Today was a disappointing session for the market. In the morning it looked like it would pass as just a flat session, but towards the end of trade we saw some pressure building up.
Global markets too were not very gung-ho today despite the Friday rally in the US markets, said Udayan Mukherjee, managing editor, CNBC-TV18. So, all of it combined did not help. The MET department sounded cautious about the monsoon prospects today and that led to some kind of pressure on the market.
The better than expected inflation number which came at 7.25% also failed to enthuse the stock market, though it did lead to a cool off in the bond yields to down about 8.02%. But, the stock market did not do very well. It closed at the lows of the day, below 5,200.
Partly the doing of TCS and Infosys, both those stocks saw quite a bit of selling pressure today. So, IT clearly is on the sell list of institutions.
Tata Motors also had a bad session today on the back of JLR numbers, which appeared a bit soft and the metal stocks also came off quite sharply today.
The Nifty would have done worse had it not been for Bharti, which stood out with a strong 3-4% gain. Pharmaceutical stocks played very good defense for the index. The Bank Nifty did well for a while, but then slipped in late trade. The mid caps did not do very well.
The rupee, which started the day at around 54.80 slipped all the way to 55.25 by the time we were winding up the stock market session, so that had weakened quite considerably from the highs of the session.
In the broader market, we saw some weakness coming into Kingfisher expectedly on the news flow. OnMobile was quite weak. Stocks like Nagarjuna Construction, DCB, AP Paper, JSW Energy, SKS Micro, GVK, GMR and Adani Enterprises were quite weak today.
Goa Carbon had a good day. Praj Industries stood out quite well. Idea in line with Bharti had a good sessionand Titan bounced back as well. Glenmark and Lupin from the pharmaceutical basket did quite well.
There were disparate performances, but generally a weakish undertone for most of the market today particularly in the second half of the session. The Nifty slipped just below that 5,200, which was a lower end of the trading band. Let's see whether we slipped further on the days to come depending on which way the earning season pans out.