Homemarket Newsstocks News

Market erases gains to close flat, midcaps underperform

Market erases gains to close flat, midcaps underperform

Market erases gains to close flat, midcaps underperform
Profile image

By Sudarshan Kumar  Jul 13, 2018 4:02:18 PM IST (Updated)

Apart from Oil and Gas, IT and Capital Goods, all sectoral indices closed lower. FMCG was the biggest drag on Index with 15 points.

The Indian market failed to hold on to opening gains, with ITC, ICICI Bank and Axis Bank closing as the top losers on the Nifty. The Sensex slipped from its intra-day high of 36,740 to close with a fall of 7 points at 36,542 and the Nifty fell 4 points, but held  at 11,000 levels.

Recommended Articles

View All

The midcaps continued to underperform, with the Midcap index falling for the third day in a row to close 211 points lower at 18,263. The Nifty Bank index slipped 91 points to 26,936, dragged significantly by ICICI Bank and Axis Bank.
Apart from Oil and Gas, IT and Capital Goods, all sectoral indices closed lower. FMCG was the biggest drag on Index with 15 points.
Multiplex stocks also took a beating on the news of Maharashtra Govt allowing people to carry their own food items in theatres effective August 1. Maharashtra Food Minister, Ravindra Chavan said, “there is no ban in taking outside food inside multiplex and if any theatre is disallowing public to do so, it would be a punishable act. Govt is working out on a resolution and is expected to come out with it within six weeks.”
This announcement led to a big fall in leading multiplex stocks, PVR and Inox, with the stocks slipping 13% and 6% respectively.
The ongoing fall in crude impacts oil and gas affected stocks positively. All three oil marketing companies IOC, BPCL & HPCL closed with a gain up to 2%. Also, Fortis Health gained over 3% after the announcement of Malaysian co, IHH as the winning bidder.
In the futures market, Nifty 11,000 Put option saw an addition of nearly eight lakh shares in the open interest with premium slipping 10%.
Most Call options too saw a fall in premium, with major attraction coming in for Nifty 11,200 Call, which saw premium falling almost 10%. Nifty July Futures closed with a premium of 3 points against a premium of 7 points on Thursday.
On the global front, Asian shares closed higher, extending gains after Wall Street rebounded as technology stocks there touched all-time highs. There was also some relief coming from the lack of escalation in trade tensions between the US and China.
Japan led gains in the region, with the benchmark Nikkei 225 jumping 1.8%, or 409 points, to close at 22,597 as stocks extended Thursday's gains, with the yen weaker on the day. The services sector led broad gains on the index, with electric appliances and textiles sectors also rising more than 1%.
Among index heavyweights, Fast Retailing advanced 7% after posting robust earnings overnight while Fanuc gained 1.9%.  In Hong Kong, the Hang Seng Index edged higher by 0.2%. Mainland stocks finished the Friday session mixed, with the Shanghai composite slipping 0.2% to 2,832, but the Shenzhen composite adding 0.5%  to end at 1,604. Elsewhere, South Korea's Kospi climbed 1% to close at 2,311 as technology and banks notched gains.
Check out our in-depth Market Coverage, Business News & get real-time Stock Market Updates on CNBC-TV18. Also, Watch our channels CNBC-TV18, CNBC Awaaz and CNBC Bajar Live on-the-go!