MUMBAI: A relief rally left D-Street investors happy on Tuesday after things went south for several days. As a result, Sensex It initially rose more than 1,100 points in the mid-session as buying emerged across the board, but late selling pared gains and the index closed just 239 points higher at 77,578 points.
Siddharth Khemka of Motilal Oswal Financial Services said that after the initial rally, several geopolitical and global economic factors weighed on investor sentiments and hence there was a selloff of late.
“Selling pressure overshadowed (investor sentiment on Dalal Street) after reports of rising tensions between Russia and Ukraine. This comes after US President Joe Biden called on US President Joe Biden to target military sites in Russia using US-made long-range weapons. “This comes in the wake of Ukraine’s decision to authorize it. This has also led to a rise in bond yields following the recent softening,” Khemka wrote in a note.
The selling was led by foreign funds, which recorded a net outflow of Rs 3,412 crore, BSE data showed. The day’s outflows took the monthly net outflow from the equity market to nearly Rs 34,500 crore, official data showed. Out of the 30 components of Sensex, hdfc bank And M&M selling contributed the most to the day’s gains Reliance Industries And SBI remained overweight, the BSE data showed. Among the major stocks, Honasa Consumer (Mamaearth) fell 11% on Tuesday after falling 20% on Monday due to very weak quarterly data. Several brokerages covering the stock have sharply cut their target prices for MamaEarth.
Retail share of Rs 10,000 crore was also seen that day NTPC Green Energy IPO Fully subscribed on the first day of its inauguration. Overall, the issue was subscribed 33%. In most IPOs, institutional and high-net-worth investors apply on the last day. The IPO will close on Friday, November 22.
Sensex rose by 1.1 thousand points in volatile trading, closed with a decline.
