Indian equity benchmark -- Nifty -- ended near day’s low point on Friday, amid renewed concerns about the health of the U.S. banking sector after lenders PacWest Bancorp and First Horizon said they were reviewing their options. Index made a negative start of the day. Traders ignored director general of the Federation of Indian Export Organisations (FIEO) Ajay Sahai’s statement that India's exports of goods and services could touch $900 billion in the current financial year, up from $770 billion in the previous year, keeping resilient despite global headwinds. Meanwhile, foreign institutional investors (FII) bought shares worth Rs 1,414.73 crore on May 4, provisional data from the National Stock Exchange showed.
In afternoon session, index extended its losses, as investors remained cautious amid a private report predicting that the risks to earnings growth, which include the impact of the global economic slowdown, specifically on the IT sector, as well as potential delays in rural revival and the possibility of a peak in urban demand, are apparent in the market movements. Finally, index ended with losses of 186.80 points, as investors sold-off their riskier shares. Media, Metal and banking counters mainly pressurized the market.
Most of the sectorial indices ended in red except Consumer Durables, Auto and FMCG. The top gainers from the F&O segment were Cholamandalam Investment and Finance Company, TVS Motor Company and MRF. On the other hand, the top losers were Manappuram Finance, Federal Bank and Bharat Heavy Electricals. In the index option segment, maximum OI continues to be seen in the 18400 -18600 calls and 17400 -17600 puts indicating this is the trading range expectation.
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