Sensex, Nifty consolidate with negative bias; Maruti hits record high

Market check: Equity benchmarks continued to consolidate with a negative bias. Asia turned mixed and European stocks are also likely to open mixed as UK general elections’ results indicated possibility of a hung parliament.

The 30-share BSE Sensex was down 59.06 points at 31,154.30 and the 50-share NSE Nifty fell 19.95 points to 9,627.30.

Maruti Suzuki hit a fresh record high intraday, up nearly 2 percent after a media report indicated that the company plans to spend Rs 1,000 crore in land acquisition this year.

Reliance Industries continued to support the market, up nearly 1 percent followed by HDFC Bank. HDFC rebounded after early losses while TCS remained higher.

Infosys continued to be leading contributor to Sensex’ losses, down 2 percent followed by ITC, Adani Ports, L&T, Tata Motors, SBI.

Market Outlook: At a time when the market is witnessing strong moves, with bouts of consolidation, IL&FS sees sideways movements for the near term.

Highlighting that in the current situation, macros are positive and could be better post good monsoon, Vibhav Kapoor of IL&FS told CNBC-TV18 that it was legitimate for the market to assume that these will translate into higher earnings growth.

Having said that he saw strong resistance at 9650-9700 as a strong resistance point for the Nifty. A crossover from this point could take the index to 10000, he said. But, in the near term, there could be a correction, but not a deep one.