Sensex, Nifty turn choppy on weak global cues

Mumbai: The BSE Sensex turned negative after opening 59 points higher in the early trading session today on sustained capital outflows amid weak global cues following rising concerns of a global trade war. The 30-share index was trading lower by 54.01 points, or 0.15 per cent, at 35,324.59. The gauge had gained 114.19 points in the previous session.

Investor sentiment turned weak after most Asian stocks declined as trade jitters continued to simmer ahead of the July 6 deadline when US tariffs are due to take effect. The deadline is set to see the imposition of 25 per cent tariff on USD 34 billion worth of Chinese goods. China has also announced that it will retaliate against those measures, brokers said. Vedanta, ONGC, Tata Motors, Adani Ports, SBI, Yes Bank, Tata Steel, TCS, Bharti Airtel, Hero MotoCorp, Infosys, Asian Paints, ITC, L&T, ICICI Bank, Wipro and Coal India were among the top index losers, shedding up to 1.91 per cent. On the other hand, Power Grid, Sun Pharma, HDFC Ltd, RIL, HUL and HDFC Bank, rose up to 1.11 per cent.

The NSE Nifty too edged lower by 18.65 points, or 0.17 per cent, to 10,681.25. Sectoral indices, led by metals, realty, teck, PSU, IT, oil & gas, infrastructure, auto, capital goods and bankex stocks, fell by up to 1.20 per cent. Meanwhile, foreign portfolio investors (FPIs) sold shares worth a net Rs 1,043.31 crore, while domestic institutional investors (DIIs) bought shares worth a net Rs 278.84 crore yesterday, as per provisional data. In the Asian region, Japan's Nikkei fell 0.48 per cent and Hong Kong's Hang Seng plunged 1.13 per cent in early trade. China's Shanghai Composite index, too, shed 0.68 per cent. The Dow Jones Industrial Average ended 0.54 per cent lower in yesterday's trade.