Sensex, Nifty fall for second straight session on weak global trends
Mumbai, (PTI): Equity benchmark indices Sensex and Nifty buckled under selling pressure for the second straight session on Thursday as a bearish trend in global markets amid escalating geopolitical uncertainties unnerved investors.
Besides, disappointing quarterly earnings numbers and revenue forecast from IT services company Wipro also weighed on investor sentiments, traders said.
Metal, energy and power stocks witnessed selling pressure while buying in auto and consumer durable counters capped the losses.
The 30-share BSE Sensex fell 247.78 points or 0.38 per cent to settle at 65,629.24 points. During the day, it plunged 533.52 points or 0.80 per cent to 65,343.50 points.
The Nifty declined 46.40 points or 0.24 per cent to 19,624.70 points.
"Amid increasing global political strain, US treasury yield, and underwhelming IT earnings, the domestic market continued to trade with a minor cut. However, some optimism was evident in the equity market given global efforts to stabilise the West Asia conflict, which deescalated the crude price trend.
"Auto sector stocks outperformed, driven by Q2 results outcome. Investors are closely monitoring the Q2 earnings season, US Fed chair speak and West Asia developments," said Vinod Nair, Head of Research at Geojit Financial Services.
Among the Sensex firms, Wipro fell nearly 3 per cent after the company reported an almost flat consolidated net profit at Rs 2,667.3 crore for the September quarter, trailing street expectations. It has also projected up to 3.5 per cent fall in revenue in the current quarter due to a weak global economic outlook and uncertain business environment.
NTPC, Tech Mahindra, JSW Steel, Bharti Airtel, Tata Steel, Tata Consultancy Services, ICICI Bank, Kotak Mahindra Bank and Reliance Industries were among the other major laggards.
"Markets remained vulnerable amidst simmering Middle-East geopolitical tensions. Pessimism still continues to run high amidst negative catalysts like deepening Israel-Palestine conflict, uninspiring Q2 from corporate India Inc. so far, the 10-year US Treasury yields spiking to 4.87 per cent, rising expectations of one more interest rate increase from the Fed, and anxiety ahead of Powell's speech later today," Prashanth Tapse, Senior VP (Research), Mehta Equities Ltd, said.
Nestle jumped nearly 4 per cent after the FMCG major reported an increase of 37.28 per cent in net profit at Rs 908.08 crore for the third quarter ended September 30, helped by a consistent performance almost across all major brands.
UltraTech Cement, IndusInd Bank, Larsen & Toubro and Axis Bank were among the gainers.
In the broader market, the BSE midcap gauge declined 0.08 per cent and smallcap index climbed 0.07 per cent.
Among the sectoral indices, metal fell 0.95 per cent, oil & gas (0.48 per cent), services (0.44 per cent) and teck (0.42 per cent).
Consumer Discretionary, FMCG, auto and consumer durables were the gainers.
"Global equities slid on Thursday as risk aversion prevailed due to mounting worries over Middle East conflict, while the bond sell-off intensified, taking Treasury yields to fresh 16-year highs ahead of a keenly awaited speech from Fed Chairman," said Deepak Jasani, Head of Retail Research, HDFC Securities.
In Asia, markets in Seoul, Tokyo, Shanghai and Hong Kong settled in the negative territory.
European markets were trading lower. The US markets ended lower on Wednesday.
Global oil benchmark Brent crude declined 1.99 per cent to USD 89.68 a barrel.
Foreign Institutional Investors (FIIs) offloaded equities worth Rs 1,831.84 crore on Wednesday, according to exchange data.
On Wednesday, the BSE benchmark plunged 551.07 points or 0.83 per cent to settle at 65,877.02 points while the Nifty declined 140.40 points or 0.71 per cent to 19,671.10 points.
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Fighting against Joshi's divisive tactics, oppression of Veerashaiva-Lingayats: Dingaleshwar Swami
Hubballi: Fakira Dingaleshwara Swami, the pontiff of the Shirahatti Mutt, who recently withdrew his nomination as an Independent candidate from the Dharwad constituency, has renewed his criticism of Union Minister Pralhad Joshi, accusing him of employing divisive tactics and oppressing the Veerashaiva-Lingayat community.
Addressing reporters in Hubballi on Saturday, the pontiff asserted his intention to challenge the BJP candidate, Joshi, whom he accuses of hindering the progress of Lingayats and Veerashaivas. Dingaleshwara Swami alleged that Joshi had thwarted the development of Dharwad despite representing the constituency for two decades. He questioned Joshi's track record in facilitating Central government appointments for locals and in allocating funds for Dharwad's development.
Accusing Joshi of pursuing a policy of divide-and-rule, Dingaleshwara Swami claimed that the BJP candidate regularly met with senior pontiffs to exert pressure on him. The pontiff warned Joshi against attempting to divide the mentor-disciple relationship between himself and the Shirahatti Mutt's senior pontiff, suggesting that such actions could lead to Joshi's marital separation. He also claimed to possess video evidence of Joshi's meetings with various pontiffs during the election period.
Critiquing Joshi's focus on the recent tragic incident involving Neha Hiremath in Hubballi, Dingaleshwara Swami accused him of exploiting the situation for political gain. The pontiff emphasized Joshi's alleged neglect of the backward classes and Lingayats throughout his tenure as MP.
Dingaleshwara Swami affirmed his desire for Joshi's defeat, citing significant cultural and social changes in Dharwad since Joshi assumed office. He also highlighted the alleged absence of government grants to mutts in the Dharwad constituency over the past 15 years.
