Indian markets dropped in early trade on Thursday erasing earlier gains tracking weak global cues.Metal, banking and financial stocks further pulled the sentiment down.
Broader markets outperformed the benchmark indices with Midcap and Smallcap trading up 0.75% and 0.97% respectively.
The 30-share benchmark index, BSE Sensex opened with a decline of 632.51 points or 1.23% at 50,812.14, while the broad based NSE Nifty started with a fall of 218.85 points or 1.44%, at 15,026.75.
At 11.15 a.m., the Sensex was trading down 414.29 points or 0.81% at 51,030.36 with 15 components falling. Meanwhile, the Nifty was trading lower by 147.35 points or 0.97% at 15,098.25 with 26 components falling.
Housing Development Finance Corporation contributed fall of 93.61 points in the Sensex. It was followed by HDFC Bank (81.85 points), ICICI Bank (69.28 points), Larsen & Toubro (51.6 points) and Reliance Industries (47.18 points).
However, Sun Pharmaceutical Industries contributed rise of 15.78 points in the Sensex. It was followed by Oil & Natural Gas Corporation (11.85 points), Tata Consultancy Services (8.5 points), Hindustan Unilever (5.17 points) and Maruti Suzuki India (3.93 points).
Biggest gainers in the 30-share index were Sun Pharmaceutical Industries (1.32%), Asian Paints (0.90%), Tech Mahindra (0.58%), Maruti Suzuki India (0.57%), Oil & Natural Gas Corporation (0.53%), and Tata Consultancy Services (0.32%).
On the other hand, Housing Development Finance Corporation (2.36%), Axis Bank (2.31%), Tata Steel (2.25%), HDFC Bank (2.03%), Larsen & Toubro (2.01%), and Bajaj Finserv (1.83%) were the major losers in the Sensex.
Market breadth was negative with 1,491 advances against 1,162 declines.
US stocks dropped yesterday as bond yields climbed again while the tech sector retreated. Dow Jones declined 0.4%, S&P 500 dropped 1.3% and the Nasdaq Composite plunged 2.7%. In the bond market, the 10-year US Treasury yield rose to 1.49% from 1.41% on Tuesday.
Major events to look out for today on Stimulates bill likely to be present to the Senate and US Fed commentary on economy.
European equities were little changed as investors rotated into cyclical and out of defensive shares, while some U.K. firms and sectors rose following the country’s budget. The FTSE 100 rallied 0.9% after Britain’s spring budget. Both France and Germany Index gained 0.3% each.
Asian stocks fell with U.S. futures on Thursday after an overnight surge in bond yields once more dragged down shares on Wall Street. The dollar strengthened and benchmark Treasury yields ticked higher. Stocks dropped in Japan, South Korea, Hong Kong and Australia by 1% each. SGX slipped over 1% and Dow Jones Future declined 0.1%.
