Sensex falls over 1%; Reliance, ITC, Bajaj Finance drag

 Benchmark equity indices declined on Tuesday, a day after recording sharp gains, with the BSE Sensex falling over 1 per cent due to selling in Reliance Industries, ITC and Bajaj Finance.

The 30-share BSE Sensex fell by 801.67 points or 1.11 per cent to settle at 71,139.90. During the day, it plummeted 865.85 points or 1.20 per cent to 71,075.72.

The Nifty declined 215.50 points or 0.99 per cent to 21,522.10.

Among the Sensex firms, Bajaj Finance fell by 5.03 per cent after its December quarter earnings failed to cheer investors.

Titan, UltraTech Cement, Bajaj Finserv, Reliance Industries, ITC and NTPC were among the other major laggards.

Tata Motors, State Bank of India, Hindustan Unilever, Power Grid, Tech Mahindra and Tata Consultancy Services were the gainers.

In Asian markets, Tokyo settled in the positive territory while Seoul, Shanghai and Hong Kong ended lower.

European markets were trading with gains. The US markets ended higher on Monday.

The BSE benchmark jumped 1,240.90 points or 1.76 per cent to settle at 71,941.57 on Monday. The Nifty climbed 385 points or 1.80 per cent to 21,737.60.

Global oil benchmark Brent crude climbed 0.21 per cent to  $82.57 a barrel.

Foreign Institutional Investors (FIIs) bought equities worth Rs 110.01 crore on Monday, according to exchange data. 

Rupee gains 5 paise agaisnt $

 The rupee appreciated 5 paise to 83.11 (provisional) against the US dollar on Tuesday, following a weak greenback against major currencies overseas amid a muted trend in domestic equities.

At the interbank foreign exchange market, the local unit opened at 83.14 against the greenback. Moving in a very tight range, the unit hit an intraday low of 83.15 and a high of 83.11 against the greenback.

The local unit finally settled at 83.11 against the dollar, higher by 5 paise (provisional) from its previous close.

On Monday, the rupee depreciated 5 paise to 83.16 against the US dollar.

According to Anuj Choudhary, Research Analyst, Sharekhan by BNP Paribas, the rupee gained on Tuesday on the softening of the US Dollar and a decline in crude oil prices from higher levels.

However, weak domestic markets capped sharp gains. The US Dollar eased slightly on rising risk appetite in global markets.

"We expect the rupee to trade with a slight negative bias on month-end Dollar demand from importers and concerns over geopolitical tensions in the Middle East and the Red Sea.

"Any recovery in the US Dollar or crude oil prices may also weigh on the rupee. However, a rise in risk appetite in global markets may support the rupee at lower levels," Choudhary said.

"Investors may remain cautious ahead of the US FOMC meeting and India's Budget later this week. USD/INR spot price is expected to trade in a range of Rs 82.90 to Rs 83.40," he added.

Meanwhile, the dollar index, which gauges the greenback's strength against a basket of six currencies, was trading 0.06 per cent lower at 103.55.

Brent crude futures, the global oil benchmark, climbed 0.21 per cent to $82.57 a barrel.

Brent crude up

  Crude oil futures on Tuesday declined 0.08 per cent to Rs 6,394 per barrel as participants trimmed their positions on low demand.

On the Multi Commodity Exchange, crude oil for February delivery fell Rs 5 or 0.08 per cent to Rs 6,394 per barrel with a business volume of 8,532 lots.

Globally, West Texas Intermediate crude oil traded 0.08 per cent higher at $76.84 per barrel, while Brent crude climbed 0.21 per cent to $82.57 a barrel.

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