Mumbai: Indian markets on Friday closed nearly 0.5% lower as investors focus on the Group of 20 Summit in Japan. On weekly basis, both the benchmark Sensex and Nifty indices posted first weekly gains in four on expectations that the government will announce measures to review economic growth in the budget next week.
The S&P BSE Sensex index fell 0.48% to 39,394.64 while the NSE Nifty 50 Index dropped 0.45% to closed at 11788.85 points. The gauge added 0.5% in the five-day period after three consecutive weeks of decline and is headed for its biggest advance since the week-ended 26 May, data compiled by Bloomberg show.
“Caution ahead of G-20 meet, weak monsoon rains and RBIs concern over NBFC’s liquidity impacted the sentiment. Expectation for Q1FY20 got muted after an insipid economic data. Auto and metal sectors are likely to be subdued due to low demand and benign raw material prices. Government seems to have hectic task ahead- to support growth and maintain fiscal prudence which will be closely watched by the market”, said Vinod Nair, Head of Research, Geojit Financial Services .
The market awaits US President Donald Trump’s Saturday meeting with Chinese counterpart Xi Jinping at the G20 summit. There were no preconditions for the talks and the US may move ahead with additional tariffs if there is no deal with China.
Investors will also focus on Prime Minister Narendra Modi’s meeting with leaders at the G20 summit, the informal meeting of BRICS leaders, release of India’s balance of payment for the quarter ended March, fiscal deficit data for April-May and output of eight key core industries for May.
Top losers in the Sensex pack were Yes Bank, IndusInd Bank, Tata Motors, Reliance Industries and ONGC taking 3.29%.
Among sectors, Nifty Metal was the worst performer falling 1.13%. Nine out of 11 sectors complied on NSE ended in the red zone today.