India's stock markets closed higher in a rangebound trading session on Wednesday with Sensex rising about 141 points and Nifty settling below 10,400-level for the third consecutive day. Shares of fraud-hit PNB ended flat after 5-day plunge with TCS emerging as the lead gainer while Sun Pharma tanked.
India’s stock markets closed higher in a rangebound trading session on Wednesday with Sensex rising about 141 points and Nifty settling below 10,400-level for the third consecutive day while the shares of the scam-hit PNB closing flat after a five-day plunge. The S&P BSE Sensex gained 141.27 or 0.42% to end the day at 33,844.86 and NSE Nifty added 37.05 points or 0.36% to conclude at 10,397.45 on Wednesday. Shares of Tata Consultancy Services, ITC, SBI, HDFC, ONGC, Yes Bank, Infosys were the lead gainers while the stocks of Sun Pharma, IndusInd Bank, Tata Motors, Tata Steel, Bajaj Auto, NTPC, and HDFC Bank were the major laggards.
During the day, the benchmark Sensex hovered between the range of 33,911.36 and 33,702.5. The Nifty PSU Bank index which was under pressure for the last five days following the sharp declines in the shares of Punjab National Bank and several other PSU banks such as State Bank of India, Allahabad Bank, Bank of Baroda, Union Bank of India closed in green rising 1.09%. The Stock of PNB settled at Rs 117.1, up by 0.55% in BSE. Among the sectoral indices of NSE, Nifty Metal and Nifty Pharma witnessed a heavy trigger on Wednesday on the back of steep tumble in the shares of Hindalco, Tata Steel, Sun Pharma, SAIL, Jindal Steel Hindustan Copper, MOIL, JSW Steel and Jindal Stainless (Hisar).
Shares of Sun Pharmaceuticals were the biggest drag on the 30-share barometer Sensex and the respective pharma share indices of NSE and BSE. The stock of Sun Pharma lost as much as 8.61% to the day’s low of Rs 511.3 on NSE while the stock crashed about 8.57% to the day’s low of Rs 511.45 on BSE. A massive trading volume was observed in the shares of Sun Pharma, as at the closing of Wednesday’s deals, more than 2.6 crore shares exchanged hands on both NSE and BSE with about 2.18 crore shares on NSE alone.
A lower volatility was observed in the Indian equities on Wednesday as India Vix — the index which measures volatility — declined 5.61% to close at 15.9200. Shares of Gitanjali Gems, the jewellery maker named in the PNB fraud continued to plummet for the fifth straight day. The stock of Gitanjali Gems had lost about 56% over the course of last five days. Today only, Gitanjali Gems slipped as much as 10% in the morning trades only to Rs 27.45 on BSE.
A day after when Punjab National Bank informed about the “unauthorised and fraudulent transactions” on 14 February 2018, shares of Gitanjali Gems dropped a whopping 20% for two consecutive days. Later in this week, stock exchanges revised the circuit limit on shares of Gitanjali Gems to 10% in order to restrict heavy losses to the investors. Since last three days, shares of Gitanjali Gems have fallen 10% every day taking the five-day decline to 56%.