Indian benchmark indices ended in negative territory on Monday after a volatile trading session, with IT stocks leading the declines amid concerns over the US administration’s announcement of a $100,000 fee for new H-1B visas.
The Sensex closed at 82,159.97, down 466.26 points or 0.56 per cent, while the Nifty ended the day at 25,202.35, down 124.70 points or 0.49 per cent. Both indices opened in the red, reflecting cautious sentiment following global cues and uncertainty over the visa fee.
Market participants saw early pressure in IT stocks, but the impact was partially offset as GST reforms came into effect from Monday, boosting investor confidence.
“The day began on a weak footing, as negative global cues and concerns over the $100,000 H-1B visa fee for new applicants dampened sentiment. Benchmark indices opened with a gap-down start, mirroring the cautious mood in global markets. Despite the weak opening, the market quickly filled the gap and attempted a recovery,” Ashika Institutional Equities said in a note.
However, profit-booking in the latter half of the session resurfaced, pulling the indices lower. Among Sensex constituents, Tech Mahindra, TCS, Tata Motors, Trent, HCL Tech, Sun Pharma, SBI, L&T, ITC, BEL, Maruti Suzuki, and Kotak Bank were the top losers. On the other hand, Eicher Motors, Bajaj Finance, Adani Ports, Ultratech Cement, Hindustan Unilever, and Axis Bank ended higher.
Sectoral indices largely ended lower, with Nifty IT falling 1,078 points or 2.95 per cent, Nifty Bank down 174.10 points, Nifty FMCG dropping 266 points, and Nifty Auto slipping 65 points. Broader markets also saw weakness, as Nifty Smallcap 100 declined 215 points or 1.17 per cent, Nifty Midcap 100 fell 394 points or 0.67 per cent, and Nifty 100 ended 91 points or 0.35 per cent lower.
-IANS
