Sensex erases intra-day gains to settle down by 100 pts

Benchmark BSE Sensex on Tuesday reversed its intra-day gains to close down by 100 points due to fag-end selling in FMCG, banking, and IT stocks amid a weak opening in European stock markets.

The 30-share BSE index declined by 100.42 points or 0.19 percent to settle at 53,134.35 points.

The index opened higher and later jumped 631.16 points or 1.18 percent to touch the day's high of 53,865.93 after buying in banking, metals, energy, and pharma shares boosted by gains in most Asian markets.

However, the barometer lost steam in the pre-close session due to selling in IT, FMCG, and select banking counters as European stock markets opened with losses on recession fears.

The broader NSE Nifty also erased its intra-day gains and dipped 24.50 points or 0.15 percent to close at 15,810.85.

''The current trend in the global market indicates that uncertainties around recession and tightening monetary policy continue to haunt investors' confidence. Dollar index opened sharply high affecting the performance of emerging currencies, depreciating INR,'' Vinod Nair, Head of Research at Geojit Financial Services, said.

Among Sensex stocks, ITC fell the most by 1.73 percent. Wipro dropped by 1.58 percent, M&M by 1.2 percent, L&T by 1.12 percent, Maruti by 1.1 percent, and IndusInd Bank by 0.98 percent.

Infosys fell 0.77 percent and TCS by 0.57 percent while Axis Bank, Asian Paints, and HDFC twins also declined.

Gains in Reliance Industries (0.8 percent) and HUL (0.92 percent) restricted losses in Sensex. Power Grid, Bajaj Finserv, Sun Pharma, and Tata Steel were among the major gainers.

''It was a roller-coaster ride for markets as the Nifty swung volatile in a broader range and finally settled around the day's low. The decline in the index can be attributed to the uncertain global markets and caution ahead of the earnings season,'' Ajit Mishra, VP - Research, Religare Broking Ltd said.

''Nifty gave up morning gains and ended in the negative zone. Following early weakness in European markets, it fell and closed lower,'' said Deepak Jasani, Head of Retail Research, HDFC Securities.

The BSE midcap gauge declined 0.35 percent, while smallcap index gained 0.20 percent.

Among the BSE sectoral indices, Information Technology declined 0.59 percent and teck fell by 0.57 percent, while bank (0.37 percent), auto (0.32 percent), realty (0.29 percent), and telecom (0.28 percent) also dropped.

Power, healthcare, utilities, metal, and oil & gas ended with gains.

Elsewhere in Asia, markets in Tokyo, Seoul, and Hong Kong ended with gains, while Shanghai settled marginally lower.

European bourses were trading in the negative territory in mid-session deals.

The US markets were closed for a holiday on Monday.

In the previous session, the BSE index had gained 326.84 points or 0.62 percent to settle at 53,234.77 on Monday. The Nifty went higher by 83.30 points or 0.53 percent to close at 15,835.35.

Meanwhile, international oil benchmark Brent crude declined 0.88 percent to USD 112.5 per barrel.

Foreign institutional investors (FIIs) remained net sellers in the capital market, as they sold shares worth Rs 2,149.56 crore on Monday, as per exchange data.