Profit booking in banks, IT stocks drag equity indices lower (Lead)

Mumbai Jan 25 (IANS) Breaking a six-day gaining streak the key Indian equity indices on Thursday dived into the negative territory as investors turned cautious on the day of January futures and options (F&O) expiry.

According to market observers profit booking in banking IT and consumer durables stocks dampened the sentiment.

At 1 p.m. the wider Nifty50 of the National Stock Exchange traded lower by 33.60 points or 0.30 per cent at 11 052.40 points.

Around the same time the barometer 30-scrip Sensitive Index (Sensex) of the BSE which opened at 36 208.39 points traded at 36 039.20 points -- up 122.44 points or 0.34 per cent from its previous session s close.

The BSE market breadth was bearish as 1 506 stocks declined against 1 132 advances.

"BSE Sensex and NSE Nifty traded lower on the last session of January expiry in the derivatives segment " Dhruv Desai Director and Chief Operating Officer of Tradebulls told IANS.

"Asian stocks held near a record high on Thursday though concerns about the Trump administration s stance cast a shadow on financial markets while the dollar was under pressure after US Treasury Secretary Steven Mnuchin welcomed a weaker currency " he added.

On Wednesday the benchmark indices closed in the green -- managing to close at fresh levels with nominal gains after touching new highs on an intra-day basis -- as IT stocks helped cope up with losses.

The Nifty50 inched up 2.30 points or 0.02 per cent to close at a new high of 11 086 points. It crossed the 11 100-mark during intra-day trade and scaled a fresh high of 11 110.10 points.

On the BSE the Sensex closed at a new high of 36 161.64 points after scaling a new high of 36 268.19 points during the intra-day trade.

--IANS
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