Gift Nifty Trades with Gains, Indicating Possible Rebound for Nifty

After three days of market fall, Gift Nifty on January 18 traded with gains signaling that benchmark index Nifty could snap its losing streak.

The positivity comes after foreign institutional investors (FIIs) sold shares worth Rs 9,901.56 crore, while domestic institutional investors (DIIs) bought Rs 5,977.12 crore worth of stocks on January 18. FIIs had a net worth of Rs 10,578 crore worth of shares on January 17 while DIIs bought shares worth Rs 4,006 crore.

Selling in the market intensified after HDFC Bank‘s Q3 earnings disappointed investors. The stock has fallen 11 percent in the last two sessions, with over 3 percent fall on January 18. The weakness in HDFC Bank shares created a ripple effect on other banking stocks, particularly private sector lenders.

But, the selling in HDFC Bank could ease now. HDFC Bank ADR (American Depository Receipt) shares added 2.5 percent to $57.

Earlier in the day on January 18, the equity benchmarks ended lower for the third straight day despite a mid-session pull-back with banks and IT stocks coming under selling pressure amid weak global cues.

At close, the Sensex was down 313.90 points or 0.44 percent at 71,186.86, and the Nifty was down 109.70 points or 0.51 percent at 21,462.30.