After hitting fresh record high in opening trade, Indian equities on Monday wiped out all their gains due to a fall in auto and banking stocks.

Benchmark indices were largely flat with Sensex at 40,196.64 points, and Nifty at 11,907.85 points.

Equity markets were higher for the seventh consecutive session boosted by continued buying interest from foreign investors. Gains in global equities amid optimism over US-China interim trade deal also improved sentiment. So far today, the Sensex has surged nearly 0.8% or 318 points while Nifty rose 0.83% or 98 points.

Foreign investors have bought over $1.56 billion in the last three sessions in domestic equities. In the year so far, the Sensex has risen 11%, while foreign investors have bought nearly $10.22 billion in Indian equities.

"Encouraging earnings announcements, coupled with upbeat global cues boosted sentiment. Buying was witnessed across the board and mostly sectoral indices ended with decent gains," said Ajit Mishra, vice president, Research, Religare Broking. "We feel (market) may see some consolidation after the recent rally. However, the bias would remain on the positive side. Considering the overall trend, we suggest continuing with “buy on dips" approach and focusing more on the stock selection," Mishra added.

Asian indices also rose on Monday taking positive cues from the strong close to US shares on Friday.

According to IIFL Securities, for today, Nifty is expected to test 12000 as positive cues and foreign buying may lead to more upside in large cap stocks.

Among auto stocks, Hero MotoCorp, Maruti Suzuki India, Bajaj Auto, Tata Motors Ltd and Mahindra & Mahindra fell 1-2%. Among banks, Indusind Bank, Axis Bank and HDFC Bank were down 0.5-1.2%.

Among laggards, BSE Auto fell 1.3%, followed by BSE Capital goods which was down 0.7%.

Among gainers, Infosys Ltd rose 4% after the company said it received no evidence that supports whistleblower complaints alleging the company’s top management were involved in unethical accounting practices.

Among metal stocks, Tata Steel and Vedanta rose 3.4% and 2.5% respectively on hopes of progress in US-China trade talks.

Metal index was the top performer among sectoral indices, gaining 2.8%, followed by Telecom and IT index which were up 2% and 1.3% respectively.

Subscribe to Mint Newsletters * Enter a valid email * Thank you for subscribing to our newsletter.

Share Via