The Indian markets on Monday were trading in the negative territory during morning trade, tracking weak global market cues.
The S&P BSE Sensex index was down 721 points to 57,470.29 level whereas Nifty50 was 17 points down to 17,314.65 at 9.21 IST on Monday.
Some of the stocks trading in the green were Paytm, Starhealth and Ambuja Cements.
The laggards were Bajaj Finance, Adani Ports, Asian Paints and HDFC Bank on the 30-share index.
BSE Bankex was 1.38 per cent to 44,265.64 whereas BSE IT was 320 points down.
In the broader market, BSE Midcap was down 300 points whereas BSE Smallcap dipped 212 to 28,970. Nifty Bank was down 104 points to 39,178 level and Nifty Financial Services dipped 0.24 per cent in morning trade on NSE.
Growth in the US jobs market is slowing but an unexpected drop in the unemployment rate has fuelled expectations that the Federal Reserve will continue with its aggressive tightening of monetary policy.
The tightening of US monetary policy would influence other central banks to follow suit. Most of the global indexes like S&P 500, Dow Jones and Nasdaq were trading in the red during the morning.
However, on the domestic front, the investors are keeping a wait-and-watch policy and looking forward to the earnings of companies for the second quarter (July-September) in the financial year 2022-2023.
The investors are also banking on Diwali and other festivities, when sales and shopping surge, and the prices of precious metals strengthen. At the beginning of the second quarter announcements, the earning results of the IT major — TCS — will be announced on Monday.
Another IT major Infosys will also announce its earnings on Thursday. According to Jefferies, Infosys is expected to report a 4 per cent quarter-on-quarter revenue growth in constant currency for the second quarter of FY23.
The Sensex closed in the red on Friday after two consecutive sessions of the rally. On Friday, Nifty50 of the NSE closed 17.15 points or 0.1 per cent down at 17,314.65 points against its previous day’s close at 17,331.80 points.