file. , Photo credit: The Hindu
Benchmark equity indices Sensex and Nifty pared early gains of over half a per cent on February 20, paring losses in oil and gas and banking stocks on concerns of a further hike in interest rates.
Falling for the second consecutive session, the BSE Sensex closed at 60,691.54, down 311.03 points or 0.51%. The index opened at 61,112.84 and climbed nearly 290 points to hit the day’s high of 61,290.19.
However, selling in index majors Reliance Industries, HDFC twins, ICICI Bank Maruti and Kotak Bank dragged the barometer to a low of 60,607.02.
The NSE Nifty closed 99.60 points, or 0.56%, down at 17,844.60 as 30 of its components declined while 20 advanced.
From the Sensex pack, Maruti, HDFC, Kotak Mahindra Bank, Axis Bank, Bajaj Finance, Reliance Industries, Nestle and ICICI Bank were the major laggards.
UltraTech Cement, Tech Mahindra, Power Grid, Infosys, Tata Motors, HCL Technologies, Mahindra & Mahindra and Bharti Airtel were major winners.
“Stocks are getting beaten up ahead of the Fed minutes release on Wednesday. The Fed is expected to remain dovish, while keeping its guard up against inflation. As expected, it is unlikely to have a serious impact on the global stock market.
Vinod Nair, Head of Research, Geojit Financial Services, said, “However, with demand and earnings outlook slowing due to persistently high interest rates, the near-term trend will remain cautious.”
In Asian markets, Japan, South Korea, Hong Kong and China ended in the positive zone.
European markets were trading with a fall. US markets closed on a mixed note on Friday.
International oil benchmark Brent crude climbed 0.95% to $83.79 a barrel.
Foreign portfolio investors (FPIs) sold shares worth Rs 624.61 crore on Friday, according to exchange data.