Stock markets close lower for 2nd day; Sensex down 239 pts as ITC tanks over 3 pc
Mumbai, May 28 (PTI): Stock markets declined for the second straight day on Wednesday with benchmark Sensex falling by 239 points dragged by losses in FMCG major ITC.
The 30-share BSE barometer declined 239.31 points or 0.29 per cent to settle at 81,312.32. During the day, it lost 307.61 points or 0.37 per cent to 81,244.02.
The 50-issue NSE Nifty dropped 73.75 points or 0.30 per cent to close at 24,752.45.
Analysts said the key indices remained largely range-bound ahead of the monthly expiry on Thursday and the release of GDP and industrial production data. FMCG, auto, and pharma shares declined while banking, mainly PSUs, media and energy shares advanced.
Among Sensex stocks, ITC fell over 3 per cent after British multinational BAT trimmed its ownership in the conglomerate by divesting a 2.5 per cent stake for Rs 12,927 crore (USD 1.51 billion) through a block deal.
IndusInd Bank, Nestle, UltraTech Cement, Mahindra & Mahindra, Power Grid, Asian Paints, Sun Pharma and Tech Mahindra were also among the laggards.
Bajaj Finance, Bharti Airtel, ICICI Bank, Adani Ports and HCL Tech were among the gainers.
"The domestic indices remained rangebound with a negative bias, primarily due to the lack of support from FIIs and prevailing premium valuations. A lingering concern over India-US trade relations following the end of the 90-day pause period continues to pose an external risk," Vinod Nair, Head of Research, Geojit Investments Limited, said.
The BSE smallcap gauge climbed 0.50 per cent while midcap index dipped 0.22 per cent.
Among sectoral indices, FMCG dropped the most by 1.33 per cent, followed by metal (0.69 per cent), auto (0.67 per cent), consumer durables (0.58 per cent), commodities (0.52 per cent) and consumer discretionary (0.51 per cent).
Financial Services, industrials, telecommunication, bankex, capital goods, services and teck were the gainers.
"Markets were extremely range-bound with a negative bias as weak European cues and domestic monthly F&O expiry on Thursday prompted investors to trim their holdings. The minutes of the US FOMC (Federal Open Market Committee) meeting held in early May will provide some hint to the markets on the direction of the interest rates going ahead," Prashanth Tapse, Senior VP (Research), Mehta Equities Ltd, said.
Ajit Mishra – SVP, Research, Religare Broking Ltd said that despite stable global cues and favourable domestic factors, the market is being weighed down by inconsistent FII inflows, which is reflected in the recent increase in volatility.
In Asian markets, South Korea's Kospi settled in the positive territory while Japan's Nikkei 225 index, Shanghai's SSE Composite index and Hong Kong's Hang Seng ended lower.
Markets in Europe were trading lower.
US markets ended sharply higher on Tuesday. Nasdaq Composite jumped 2.47 per cent, S&P 500 surged 2.05 per cent and Dow Jones Industrial Average climbed 1.78 per cent.
Foreign Institutional Investors (FIIs) bought equities worth Rs 348.45 crore on Tuesday, according to exchange data.
Global oil benchmark Brent crude climbed 0.69 per cent to USD 64.57 a barrel.
On Tuesday, the BSE Sensex dropped 624.82 points or 0.76 per cent to settle at 81,551.63. The Nifty declined 174.95 points or 0.70 per cent to 24,826.20.
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Veteran Tamil film producer Rajan dies after jumping into Adyar River
Chennai (PTI): Veteran Tamil film producer K Rajan died after jumping into the Adyar River in the city on Sunday, police said.
Police said it appears to be a case of suicide, though the reason for his extreme step was not immediately known.
The 85-year-old film personality asked his driver to stop the car while crossing the Adyar bridge and suddenly got out and jumped into the river, police sources said.
The driver immediately alerted Fire and Rescue Services personnel, who reached the spot, recovered the body, and sent it for post-mortem.
Police have registered a case, and further investigation is underway.
Rajan entered the Tamil film industry as a producer in the early 1980s. Apart from producing films, he also directed a few movies.
He also served as president of a film distributors’ association.
Top leaders of political parties, including the two Dravidian majors—the DMK and AIADMK—expressed shock and grief over his death and conveyed their condolences to the bereaved family.
Former Chief Minister and DMK President M K Stalin said Rajan had always boldly raised his voice for the welfare of small film producers and the overall development of the film industry.
“He had always urged that Tamil films be titled in Tamil,” Stalin said in a statement, adding that Rajan consistently fought for the rights of ordinary workers in the film industry.
AIADMK general secretary and former Chief Minister Edappadi K Palaniswami said Rajan’s voice was important in securing recognition for small-budget films in the Tamil film industry.
Among others who condoled his death was PMK founder S Ramadoss. Leaders from various parties also expressed their condolences to the bereaved family.
“This is terrible news. Deeply shocked to hear about the demise of our beloved member of the film fraternity, producer K Rajan sir,” actor and BJP leader Khushbu Sundar said in a post on social media platform X.
“He was a very respectful person and someone who never hesitated to call a spade a spade. This is very upsetting. May his soul rest in peace,” she added.
