Equity indices edge lower, Nestle India dips 3.3%

Equity benchmark indices slipped during early hours on Wednesday on the back of mixed global cues in spite of optimism about a global economic recovery. At 10:15 am, the BSE S&P Sensex was down by 311 points or 0.6 per cent at 51,793 while the Nifty 50 edged lower by 86 points or 0.56 per cent to 15,228.

Most sectoral indices at the National Stock Exchange were in the red with Nifty IT down by 1.2 per cent, private bank by 0.8 per cent and FMCG by 0.6 per cent. But Nifty PSU bank was up by 3.2 per cent. Among stocks, Nestle India dipped by 3.3 per cent to Rs 16,651 per share on weak December quarter results. Hindustan Lever was down by 0.7 per cent.

Private lenders Kotak Mahindra Bank, IndusInd Bank and HDFC Bank dropped by 2 per cent, 0.9 per cent and 0.8 per cent respectively. Asian Paints, Wipro and Tata Consultancy Services too traded with a negative bias. However, Adani Ports gained by 2.6 per cent to Rs 653.20 per share after the company said it has completed the acquisition of Dighi Port for Rs 705 crore.

The other gainers were Hero MotoCorp, State Bank of India, Hindalco, GAIL, NTPC and ONGC. Meanwhile, Asian shares slipped as investors booked profits after a recent rally. The Nikkei share average fell by 0.87 per cent.

South Korean shares fell after gaining for three consecutive sessions as the number of new Covid-19 cases hitting the highest levels in 39 days weighed on sentiment.