Sensex ends lower as uncertainty over Karnataka govt formation hurts sentiment

Sensex ends lower as uncertainty over Karnataka govt formation hurts sentiment

Minda Industries Limited now has a total float of 87.17M shares and on average sees 45,550 shares exchange hands each day.

Anticipating the change of regime due to early morning leads, the markets gained over 500 points, eventually to tumble to end flat over the confusion over government formation in Karnataka.

The retreat from just below the psychological level started after the news that the Congress has patched up an alliance with JD (S), with this, the markets ended flat to negative. The BJP hasn't given up as yet. "However, markets gave up all of their gains to finally close the day near the flat line", says Anand Shah- Deputy CEO and Head of Investments at BNP Paribas. The Sensex rose 348 points or 0.98% to 35,905, the Nifty was up 97 points or 0.81% to 10,903. However, emergence of strong buying around day's low resulted in a v-shaped recovery in the subsequent hours. The stock settled at Rs 75.55, down 12 per cent on the BSE.

"Technically speaking, the "Gravestone Doji" pattern formed during the previous session has now been confirmed on a closing basis". Nifty had reclaimed the key 10,900-mark to touch a high of 10,929.20. Going forward, above 10,855-10,875, we hold 10,950 followed by 11,000 as the next resistances. Apart from this, stellar moves being witnessed from the marquee FMCG counters.

Mumbai: The BSE Sensex logged a fall of 156 points to end at 35,387.88 on Wednesday amid uncertainty over government formation in Karnataka and no let-up in selling by foreign investors.

The Sensex of the BSE, which opened at 35,537.85 points, was trading at 35,515.81 points (2.28 p.m.), lower by 40.90 points or 0.12 per cent from the previous day's close at 35,556.71 points. In the broader market, the BSE Midcap slipped 0.3 per cent, while the BSE Smallcap remained little unchanged. Sectoral indices led by the bankex, PSU, oil and gas and healthcare traded in the red, down by up to 1.90 percent.

Apart from political uncertainty in Karnataka, a weak trend in other Asian bourses following overnight losses at the Wall Street dampened sentiments, brokers said. Japan's gross domestic product dipped quarter-on -quarter by 0.2 percent and affected sentiments in Asian markets.

PNB, Syndicate Bank, Bank of Baroda, Century Plyboards, Morepen Labs, Adani Transmission, Reliance Communications and Shakti Pumps fell up to 16 percent. North Korea canceled high-level talks with Seoul, denouncing military exercises between South Korea and the United States, breaking from several months of easing relations on the peninsula. Shares of ADAG stocks were trading lower for the second straight day.

On the macro front, trade deficit widened to United States dollars 13.7 billion in April, which further affected momentum.