Sensex, Nifty settle flat in volatile trade; IT stocks play spoilsport

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Sensex and Nifty faced heavy volatility on Tuesday to settle flat as investors preferred to stay on the sidelines ahead of the RBI’s interest rate decision later this week.

Selling pressures at IT counters, foreign money outflows and weak trends in global equities also affected sentiment in the markets, dealers said.

BSE Sensex rose for the third consecutive session, posting a marginal gain of 5.41 points, or 0.01 percent, to settle at 62,792.88. During the day, it recorded the highest level at 62867.95 and the lowest level at 62554.21.

The NSE Nifty Index rose by 5.15 points, or 0.03 percent, to close at 18,599 points.

Both benchmarks swung between highs and lows in very volatile intraday trading.

Also read: The rupee rose 1 paisa to close at 82.62 against the US dollar

UltraTech Cement was the biggest gainer on the Sensex chart, rising 3.13 percent, followed by Kotak Mahindra Bank, Tata Motors, Axis Bank, Maruti, Bajaj Finserv, Bajaj Finance and Mahindra & Mahindra.

In contrast, Infosys, Tech Mahindra, Tata Consultancy Services, Wipro, Bharti Airtel, HCL Technologies, ICICI Bank and Nestle were among the latecomers.

In Asian markets, Tokyo ended higher, while Shanghai and Hong Kong settled lower.

Stock markets in Europe were trading in negative territory. US markets ended lower on Monday.

Also read: Wipro sets June 16 as the record date for the Rs 12,000 crore buyback

“The local market witnessed profit-taking due to selling pressure in the IT sector, and IT stocks witnessed a decline in anticipation of a further downward revision in spending, however, the rise in cars and banks helped offset the losses.

Going forward, an important influencer will be commenting on the growth and inflation outlook by the Reserve Bank of India after the Monetary Policy Committee meeting, given the general consensus that Stop rate will continueVinod Nair, Head of Research, said Geojit Financial Services.

global oil standard, Brent crudeby 1.84 percent, to $75.33 a barrel.

Foreign Institutional Investors (FIIs) offloaded shares worth Rs 700.98 crore on Monday, according to exchange data.