Indian market closed largely lower on Tuesday, but market breadth remained in favour of advances as the midcap index outperformed to close the session with a gain of 116 points at 16,866. The Sensex and Nifty failed to build on Monday’s gains with banking heavyweights of ICICI Bank, HDFC Bank and other largecap stocks such as Reliance and ITC coming under pressure. The Nifty ended with a fall of 53 points to settle below 10,200. The 30-stock BSE frontline index, the Sensex slipped 176 points to 33,891.
Bank shares played a major role in Tuesday’s dip with its headline index, Nifty Bank slipping 152 points to 24,808. HDFC Bank, IndusInd Bank, Kotak Mahindra Bank and ICICI Bank were top losers, while the country’s largest public sector bank, the State Bank of India, lent support of 49 points.
On the earnings front, Maharashtra-based public sector lender, Bank Of Maharashtra returned to the black on account of tax write-back and improved asset quality. Loan growth too was higher at 9.3 percent on a sequential basis. The Gujarat-based Dena Bank, which will be merged with Bank Of Baroda in a few quarters, however, reported net loss for consecutive 12 quarters.
From the FMCG space, Emami posted earnings in-line with estimates with profit coming in at Rs 82.7 crore against Rs 78 crore estimate and volume declining 4 percent against the poll of 3-5 percent decline.
Tech Mahindra that reported earnings post market close, saw profit coming in at Rs 1,064 crore against the poll of Rs 1,041 crore and margin coming in 100 basis points higher at 15.3 percent.
In the futures market, Nifty 10,300 Call option added 5.6 lakh shares in the open interest with premium slipping 11 percent and Nifty 10,000 Put option added 3.6 lakh shares in the open interest with premium moving 12 percent higher. Nifty November Futures closed with a premium of 27 points against a premium of 33 points on Monday.
Stocks in Asia were mostly positive on Tuesday as mainland Chinese stocks saw a rebound following supportive comments from a regulator. The Shanghai composite rose 1.02 percent to close at around 2,568.05, while the Shenzhen composite advanced 0.9 percent to finish at about 1,276.45 after a negative start to the day’s trading session.
The moves in mainland Chinese stocks came after the country’s securities regulator said it would improve market liquidity and guide more long-term capital into the market. Hong Kong’s Hang Seng index slipped 0.9 percent.
In Japan, the Nikkei 225 gained 1.45 percent to close at 21,457.29 while the Topix index advanced 1.38 percent to 1,611.46 by the closing bell. That followed positive news on Japan’s economic front: Government data showed that the seasonally adjusted unemployment rate fell to 2.3 percent in September from 2.4 percent in August.
Down Under, the benchmark ASX 200 recovered to close 1.34 percent higher at 5,805.1, with most sectors seeing gains. Energy stocks rose 0.83 percent and materials advanced 1.22 percent.South Korea’s Kospi, meanwhile, rose 0.93 percent to close at 2,014.69 following a statement from the country’s financial authorities calling for measures to stabilize the markets. Shares of Samsung Electronics and SK Hynix also jumped 2.29 and 2.1 percent, respectively.