Market

Closing Bell: Nifty ends below 12,000, Sensex 190 points lower post economic survey; IT, auto stocks drag

Updated : January 31, 2020 03:51 PM IST

Indian markets ended lower on Friday, dragged by metals, IT stocks, after the economic survey predicted FY20 GDP growth at 5 percent.

The BSE Sensex ended 190 points lower at 40,723, while the Nifty50 index fell 74 points to settle at 11,962.

Kotak Bank, SBI, IndusInd Bank, Bharti AIrtel, and Bajaj Auto were the top gainers on the Nifty index while, Tata Motors, ONGC, PowerGrid, UPL, and IOC led the losses.

Indian markets ended lower on Friday, dragged by metals, IT stocks, after the economic survey predicted FY20 GDP growth at 5 percent, slowest since the global financial crisis of 2008-09. Economic Survey 2020, tabled in the parliament today, projects economic growth at 6-6.5 percent in FY21, but warned it may have to miss its deficit target to revive growth.

The BSE Sensex ended 190 points lower at 40,723, while the Nifty50 index fell 74 points to settle at 11,962 dragged by metal, auto and IT stocks. Index heavyweights RIL, TCS, ICICI Bank, and HCL Tech contributed the most to the losses.

Growth fell to 4.5 percent in the July-September quarter. Consequently, the budget deficit may need to exceed this year’s target, 3.3 percent of gross domestic product, the government said in the economic survey. It also added that India would need to spend about $1.4 trillion in infrastructure in the next five years to expand the economy to $5 trillion from the current $2.8 trillion.

Meanwhile, broader markets were mixed for the day. While Nifty Midcap index shed 0.7 percent, Nifty Smallcap was flat.

Kotak Bank, SBI, IndusInd Bank, Bharti AIrtel, and Bajaj Auto were the top gainers on the Nifty index while, Tata Motors, ONGC, PowerGrid, UPL, and IOC led the losses.

Sectoral indices were mixed for the day. Nifty Metal fell the most, down 2 percent followed by Nifty IT, down 1 percent, Nifty Pharma and Nifty Auto also lost 1 percent each. Meanwhile, Nifty Bank and Nifty Realty were positive for the day, up 0.5 percent and 1 percent.

SBI rose over 2 percent after the lender reported a 41 percent rise in net profit in the third quarter of fiscal 2020 at Rs 5,583.36 crore as compared to Rs 3,954.81 crore in the same period last year. This is the biggest quarterly profit in at least 15 years of the bank, as asset quality improved and provisions for bad loans fell.

Closing Bell: Nifty ends below 12,000, Sensex 190 points lower post economic survey; IT, auto stocks drag

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