Sensex Falls 200 Points, Nifty Below 10,000; Pharma, Banking Shares Drag


Indian shares fell on Friday as pharma and banking shares witnessed selling pressure after some disappointing quarterly earnings. A lower opening in other Asian shares also impacted sentiments. The BSE Sensex fell nearly 200 points to 32,381 while the Nifty50 index shed nearly 50 points or 0.5 per cent to 9,967.40. The pharma sub-index of NSE was down 1.05 per cent while the banking sub-index of NSE dropped 0.71 per cent. Dr Reddy’s Lab extended fall to the second straight day after the Mumbai-based pharma company reported disappointing earnings for the June quarter. The stock was down more than 5 per cent and was the biggest loser in the Nifty50 pack.

ICICI Bank, ONGC, Lupin, Bharti Airtel, Hindustan Unilever were the other prominent losers in the Nifty falling between 1.2 to 2.35 per cent. ICICI Bank fell nearly 3 per cent to below the Rs 300 level after it reported 8 per cent fall in June quarter profit yesterday after market hours.

Meanwhile, ITC was the top gainer in Nifty, up 1.14 per cent followed by Indiabulls Housing Finance, BPCL, L&T and Axis Bank, which rose between 0.6-1.1 per cent.

As of 9.30 am, Nifty was down 0.48 per cent at 9,971.95 and the Sensex traded 195.77 points or 0.60 per cent lower at 32,187.58. Market breadth was negative as 913 shares out of the 1570 shares traded on BSE were in red while 593 shares were in the positive territory.

Elsewhere, Asian stock markets sagged on Friday after US tech shares retreated from recent rallies, though optimism about US corporate earnings and the global economy underpinned overall sentiment.

MSCI’s broadest index of Asia-Pacific shares outside Japan fell 0.8 per cent but was still on track for a 0.4 per cent weekly gain. Japan’s Nikkei shed 0.4 per cent.

Overnight, US stock indices ended mixed. The Dow Jones Industrial Average rose 85.54 points, or 0.39 per cent, the S&P 500 lost 2.41 points, or 0.10 per cent, to 2,475.42 and the Nasdaq Composite dropped 40.56 points, or 0.63 per cent, to 6,382.19.


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