Sensex Down Over 300 Points, Dragged By Metals, Pharma

CarTrade Tech shares made a weak debut on the stock markets.

The benchmark indices have seen no respite in selling pressure in early noon trading, after a gap-down opening, due to a negative start across the European bourses and weakness through mot of Asia for the second consecutive session. Global stocks have stumbled in the past two days, haunted by Fed taper fears and renewed worries surrounding the Covid pandemic.

At 1:30 pm, the BSE Sensex was trading at 55,391.55, lower by 241.50 points or 0.44 per cent and the NSE Nifty was at 16,454.75, down 111.45 points or 0.67 per cent. The broader markets are under-performing their largecap peers, with the BSE Midcap index and BSE Smallcap index losing 0.6 per cent and 1.4 per cent respectively.

All the BSE sectoral indices are trading in the red, with the exception of the FMCG index. Metal shares has taken the worst drubbing in today’s session, with the metal index losing more than 5 per cent, as a sharp plunge in iron ore futures across the world spooked investors worldwide.

Federal Reserve’s July meeting hinted at easing stimulus this year, amid differences among the officials over the labour market recovery and degree of risk posed by rising coronavirus cases.

Meanwhile, CarTrade Tech shares made a weak debut on the stock markets. The shares of the multi-channel auto platform, CarTrade Tech, opened at Rs 1,599.80 on the NSE compared with its issue price of Rs 1,618, marking a discount of 1.12 per cent.

On the stock-specific front, Tata Steel has nosedived by more than 6 per cent to Rs 1,406 to top the losers list on the BSE. Among other metal stocks, JSW Steel and Hindalco have shed 5 per cent and 4 per cent respectively. Pharma stocks have also succumbed to selling pressure, with Sun Pharma and Dr Reddy’s losing around 2 per cent each.

On the other hand, Hindustan Unilever, Asian Paints and Nestle gained 2-4 per cent each on the BSE. The BSE market breadth is weak. Out of 3,241 stocks traded on the BSE, there are 2,372 declining stocks as against 735 advances.

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