Mumbai: The NSE Nifty closed flat amid extreme volatility in the last half an hour of trade on Wednesday. The 30-share BSE Sensex has seen more than 200 points swing during the day, before closing down 16 points at 17,464.85.
The market was moderately lower in the morning trade due to weak Asian cues, then it turned higher in the afternoon trade following positive European cues. Finally at the close of trade, it erased all its gains post weak manufacturing data from the Eurozone. The 50-share NSE Nifty rose just 0.5 points to 5,258.45.
European markets too wiped out their early gains post Eurozone Manufacturing PMI came in at 47.1 in the month of October - lowest since July 2009. These markets rallied 1-1.5 per cent in the initial trade post Greek PM won the cabinet support for a referendum on the Eurozone bailout deal. According to news reports, the referendum, which has taken most by surprise, may be held in December. The Dow Jones and Nasdaq futures were flat as well.
Financial markets worldwide are eagerly awaiting the G20 meet on November 3 and 4. However, David Buick, partner at BGC tells CNBC-TV18 that he expects absolutely nothing to emerge from this meet. "I suspect the European Union will force the G20 to focus its agenda almost entirely on this Greek tragedy," he explains.
Back home, Bharti Airtel and Hero Motocorp were the biggest losers on Wednesday, falling 2.6 per cent and 2.8 per cent, respectively. Bharti is going to declare its second quarter numbers on Friday.
Largecaps like ICICI Bank, BHEL, Coal India and NTPC fell 1 per cent each. Infosys, HDFC, L&T and TCS were marginally lower.
However, Reliance Industries supported the markets quite nicely, rising 1.3 per cent. ITC, M&M, HDFC Bank, SBI and HUL were up 0.2-0.6 per cent.
Fresh longs were seen in Anil Dhirubhai Ambani Group's stocks. Reliance Capital, Reliance Power and Reliance Infrastructure gained 1.5-4 per cent. Reliance Communications shot up 5.5 per cent on reports that RIL may tie up with the company for telecom services. Their open interest increased between 3.5 per cent and 7 per cent.
ICRA and L&T Finance Holdings gained 9 per cent and 2 per cent, respectively, post second quarter numbers. TVS Motor and Ashok Leyland moved up 1-2.5 per cent ahead of numbers.
Tech Mahindra and Mahindra Satyam rallied 4-5.5 per cent.
New listing: Indo Thai Securities fell 70 per cent, to close at Rs 23 a share after seeing an intra-day high of Rs 99.10 and low of Rs 18.10 on BSE.
Total traded turnover was more than Rs 1.1 lakh crore.
The market breadth was in favour of declines; about 660 shares gained while 761 shares dropped on the National Stock Exchange.
Largecaps like ICICI Bank, BHEL, Coal India and NTPC fell 1 per cent each.