Sensex tanks 304 points on last trading day but closes year on a higher note
Mumbai: Market benchmark Sensex slumped 304 points on the last trading session of 2019, dragged by losses in index-heavyweights Reliance Industries, HDFC twins, ICICI Bank and TCS.
After swinging over 423 points intra-day, the 30-share BSE Sensex ended down by 304.26 points, or 0.73 per cent, at 41,253.74. The broader NSE Nifty closed 87.40 points, or 0.71 per cent, down at 12,168.45.
Despite ending on a weak note in the session, Sensex skyrocketed 5,185.41 points or 14.37 per cent and the Nifty soared 1,305.90 points or 12.02 per cent during the entire year.
On an annual basis, investors wealth soared by Rs over 11 lakh crore in 2019 helped by the stupendous rally in the stock market. Signing off 2019, the market capitalisation (m-cap) of BSE-listed companies rose by Rs 11,05,395.78 crore to Rs 1,55,53,861.47 crore.
Rusmik Oza, Sr. VP (Head of Fundamental Research-PCG), Kotak Securities Ltd commented, "CY19 has seen a broad based rally across all regions wherein Indian equities underperformed most of the developed markets and few of the emerging markets. The polarisation seen in CY18 continued in CY19 with only a handful of stocks contributing to the returns in Nifty-50."
"In CY19 till date India has attracted $14.3 billion from FPIs and $7.5 billion from local mutual funds. We expect FPI flows could remain positive in CY20 and SIP flows to remain sticky with annualized run rate of $14-15 billion," Oza added.
On the last trading day of 2019, Tech Mahindra was the top loser in the Sensex pack, shedding 2.51 per cent, followed by Bajaj Auto, RIL, Hero MotoCorp, IndusInd Bank, Mahindra and Mahindra, HDFC and TCS.
On the other hand, NTPC, Sun Pharma, ONGC, PowerGrid and UltraTech Cement were among the gainers.
During the day, BSE energy, telecom, auto, teck, IT and finance indices ended up to 1.20 per cent lower, while BSE power, realty and metal indices rose up to 0.83 per cent.
Market currently witnessing a navigation of fund flow from large cap to mid-caps in expectation of government policies and positive global environment which will support investor's sentiment, he observed. Globally, Shanghai ended 0.33 per cent higher while Hong Kong settled 0.46 per cent lower. Markets in Tokyo and Seoul remained closed for year-end holidays.