Markets are likely to remain under pressure amid a pointy surge seen in U.S. 10-year treasury yields to 16-year highs of 4.5 per cent, says Siddhartha Khemka, Head – Retail Research, Motilal Oswal Financial Service.
Nifty traded sideways amid subdued international cues and closed flat to destructive at 19669 ranges. Also mounting considerations over China’s actual property sector, and FIIs offloading in home equities dampened the emotions, he mentioned.
However, momentum is seen in auto and defensive sectors like FMCG. Auto sector is predicted to remain in focus going forward as OEMs are likely to enhance output by 25 per cent amid a build-up in orders forward of the festive season. FMCG sector is appeared at as a secure haven given the pressure seen within the broader markets, he mentioned.
Investors would be careful for the US Consumer Confidence quantity for the month of September and New Home Sales information for the month of August that might be launched later within the day, he added.
Vinod Nair, Head of Research at Geojit Financial Services mentioned buying and selling remained flat as headwinds from the worldwide market and continued promoting by FIIs saved home traders under vigil.
While cut price looking was seen in small-cap shares due to the latest correction and beneficial valuation in contrast to massive and mid-caps, IT indices slid due to the concern of another fee hike by the FED and a consequent discount in spending.
(With inputs from IANS)