Sensex Snaps 3-Day Winning Streak On Profit-Booking, RIL Outperforms

Sensex Snaps 3-Day Winning Streak On Profit-Booking, RIL Outperforms

Sensex and Nifty snapped their three day winning streak on Tuesday on account of profit-taking. Investors booked profits in recent outperformers such as ITC Ltd. However, losses in the benchmark indices were capped as energy heavyweights such as Reliance Industries, Bharat Petroleum and ONGC gained on account of lower crude oil prices.

Indexes had risen for three consecutive sessions as consumer goods firms rallied on hopes of reaping benefits from the Goods and Services Tax, which replaced more than a dozen federal and state levies.

“GST positivity still weighs on the market. Some traders are now looking for bargain buying, while other are booking profits after sharp gains from yesterday,” said Anand James, chief market strategist at Geojit Financial Services.

The Sensex declined 12 points or 0.03 per cent to settle at 31,210 and Nifty slipped 2 points or 0.01 per cent to end at 9,613.

Recent gainers led the declines. Cigarette maker ITC Ltd, which hit a record high and drove the markets higher on Monday, closed 1.5 per cent lower at Rs. 337.

The Nifty Auto index closed 0.48 per cent lower, with Hero MotoCorp Ltd and Tata Motors DVR sliding 2 per cent and 1.07 per cent respectively.

Meanwhile, commercial vehicles maker Ashok Leyland, which hit its highest in a year on Monday, ended 0.65 per cent lower.

Among gainers, energy stocks led, with Reliance Industries Ltd and Bharat Petroleum Corp Ltd climbing more than 2 per cent each after oil prices retreated, halting a straight eight-day run of gains on signs that a persistent rise in U.S. crude production is running out of steam.

The broader markets also ended on a weak note. The BSE mid-cap index fell 0.34 per cent and the small-cap index declined 0.03 per cent.

The overall market breadth was neutral as 1,345 shares ended higher while 1,313 closed lower on the BSE.