Market ends lower amid high volatility; PSU Banks outperform

After hitting fresh high in the Budget week, the Nifty50 index amid high volatility witnessed rangebound movement during the week ended February 9 post hawkish commentary from the US Fed and RBI, which diminished hopes of early rate cuts.

In this week, Nifty shed 71.3 points or 0.32 percent to finish at 21,782.5, while BSE Sensex fell 490.14 or 0.67 percent to end at 71,595.49.

BSE Mid-cap Index added 1.6 percent and touched new high on Februarty 8 led by Indian Overseas Bank, New India Assurance Company, UCO Bank, Zee Entertainment Enterprises, Oil India, Oracle Financial Services Software, Max Healthcare Institute, Cummins India, Max Financial Services, Canara Bank and Vodafone Idea. Losers included Endurance Technologies, Bank Of India, The Ramco Cements, APL Apollo Tubes, UNO Minda, Kansai Nerolac Paints, Delhivery and Aurobindo Pharma.

The BSE Large-cap Index ended on a flat note. Life Insurance Corporation of India, Adani Green Energy, Indian Oil Corporation, State Bank of India, Mankind Pharma and Bharat Petroleum Corporation added more than 10 percent each, while losers included UPL, One 97 Communications (Paytm), FSN E-Commerce Ventures (Nykaa), ITC, Bandhan Bank.

The BSE Small-cap index touched fresh record high on February 7 but shed 0.4 percent for the week. Automotive Stampings and Assemblies, Visaka Industries, Jayaswal Neco Industries, Schneider Electric Infrastructure, Triveni Turbine, Sanghvi Movers, Indiabulls Real Estate, Parag Milk Foods, Everest Kanto Cylinder, S H Kelkar & Company, Garware Hi-Tech Films, SMC Global Securities, Jaiprakash Power Ventures, Bajaj Hindusthan Sugar, Jaiprakash Associates and EIH rose 20-44 percent. However, IFGL Refractories, WPIL, Aptech, Balmer Lawrie Investment, Best Agrolife, Mukand, Andrew Yule and Company, BEML and AGS Transact Technologies lost between 15-27 percent.

On the sectoral front, Nifty PSU Bank index added 5 percent, Nifty Healthcare index gained 4.4 percent, Nifty Oil & Gas index rose nearly 4 percent, Nifty Pharma index up 3.9 percent, Nifty Pharma index up 3.6 percent and Nifty Media index up 3 percent.

In terms of the market value, HDFC Bank lost the most in terms of market value, followed by ITC, Bharti Airtel and Kotak Mahindra Bank. On the other hand, State Bank of India, Tata Consultancy Services and Sun Pharmaceutical Industries added the most of their market-cap.

Foreign institutional investors (FIIs) sold equities worth of Rs 5,871.45 crore, while Domestic institutional investors (DIIs) have provided support by compensating buying of equities worth Rs 5,325.76 crore during the week. However, in the month of February till now, the FIIs sold equities worth Rs 7,680.34 crore, while DIIs bought equities worth Rs 8,661.41 crore.

In this week, the Indian rupee lost some ground against the US dollar, as domestic unit fell 11 paise to close at 83.03 in the week ended February 9 against the February 2 closing of 82.92.