Markets in red for 3rd day as uncertainty looms over

Mumbai: Market bellwether Sensex on Wednesday ended in red for the third consecutive session as investors resorted to offload positions ahead of derivatives June contracts expiry on Thursday. With the country's biggest indirect tax reform GST) coming into force from July 1 onwards, the domestic equity markets traded in the red.

BSE Sensex fell 123.93 points or 0.40 percent to end the session at 30,834.32 points. The barometer had lost 332.49 points in the previous two sessions on lacklustre global cues and jitters ahead of GST rollout. NSE Nifty fell 20.15 points and closed at 9,491.25 points.

Besides, investors' sentiments were dampened by negative global cues and heavy selling pressure in consumer durables and capital goods stocks. Banks’ NPA headache and uncertainties surrounding GST pushed the market further down. Weakness in rupee and muted global pointers didn’t help things either. Weakness in the rupee and muted global pointers did not help things either.

“Banks NPA woes and expectation of higher cost on consumer durables post-GST rollout have kept the market in the red. Additionally, the expiry of derivative contract on Thursday and weak global cue adds volatility in the market,” Vinod Nair, Head of Research, Geojit Financial Services Ltd said.

Anupam Singhi, COO of William O'Neil India, said, “the market sentiment was subdued due to lacklustre performance across the Asian markets, and the lack of any major domestic cues. The indices began to slide, once the European markets opened in the red.” FPIs net bought shares worth Rs 292.11 crore, while DIIs sold shares worth a net Rs 148.54 crore Tuesday.