Equities close in red as investors book profits

Mumbai, Oct 5 (IANS) Breaking a four-day gaining streak, key Indian equity indices -- the BSE Sensex and the NSE Nifty50 -- closed with marginal losses on Thursday as investors booked profits in banking, and oil and gas stocks.

The wider Nifty50 of the National Stock Exchange (NSE) closed below the psychologically important 9,900-mark. It fell by 26.20 points, or 0.26 per cent, to 9,888.70 points.

The 30-scrip Sensitive Index (Sensex) of the BSE closed at 31,592.03 points -- down 79.68 points, or 0.25 per cent, from its previous close.

However, the BSE market breadth was bullish -- 1,498 advances and 1,157 declines.

"After showing an upside bounce in the last four sessions, Nifty slipped into minor decline today due to profit taking and closed the day lower by 26 points. Today's minor decline has not damaged the market breadth, which has closed on positive note on both the exchanges," Deepak Jasani, Head - Retail Research, HDFC Securities, told IANS.

"Major Asian markets ended on a positive note, barring the Jakarta Composite. European indices traded with mixed trend. While the DAX and CAC 40 traded lower, FTSE 100 traded higher," he added.

The broader markets, on the other hand, outperformed the benchmark index. The S&P BSE mid-cap index rose by 0.49 per cent, and the small-cap index gained 0.79 per cent.

Vinod Nair, Head of Research, Geojit Financial Services, said: "Market traded range-bound with a negative bias due to lack of optimism to the upcoming earnings season."

"However, some positive development in auto sales numbers, core sector growth and festival demand will add some light over the consolidation phase," Nair added.

On the currency front, the rupee weakened by 13 paise to close at 65.14-15 against the US dollar from its previous close at 65.01-02.

"Shares slipped on Thursday after four straight sessions of gains as investors booked profits in oil refiners amid a lack of fresh triggers after the central bank kept rates unchanged in a move that was widely expected," said Dhruv Desai, Director and Chief Operating Officer of Tradebulls.

"The RBI held its policy rate steady near seven-year lows on Wednesday after inflation surged, but looked to prop up the cooling economy by spurring banks into lending more," Desai told IANS.

Sector-wise, the S&P BSE oil and gas index slipped by 84.59 points, followed by banking index by 84.04 points and consumer durables index by 71.50 points.

On the other hand, the S&P BSE healthcare index was up by 47.93 points, metal index by 40.37 points and basic materials index by 29.77 points.

Major Sensex gainers on Thursday were: NTPC, up 1.79 per cent at Rs 170.80; Coal India, up 1.11 per cent at Rs 273; Mahindra and Mahindra, up 0.85 per cent at Rs 1,300; Reliance Industries, up 0.61 per cent at Rs 824.20; and Tata Motors (DVR), up 0.61 per cent at Rs 241.10.

Major Sensex losers were: Power Grid, down 1.99 per cent at Rs 204.85; ICICI Bank, down 1.54 per cent at Rs 271.75; Hero MotoCorp, down 0.97 per cent at Rs 3,757.20; Bajaj Auto, down 0.94 per cent at Rs 3,139.80; and Axis Bank, down 0.82 per cent at Rs 501.15.