industries, TCS, HCLTech, HDFC Bank last weekend," Narendra Solanki, Head of Fundamental Research- Investment Services, Anand Rathi Shares and Stock Brokers said. S&P BSE Sensex ended 416 points or 0.99 per cent lower at 41,528.91 points, while NSE’s Nifty 50 index settled at 12,230.75, down 121.60 points or 0.98 per cent.
"As expected market has approached a consolidation phase due to mildly subdued Q3 results in banking and heavyweights. It is fair to expect this mild consolidation to continue in the short-term after the solid performance of the last one-month with fantastic gains in mid & small caps. For further direction a lot will depend on the actual budget announcements & broader performance in Q3 result showing gain across the economy, " Vinod Nair, Head of Research, Geojit Financial Services said.
The shares of Kotak Mahindra Bank slipped as low as 5.11 per cent to hit an intraday low of Rs 1610.95 apiece on BSE. It ended 4.76 per cent lower at Rs 1616.95 points. Along with Kotak Bank, Reliance Industries, NTPC, TCS, HCL Tech, HDFC Bank, Axis Bank were the top laggards in the Sensex pack.
"Adding to the disappointment, the weaker European markets in the afternoon session failed to provide any boost. Also, with the budget day coming near the markets have become more sensitive in terms of reaction," Narendra Solanki said. Barring Nifty FMCG and Nifty Realty, all the Nift sectoral indices settled in the red. The Nifty Bank index was down 1.56 per cent, dragged by Kotak Bank, RBL Bank, Bank of Baroda and Punjab National Bank. On the sectoral front, Media, Banks and Financials led the market fall followed by Metals, Pharma, etc while FMCG and Realty were the only indices managed to marginally end in green," he said.
In the broader market, the S&P BSE MidCap index lost 90.11 points or 0.57 per cent to end at 15,618.86, while S&P BSE SmallCap settled at 14,651 points, down 57 points or 0.39 per cent.