Sensex, Nifty open flat; metal stocks fall sharply

Business

oi-Sunil

By Sunil Fernandes

Published: Tuesday, August 26, 2014, 9:30 [IST]

The Sensex and the Nifty opened the day marginally lower led by losses in metal stocks which dropped after the ruling by the Supreme Court on coal mining blocks.

The Sensex was trading lower by 20 points, while the Nifty dropped 14 points in trade. Leading the set of losses on the Nifty was Jindal Steel which fell 5.50 per cent, while Hindalco was the other major loser after the Honourable Supreme Court deemed all coal blocks allocated since 1993 as illegal.

PSU banking stocks once again came in for some selling pressure with Bank of Baroda, Punjab National Bank, Union Bank, Andhra Bank and Dena Bank among the early losers.

Technology stocks were trading higher led by gains in TCS, HCL Tech and Wipro. Tech Mahindra was higher on reports of substantial contribution to revenues from its digital division in 2015. Muthoot Finance was trading higher on reports of branching out to neighbouring Sri lanka.

Mid cap stocks came in for some some selling pressure with the likes of Reliance Power and JSW Energy among the top losers in trade. However, Biocon and Jain Irrigation gained ground.

Most of the power stocks were trading lower after the Honourable Supreme Court ruling on coal blocks.

The Bank Nifty was trading lower as investors sold into shares from the PSU banking space.

Meanwhile, most of Asia was trading mixed even as US S&P 500 topped the 2000 mark for the very first time.

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