Markets take a breather after record-breaking rally; Nifty hits fresh peak

File photo of the bull statue at Bombay Stock Exchange (BSE) building in Mumbai.
| Photo Credit: PTI

Equity benchmark indices ended flat on July 5 with Sensex sliding 33 points and Nifty gaining nine points after an unabated record-breaking rally in the last few trading sessions.

Weak global market trends and fall in HDFC twins also spoiled markets party.

The 30-share BSE Sensex dipped 33.01 points or 0.05% to settle at 65,446.04. The benchmark remained in the negative territory for most part of the trade and fell 222.56 points or 0.33% to 65,256.49 in intra-day.

The NSE Nifty eked out marginal gains of 9.50 points or 0.05% to end at its fresh record high of 19,398.50. During the day, it hit a high of 19,421.60 and a low of 19,339.60.

From the Sensex pack, HDFC Bank fell over 3% and HDFC declined nearly 3%.

Bajaj Finserv, Wipro, Tata Motors, Axis Bank, NTPC, Bajaj Finance and UltraTech Cement were among the other laggards.

However, Maruti, Tech Mahindra, IndusInd Bank, Hindustan Unilever, ITC, ICICI Bank, Power Grid and Nestle were among the gainers.

In Asian markets, Seoul, Tokyo, Shanghai and Hong Kong ended lower.

Equity markets in Europe were trading in the negative territory. The U.S. markets were shut on Tuesday.

India’s services sector growth eased to a three-month low in June but service providers continued to signal positive demand trends, which resulted in a stronger increase in new business volumes and further job creation, a monthly survey said on Wednesday.

The seasonally adjusted S&P Global India Services PMI Business Activity Index fell from 61.2 in May to 58.5 in June. Despite falling from May, the latest figure was consistent with a sharp pace of growth.

“Global worries along with moderation in Services PMI data briefly impacted the domestic market’s rally. Heightened trade tensions between the US and China, coupled with uncertainties surrounding the upcoming release of Federal Open Market Committee (FOMC) minutes, tested the risk appetite of global investors.

“However, the market’s last-minute broad based recovery serves as a reaffirmation of investors’ confidence in the Indian economy,” Vinod Nair, Head of Research at Geojit Financial Services, said.

Global oil benchmark Brent crude dipped 0.43% to $75.92 a barrel.

Foreign Institutional Investors (FIIs) bought equities worth ₹2,134.33 crore on Tuesday, according to exchange data.

Rallying for the fifth straight session on Tuesday, the BSE benchmark had jumped 274 points or 0.42% to settle at its all-time closing high of 65,479.05. During the day, the benchmark had surged 467.92 points or 0.71% to hit its lifetime intra-day peak of 65,672.97.

The Nifty climbed 66.45 points or 0.34% to end at a fresh record high of 19,389. During the day, it advanced 111.6 points or 0.57% to hit its all-time intra-day peak of 19,434.15.