The US sentiment was negated after the country's manufacturing data grew at the slowest pace in more than a year and the hiring rate failed to meet street expectations, fueling concerns over the slowdown in global economic recovery.
The MSCI Asia Pacific Index plunged by 1.5% to 134.73, with all of the 10 industry groups that make up the index declining. The Nikkei225 fell by 1.55% at 9,568.87, while the Shanghai Composite declined by 0.91% at 2,718.62. The Chinese stocks plunged concerns rose that the country's plan to contain property prices through a record low-cost home building programme may give rise to hefty borrowings by the local government leading to bank failures.
The Seoul Composite traded lower by 0.96%, while the Taiwan Weighted traded down by 0.45%. In the domestic arena, the markets are likely to follow the route of global counterpart and trade on a weak sentiment. The Banking, Realty and Capital Goods space will be in focus during today's trade.
Today, Nifty will face a resistance near 5,450 level and will have a support near the 5,510 mark.
On Wednesday, the domestic bourses carried forward the upward momentum, marking its second straight sessions of winning streak.
After witnessing a positive start, the benchmark indices gained further momentum and journeyed northwards. Soon the gains were pared off and the broader indices were seen dragging near the baseline. However, the market managed to stay in the positive terrain and started trading in a narrow range.
The rise in country's export data, gave support to the market and the benchmarks were seen rallying during the final hour taking support from the Capital Goods space. However, the benchmark Nifty failed to cross the 5,600 level which acted as a major resistance during today's trade.
The BSE Sensex closed at 18,608.81 up by 105.53 points or by 0.57% and the NSE Nifty closed at 5,592.15, higher by 31.85 points or by 0.57%. The BSE Midcap was at 6,966.85, higher by 56.61 points or 0.82% and the BSE SmallCap closed at 8,307.65, increasing by 71.93 points or by 0.87%. The BSE Sensex touched intraday high of 18,636.12 and intraday low of 18,514.66.
On Wednesday, the U.S. markets closed on a bearish note as the broader indices shed off more than 2% each amidst disappointing economic data. The morning sentiment was severely hammered after the ADP Employment report and ISM Index failed to meet market expectations.
The mood was further dampened after the greenback was seen gaining strength against the euro which slipped following the Greek debt downgrade by Moody's. The Financial stocks were the major losers during the session, declining by 3.5%. Banking stocks including Wells Fargo and Bank of America together with the regional banks like Sun Trust Banks and Regions Financial faced hefty sell-offs.
In the major indices, the Dow Jones Industrial Average (DJIA) closed with a loss of 279.65 or 2.22% at 12,290.14 while NASDAQ index finished down by 66.11 points or 2.33% to 2,769.19. The S&P 500 (SPX) closed lower by 30.65 points or 2.28% to 1,314.55.
The FIIs on Wednesday stood as net buyer in equity, while net seller in debt. Gross equity purchased stood at Rs. 6166.20 crore and gross debt purchased stood at Rs. 611.10 crore, while the gross equity sold stood at Rs. 4904.90 crore and gross debt sold stood at Rs. 741.90 crore. Therefore, the net investment of equity and debt reported were Rs. 1261.30 crore and Rs. (130.80) crore, respectively.
Top traded volumes on NSE Nifty - Reliance Communication 12837320, Tata Steel 4662509, Cairn India 4276354, SAIL 4164473 and Bharti Airtel 4153497.
On BSE, total number of shares traded was 25.57 crore and total turnover stood at Rs. 2711.85 crore. On NSE, total number of shares traded was 56.00 crore and total turnover stood at Rs. 9995.08 crore.
In the NSE Futures and Options segment, total number of contracts traded in index futures was 369089 with a total turnover of Rs. 9571.41 crore. Along with this total number of contracts traded in stock futures were 485992 with a total turnover of Rs. 12327.86 crore. Total numbers of contracts for index options were 1891015 with a total turnover of Rs. 52564.49 crore and total number of contracts for stock options was 98028 with a total turnover of Rs. 2480.77 crore.