Nifty Ends Flat As GST Buoyancy Fizzles Out
Benchmark indices ended flat in trade as the initial buoyancy with regards to the passage of the GST in the Rajya Sabha gradually fizzled out.
The Sensex ended the day higher by 16 points, while the Nifty gained 6 points in trade. The flat closure of indices was despite a recovery in the European markets which were trading higher.
Most Asian markets also closed higher, led by the Japanese Nikkei, which was up 1 per cent in trade, on the back of a weaker yen.
Leading the set of losers were stocks which had rallied ahead of the GST passage as bulk of these stocks saw profit booking.
VRL Logistics and Century Ply, ended the day lower by 4 per cent. Inox Leisure another likely beneficiary from the GST also saw profit booking.
ITC dropped in trade on worries that sin tax in the GST would hit margins. Natco Pharma, however gained ground after the company got US FDA nod for generic Tamiflu oral capsules.
Select banking stocks saw good buying support with Union Bank and Andhra Bank both up ahead of results to be declared later on Saturday.
Nifty gainers in trade were Tata Motors and Vedanta. Coal India and Lupin lost ground. ICICI Bank, which has been dropping ever since it declared quarterly numbers fell another 1 per cent in trade.
Meanwhile, the rupee was more or less steady and was trading at 66.95 to the US dollar.