BENGALURU: Indian benchmarks closed little changed on Monday as a slide in jeweler Titan and the Bank of Baroda-led drop in lenders was offset by the rise in consumer stocks as the likes of Dabur and Marico reported a rise in demand.
The blue-chip Nifty 50 and S&P BSE Sensex settled 0.01% and 0.05% lower, respectively, about 0.5% off the all-time highs they hit last week.
Titan slid as much as 3.5%, the most on the Nifty, after reporting its weakest quarterly revenue growth in two years. Bank of Baroda dropped 4.2% after it reported softer loans and deposits growth in the June quarter. It was the top loser among state-owned lenders, which fell 1.6%.
The broader bank index, already under pressure after HDFC Bank’s disappointing quarterly update last week, retreated 0.45%.
Indian shares open lower dragged by HDFC Bank
“Some of the quarterly updates have been lacklustre, giving an indication that there could be some moderation in some of the banking results,” said Saurabh Jain, assistant vice president of research of retail equities at SMC Global Securities.
“However, even if earnings disappoint a tad bit, the outlook for Nifty 50 will continue to remain positive till the national budget on July 23 on hopes of a continued focus on capex in the upcoming budget as well as measures to boost consumption.”
The metals index slid about 1%. Morgan Stanley said the outperforming index could retreat over the coming months due to sluggish demand and monsoon rains.
On the flip side, the consumer goods index rose 1.6% after Dabur, Marico and Adani Wilmar estimated sales growth in the June quarter picked up as demand improved.
The trio rose between 1.9% to 4.3%.
The more domestically focussed mid-caps and small-caps hit record highs but profit-booking led them to close 0.35% and 0.17% lower, respectively.
Their roughly 25% surge this year is double the Nifty 50’s 12% jump.
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