Indices Tanked, Banking stocks Sink
In today’s trading session, the benchmark indices were hammered badly, despite RBI’s Governor cutting repo rate by 25 bps to 7.25 per cent. All the sectoral indices closed below its crucial support levels. The Banking majors like SBI, ICICI Bank, Axis Bank and IndusInd Bank shares fell by more than 4% and BSE Banking index collapse by 740 points. This was followed by Auto and Capital Goods index that fell around 300 points each. While Mid-Caps, Small-Caps, Healthcare, Metals and FMCG too closed in negative territory and there indices were down by around 200 points each. The Nifty closed below its vital support level which is below 200-day EMA level, down by 197 points at 8236 while Sensex was down by 660 point and closed at 27188.
The advance-decline ratio on NSE was on the negative side, as the day ended with 809 shares in green and 1877 shares in the red zone.
Top Nifty Gainers: Zee Entertain closed the day higher by 2.25%, followed by Lupin and Bharti Airtel.
Top Nifty Losers: Axis Bank closed the day lower by 4.38%, followed by SBI, IndusInd Bank, ITC and Hindalco.
All of the sectoral indices witnessed profit booking. Banking stocks struggled and broke all the technical supports and its indices was down by around 750 points. This was followed by Auto and Capital Goods index that were down by around 300 points each. While Mid-Caps, Small-Caps, FMCG, Healthcare and Metals also closed in red territory, down more than 200 points each. IT, Consumer Durables and Oil & Gas also closed with negative note.
The Asian markets continued with some negative scenario. The Hang Seng market saw downward moves by 130 points, followed by Straits Times and Nikkei market that was down around 50 points each. While KOSPI and Taiwan market saw nominal negative trades.
Buzzer: SBI was down more than 4.3% on the bourses today and closed down at the technical level around Rs 270. If the stock opens below this level, it may touch Rs 255/240 mark in the next few sessions.
The Nifty Future gave a bearish crossover after its broke 8250 level. If it’s sustain below this level may see more painful scenario.