Sensex rises 200 pts from day’s low; Nifty near 23,550: Key reasons behind markets paring losses

Fresh updates from the financial markets indicate that Key market indices The two key benchmark indices partially pared losses on September 9 due to various reasons, including value buying.

At 10:30 am, the Sensex was down 446.29 points or 0.59% at 75,131.29, and the Nifty was down 94 points or 0.4% at 23,541.10. Around 1,535 shares advanced, 1,984 shares declined, and 184 shares were unchanged.

Key reasons behind markets paring losses

1) Value buying

Value buying emerged from softer marks on September 9 after the index declined for third straight session.

Max Healthcare Institute was among the top gainer among the Nifty 50 constituents, up 3.5%. Adani Enterprises rose 5% after its wholly-owned subsidiary Adani Airports decided to sell 5.5% stake to several market participants, including BlackRock. Coal India and NTPC rose nearly 2% each. Larsen & Toubro, Apollo Hospitals Enterprises, and Hindalco Industries advanced around 1% each. Oil and Natural Gas Corp. was up nearly 1%. Shares of the oil explorer rose amid elevated oil price marks.

All broader market indices were softer. Smallcap indices declined 0.1-0.2% and midcap indices declined 0.4-0.5%. Among the sectoral indices, Nifty IT declined over 3%. Nifty Financial Services and Nifty Auto declined 0.7% each. On the other hand, Nifty Energy rose nearly 1% and was the top performer among the sectoral indices.

2) Buying in metal, energy shares

Buying in metal, energy shares helped markets restrict further decline on September 9.

3) Technical reason

Nifty has to trade below 23,450 for further softness in markets, stated market watchers.