Sensex Sheds Over 400 Points; Financial Shares Weak

Asian shares were at seven-month lows as regulatory crackdowns in China roiled stocks in the technology, property and education sectors

Sensex Sheds Over 400 Points; Financial Shares Weak

Dr Reddy's, Kotak Mahindra Bank, Axis Bank, HDFC Bank and SBI lost 1-2 per cent each

The benchmark indices shed nearly a per cent this afternoon, mirroring the weakness across Asia, as regulatory crackdowns in China continued to roil investor sentiment. At 12:30 pm, the BSE Sensex was trading at 52,197.75, lower by 376 points or 0.7 per cent and the NSE Nifty was at 15,639.95, down 106.50 points or 0.67 per cent. The broader markets are also trading weak, with the BSE Midcap index and BSE Smallcap index losing 0.3 per cent and 0.6 per cent each.

Asian shares were at seven-month lows on Wednesday as regulatory crackdowns in China roiled stocks in the technology, property and education sectors.

In the currency market, the rupee opened on a flat note and inched 4 paise higher to 74.43 against the US dollar in early trade ahead of the US Fed decision later in the day. At the interbank foreign exchange, the rupee opened at 74.44 against the dollar and thereafter inched higher to 74.43.

In the primary market, the Rolex Rings' Rs 731 crore initial public offering (IPO) has opened for bidding today i.e. July 28. The IPO, which will close on July 30, will consist of a fresh issue of Rs 56 crore and an offer for sale of up to Rs 675 crore. The auto components maker has fixed the price band of the IPO at Rs 880-900 per share.

On the stock-specific front, Dr Reddy's has extended its previous day's losses by another 3 per cent to Rs 4,700 to top the loser's list on the BSE. And financial stocks are trading weak, with Kotak Mahindra Bank, Axis Bank, HDFC Bank and SBI losing 1-2 per cent each.

On the other hand, Bhartib Airtel, IndusInd Bank and Bajaj Finserv bucked the weak trend to gain 1-3 per cent each on the BSE. IndusInd Bank shares strengthened 1.8 per cent to Rs 558 in a weak market after the private sector lender reported a 99 per cent year-on-year growth in net profit at Rs 1,016 crore for the quarter ended June 2021 compared to Rs 510 crore in the corresponding quarter last year, on the back of growth in retail loans and lower non-performing assets (NPA) provisioning.

.