Though benchmark indices (Sensex and Nifty) indicate gains, the overall market on Monday ended with losses wiping out Rs77,663 crore of investors’ wealth in highly volatile trade. All other indicators indicated the emergence of cautious trade or profit booking at the higher levels.
Looking at deep cuts in crude oil and gold prices in the global market, the Indian market was expected to open weak. However, backed by the easing of restrictions, a decline in the number of cases benchmark indices opened with a gap. Profit booking at a higher level brought down the market but a renewed buying in IT and banking supported the market.
The BSE Sensex scaled a high of 54,385, came down by 460 points to 54,124 but closed at 54,420, 125 points higher than the previous close. Similarly, from highs of 16,320, the Nifty fell to the low of the day of 16,179 and ended at 16,258 adding 20 points from the previous close. In the index heavyweights, Infosys, HDFC Bank, ICICI Bank, Axis Bank and Mahindra and Mahindra gained the most while Reliance, Bharti Airtel and Larsen & Toubro declined.
On the sector front, auto, real estate, metals, PSU banks and Oil & Gas were down while private banks, media, IT closed with gains. The number of shares advancing was less compared to those that declined to indicate profit booking or cautious approach in the broader market. Both, mid-cap and small-cap indices ended with losses. Total shareholders’ wealth – as measured in terms of market capitalisation – declined by Rs77,663 crore also indicating profit booking or large scale selling in the market.
Shares of Rajkot based Rolex Rings were trading at Rs 1166.55, at a premium of 29.62% as compared to the issue price of Rs 900 per share. The stock got listed at Rs 1,249 per share, representing a 38.78% premium to the issue price.
