Sensex, Nifty erase gains to end lower as volatility disrupts Dalal Street

Benchmark stock market indices ended the trading session on a negative note as volatility continued to disrupt proceedings on Dalal Street.

The S&P BSE Sensex ended 138.74 points lower at 80,081.98, while the NSE Nifty50 fell 36.60 points to 24,435.50. While most of the broader market indices ended the session in the green, the gains were marginal compared to the deep losses that have faced over several sessions.

The Nifty IT index, which gained 2.38%, was the top performer among sectoral indices. However, most other high-weightage sectors ended in negative territory.

The top five gainers on the Nifty50 were Bajaj Finance, Tech Mahindra, Tata Consumer Products, Bajaj Auto and HDFC Bank. On the other hand, the top losers were M&M, Sun Pharma, Eicher Motors, Shriram Finance, Power Grid.

Vinod Nair, Head of Research, Geojit Financial Services, “Investor mindset turned gloomy with the tepid earnings and a knee jerk reaction from FIIs, which dragged the market sentiment. However, mid and small-caps are experiencing bargain hunting following the recent decline, though the sustainability of this momentum-driven buying remains uncertain.”

“The US 10-year yield inched higher, signalling a slower tempo of rate cuts by the FED, which is poised for a risk-off sentiment towards Ems,” he added.