Despite the Left’s announcement of withdrawal of support to the UPA, the markets recovered some losses of the early trade, but closed in the red on weak global cues. The Sensex ended lower by 176 points at 13,349 levels.
The Sensex ended lower by 176 points at 13,349 levels.
The markets had probably factored in the Left’s move of withdrawing support to the UPA, as it did not react negatively to the announcement. The Sensex pared some of its early losses, after the news came in.
The broader markets index Nifty also sheds 1.03 per cent to 3988.
While selling was evident in IT, FMCG, oil & gas and realty counters by over 0.9 per cent each, buying was visible in capital goods counters.
“Markets will be range bound in the coming days, with the Sensex reaching 14,000 levels on the upside. They will be largely affected by global cues and we might see more short covering,” said Jigar Lodaya, Senior Manager – Advisory, Sharekhan.
Among the BSE-30 scrips, Wipro sheds 4.6 per cent to Rs 419 levels. Other major losers include Tata Motors, which was down 4.1 per cent to Rs 376. Infosys also sheds 3.6 per cent to Rs 1736.
Other Asian markets closed weak on Tuesday. Hong Kong’s Hang Seng, Japan’s Nikkei and South Korea’s Kospi were in red turf by over 2.5 per cent each.
IT weak
BSE IT index, losing 129 points or 3.1 per cent, was the biggest loser among the sectoral indices. Moser Baer, Wipro and Infosys were the major losers of the pack