Sensex snaps 9-day winning streak on correction in banks, but ITC caps losses

Mumbai, Apr 18: The market fell for the first time in last 10 consecutive sessions, closing marginally in the red on Wednesday weighed by extended sell off in banks in last hour of trade. However, the rally in index heavyweight ITC capped losses.
The 30-share BSE Sensex was down 63.38 points at 34,331.68 and the 50-share NSE Nifty fell 22.50 points to 10,526.20 amid consolidation as investors look for corporate earnings to get market direction.
“After a smart upmove, we expect the markets to consolidate in the near term. Q4FY18 corporate earnings season, global developments and behaviour of crude oil prices & currency will dictate the market trend in the coming sessions,” Jayant Manglik, President, Religare Broking said.
Traders should keep their positions hedged, while investors should stick to quality stocks, he advised.
Nifty Bank, PSU Bank and Private Bank indices closed down 1 percent each after RBI Deputy Governor NS Vishwanathan has defended 1-day default clause of February 12 circular, saying default is a lagging indicator and not a leading indicator of financial stress.
HDFC Bank, Axis Bank, IndusInd Bank, ICICI Bank, Kotak Mahindra Bank and State Bank of India were down up to 2.66 percent.
Titan Company shares hit Rs 1,000-mark, but ended 2 percent lower on the day of Akshaya Tritiya.
Among index heavyweights, HDFC and Reliance Industries declined 0.6 percent each whereas ITC shares outperformed, rising nearly 3 percent after normal monsoon forecast brightened outlook for consumption sector.
In fact the FMCG index was biggest gainer among sectoral indices, gaining 1.7 percent. Godrej Properties, Dabur India, Godrej Industries and Tata Global gained up to 5 percent.
Media space was also in the limelight as the Nifty Media index gained 1.4 percent. Network 18, TV Today, Zee Entertainment, Sun TV Network, TV18 Broadcast and Jagran gained up to 3 percent.
Wipro, UltraTech Cement, Hindalco, GAIL and Tata Steel among others gained up to 3 percent while Tech Mahindra and HCL Technologies were down 1 percent each.