By Bharath Rajeswaran and Vivek Kumar M
(Reuters) -India’s equity benchmarks were flat on Friday, consolidating near record highs but on track for their best month since March, driven by stronger earnings prospects and renewed foreign inflows.
The Nifty 50 fell 0.09% to 25,854.05, while the BSE Sensex shed 0.05% to 84,355.09, as of 10:25 a.m. IST.
Eleven of the 16 major sectors posted losses. The broader small-caps and mid-caps rose 0.2% each.
The indexes lost about 0.7% each on Thursday after U.S. Federal Reserve Chair Jerome Powell cast doubts on a December rate cut following this week’s 25-basis-point reduction, while caution over a U.S.-China trade deal also weighed.
The Nifty and Sensex have gained about 5% each in October, eyeing their best month since March, and are trading nearly 1.5% and 1.8%, respectively, below their all-time highs hit in September 2024.
“The Nifty appears to be coiling within a defined range, engaged in a phase of tight consolidation around 26,000 levels,” HDFC Securities’ Deputy Vice-President Nandish Shah said.
The outlook for domestic equities remains positive, supported by stronger earnings prospects and renewed foreign inflows, two analysts said.
Foreign investors have bought Indian shares worth $1.94 billion in October, after three consecutive months of selling, securities depository data showed.
Among individual stocks, United Spirits jumped 5% after the spirits maker posted a 41% profit rise in the September quarter.
Lodha Developers gained 3%, after the real estate developer reported a strong second-quarter profit and an acceleration in pre-sales from the ongoing December quarter.
Navin Fluorine surged 14%, after the fluorochemicals company logged higher quarterly profit, driven by strength across its core business verticals.
On the flipside, Bandhan Bank fell 5% after the lender posted a 88% drop in its second-quarter profit on increasing delinquency in the micro-finance portfolio.
(Reporting by Vivek Kumar M and Bharath Rajeswaran; Editing by Rashmi Aich and Sumana Nandy)
