Domestic stock markets gave up early gains immediately after a positive start on Thursday, as benchmark indices S&P BSE Sensex and NSE Nifty 50 halted a rally that lasted 10 days. The Sensex index fell 166.82 points – or 0.41 per cent – to 40,627.92 at the weakest level recorded in early deals. The broader Nifty benchmark slid to as low as 11,923.95, down 47.1 points – or 0.39 per cent – from its previous close. Weakness across Asian equities amid diminishing hopes of more stimulus in the US weighed on domestic markets, as analysts awaited more financial results from large cap companies for near-term cues.
At 9:28 am, the Sensex traded 150.52 points – or 0.37 per cent – lower at 40,644.22, while the Nifty was down 40.45 points – or 0.34 per cent – at 11,930.60.
Infosys shares were in focus, a day after the country’s second largest IT services exporter raised its annual revenue growth forecast and posted a better-than-expected quarterly profit. Growth in demand for Infosys’s digital services during the pandemic boosted its profitability.
Other Asian markets fell amid fading hopes of US fiscal stimulus before the presidential election and a record number of new coronavirus infections in parts of Europe.
Downbeat comments from US Treasury Secretary Steven Mnuchin that a stimulus deal was unlikely be made before the November 3 vote weighed on fragile investor sentiment.
MSCI’s broadest index of Asia-Pacific shares outside Japan was last seen trading down 0.79 per cent, and Japan’s Nikkei 225 benchmark down 0.46 per cent.
On Wednesday, the Supreme Court said any delay in implementing a waiver on “interest on interest” on loans up to Rs 2 crore is not in the interest of the common man.
“Common man’s Diwali is now in the government’s hands,” the bench said in a lighter vein. The top court expressed hope that orders will be out before the next hearing, listed for November 2.