Sensex, Nifty open lower on weak cues amid profit booking

Domestic benchmarks opened lower on Wednesday amid weak global signals Debt ceiling negotiations in the United Stateswhile analysts expect investors to book profits after a 5 percent rise in the Nifty 50 in the 24 fiscal year so far.

while Nifty 50 It decreased by 0.12 percent, at 18,265.30 S&P BSE Sensex It fell 0.14 percent to 61,853.14 in early trading.

Eight major sectoral indices out of 13 declined, with financial and information technology indices with a heavy weight losing 0.3 percent and 0.6 percent, respectively.

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“The market is seeing profit taking, especially in the higher-tier heavyweights,” said Siddhartha Kimka, Head of Retail Research at Motilal Oswal Financial Services.

“Some consolidation may not be ruled out given the sharp upward movement in the past few weeks.”

The Nifty 50 index fell 0.61 percent on Tuesday, after hitting a five-month high on Monday. The index is up 5.34 percent so far this fiscal year, supported by a healthy results season and consistent buying from Foreign Institutional Investors (FII)According to three analysts.

Vaishali Parekh, Vice President – Technical Research at Prabhudas Lilladher, pegged 18,200 and 18,450 as the support and resistance levels for the benchmark.

Metals stocks lost 0.5 percent on concerns about demand recovery in China in light of weak macroeconomic data from the world’s largest metals consumer and producer.

among individual stocks, Amber Enterprises Ltd And CrediAccess Grameen Company Limited jumped more than 13 percent and 7 percent, respectively, on strong results for the March quarter, while LIC Housing Finance Ltd. And Redington Limited Declined on a profit slice.

Wall Street stocks closed lower overnight, as ongoing debt ceiling negotiations and weak earnings dampened risk appetite. Asian markets were weak.