Nifty futures closed negatively at 14,364 levels with a loss of 3.53%. In specific stocks, trade setup saw a spurt in Dr Reddy’s, Cipla, DIY Labs and Asian Paints but BHEL, Indiabulls Housing Finance, ZEEL, M & M Finance, RBL Bank, PNB, Canara Bank, L&T Finance, PEL, Apollo is weak in Tire. IndusInd Bank, Chola Finance, LIC Housing NSE -7.83%, Federal Bank, Vedanta, Bajaj Finance
The Nifty 50 opened with a weak global signal gap on Monday and saw a sharp sell-off amid concerns over rising Kovid cases in India. The index broke its immediate support level and 50 DEMA and then moved towards the 14,250 level. For the most part of the session, the market witnessed sustained selling pressure and the entire sector was in downturn.
Bank Nifty opened the gap and weakened the broader market and moved towards the 30,500 level. It settled the session with a heavy loss of over 1,650 points. The index constituted a bearish candle at the daily level, reflecting pressure at higher levels. As long as it remains below the 31,500 level, the weakness can move towards the 30,500 and 30,000 levels, while the upside can be seen at the 31.850 and 32,000 levels.
World stocks were lower on Monday, as investors had recently increased cases of coronovirus in many places, while vaccination efforts are doing little.
Shares fell in London, Paris, Tokyo and Shanghai. US futures also slipped.
The fall last week on Wall Street followed a strong end, where gains in technology and health care stocks pushed the S&P 500 and the Dow Jones Industrial Average to fresh record highs.
A moderation in bond yields has helped restore confidence that the Federal Reserve will soon move to raise interest rates, as the economy recovers from the shaking of the epidemic.
The UK’s FTSE 100 closed down 0.6% at 6,872.56. Germany’s DAX fell 0.1% to 15,220.38 and CAC 40 in Paris rose 0.3% to 6,153.79. S&P 500 and Dow Industrial’s future contracts were down 0.3%.
In Asia, the resurgence of infections and troubles with COVID-19 vaccines is reducing the belief that vaccination will soon put an end to the lockdowns and miseries brought by the new coronaviruses.
In other trades, US benchmark crude oil rose 10 cents per dollar to $ 59.42 a barrel in electronic trading on the New York Benchmark Exchange. On Friday, it was down 28 cents to $ 59.32 a barrel. Internationally, Brent crude rose 24 cents to $ 63.19 a barrel.
The US dollar on Friday bought 109.46 Japanese yen, down from 109.71 yen. The euro slipped from $ 1.1899 to $ 1.1885.