Sensex opens on a volatile note; Yes Bank rallies 4 pc

Mumbai, Oct 7 (PTI) Equity benchmark BSE Sensex opened on a highly volatile note on Monday as weak domestic and global cues weighed on investor sentiment amid sustained foreign fund outflow.

After opening in the positive terrain, the 30-share index swung over 300 points in early trade. The index was trading 72.68 points, or 0.19 per cent, lower at 37,600.63 at 0930 hours. Similarly, the broader NSE Nifty slipped 32.80 points, or 0.29 per cent, to 11,141.95.

Top Sensex losers in early session included IndusInd Bank, Sun Pharma, Hero MotoCorp, L&T, Bajaj Finance, TCS, M&M, Tata Motors and NTPC, shedding up to 2.15 per cent.

On the other hand, top gainers were Yes Bank, HDFC twins, Vedanta, ICICI Bank and Kotak Bank, rising up to 4 per cent.

In the previous session on Friday, the BSE barometer ended 433.56 points or 1.14 per cent lower at 37,673.31, while the Nifty plunged 139.25 points or 1.23 per cent to close at 11,174.75.

Foreign institutional investors (FIIs) remained net sellers in the capital market, pulling out Rs 682.93 crore on Friday, while domestic institutional investors bought shares worth Rs 606.28 crore, data available with stock exchange showed.

“Market has been witnessing profit-booking post the 8 per cent rally on account of corporate tax cut. The cut in repo rate by the Reserve Bank of India (RBI) did not inspire confidence to investors given sharp downgrade in GDP growth forecast,” said Vinod Nair Head of Research at Geojit Financial Services.

FII continue to be on risk-off mode on account of global slowdown and trade issues, he said, adding that the equity market may trade with a negative bias in the short-term.

The rupee, meanwhile, depreciated 19 paise against its previous close to trade at 71.07 in early session.

Elsewhere in Asia, bourses in Shanghai, Hong Kong and Tokyo were trading on a negative note, while those in Seoul were trading a tad higher.

Brent futures, the global oil benchmark, fell 0.43 per cent to USD 58.12 per barrel.

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