Mumbai: Benchmarks edged lower in early trade on Monday amid foreign fund outflows and largely weak Asian markets, where Japan’s Nikkei index fell nearly 5 percent.
Markets were also dragged down by declines in frontline stocks like ICICI Bank and Reliance Industries.
The BSE Sensex fell 464.22 points to 85,107.63 in early trade. The NSE Nifty was down 133.85 points at 26,045.10.
Of the 30 Sensex firms, Tech Mahindra, Mahindra & Mahindra, ICICI Bank, Reliance Industries, Axis Bank and UltraTech Cement were among the top laggards.
Tata Steel, JSW Steel, NTPC, Titan, Hindustan Unilever and Asian Paints were among the gainers.
In Asian markets, Seoul and Tokyo traded lower, while Shanghai and Hong Kong traded in positive territory.
Japan’s benchmark Nikkei 225 index was down nearly 5 percent early Monday.
US markets ended on a mixed note on Friday.
Foreign institutional investors (FIIs) offloaded shares worth Rs 1,209.10 crore on Friday, according to stock exchange data.
“In the near future, the market is likely to enter a consolidation phase. One important factor influencing foreign portfolios is the better performance of Chinese stocks, which was reflected in the Hang Seng index’s massive jump of around 18 percent in September.
“This surge has been driven by hopes of a revival in the Chinese economy in response to the monetary and fiscal stimulus announced by the Chinese authorities,” said VK Vijayakumar, chief investment strategist, Geojit Financial Services.
Global benchmark Brent crude rose 0.71% to $72.49 a barrel.
BSE’s benchmark Sensex was down 264.27 points, or 0.31%, at 85,571.85 on Friday. On the day, it rose 142.13 points, or 0.16%, to hit a fresh intraday high of 85,978.25.
The Nifty was down 37.10 points or 0.14% at 26,178.95 after rising 61.3 points or 0.23% to an all-time intraday high of 26,277.35 during the session.
