Indian benchmark indices, Sensex and Nifty closed lower Tuesday as media, financials, and metal stocks dragged the indices. The concerns that the spread of the Delta variant of coronavirus could dampen global economic recovery weighed on investor sentiment.
The Sensex plunged 354 points to close at 52,198 and Nifty50 lost 120 points to settle at 15,632. Broader markets also succumbed to the selling pressure as both small-caps and mid-caps plunged nearly 1.5 percent. NSE advance-decline ratio improved to 1:3 from 1:6 seen on Monday.
"The market witnessed the continuation of correction for the second consecutive day after it failed to hold the support level near 15,650. 15,650 will be an important support level from a short-term perspective. If the market closes below 15,650, it might see the correction extend to the level of 15,500," Ashis Biswas, Head of Technical Research at CapitalVia Global Research Limited said.
"The technical indicator suggests a volatile movement in the market in a small range. As such the traders are advised to refrain from building a fresh buying position until the market sees further decisive movement," Biswas added.
On the Nifty50 index, Asian Paints, Ultra Cement, Hindustan Unilever, Maruti, and Grasim were the top gainers in a weak trading session. And Hindalco, IndusInd Bank, Tata Steel, NTPC, Bharti Airtel led the losses.
Of the indices, Nifty FMCG closed in the green and Nifty IT closed flat and other indices ended the day in the red. Nifty Media and Realty fell the most, losing 2.5 percent each, followed by Nifty Metal that lost 2.34 percent. Financial stocks lost 2 percent and Nifty Pharma lost 1.30 percent and Nifty Auto lost nearly 1 percent.
On the IPO front, the public offering of speciality chemical company Tatva Chintan Pharma Chem was subscribed 174.83 times at 15:35. It received bids for 57.02 crore equity shares against the IPO size of 32.61 lakh shares, according to data available on the exchanges till 15:35 pm.
First Published: IST