Stock market news, August 29: Indian shares tracked weakness in Asian markets, shedding a 10-day winning streak and expiring on a subdued note. The Nifty was down 0.11 per cent or 28.4 points at 25,023.95 in opening trade, while the 30-stock BSE Sensex was down 0.05 per cent or 41.52 points at 81,744.04.
In the Nifty pack, top gainers included Bajaj Auto, Cipla, Hero MotoCorp, Shriram Finance and HUL while top losers included Hindalco, Grasim Industries, Utratec Cement, LTI Mindtree and Coal India.
Sectorally, after initial small movements, some sectors have started to rise while others including IT, public sector banks, metals and real estate stocks continue to trade under selling pressure.
“Weak signals from the global economy and the resulting weak opening have proven to be a buying opportunity in the domestic market. This pattern may continue. A key feature of the near-term market trend is that it has been resilient and has risen steadily without any sharp rise, thus preventing a sudden rise in valuations in the large-cap category,” said Dr VK Vijayakumar, chief investment strategist, Geojit Financial Services.
He further said the recent buying spree in IT stocks stems from the belief that a soft landing scenario for the US economy will lead to IT companies filling orders that have been on hold for a long time.
Indigo shares were trading down 0.5% as the floor price was fixed at a discount after a large transaction in over-the-counter trading.
Meanwhile, Paytm’s shares rose over 2% to trade at Rs 551. It has received approval from the Ministry of Finance for downstream investments in its subsidiary Paytm Payments Services. Paytm Payments Services to reapply for payments aggregator licence
Prashant Tapse, senior VP (research) at Mehta Equities, said the Nifty is likely to trade between 24,700-25,500, adding that 25,500 will act as a key resistance level.
