Markets open largely flat, banking stocks under-perform

The Indian rupee opened on a weaker note at 73.80 to a US dollar from its previous close of 73.57 against a greenback.

New Delhi: Stock markets opened largely flat on Monday amidst negative global cues and heavy selling pressure in banking, auto and consumer durable stocks.

In early trade, the 30-share barometer pushed lower by 123.93 points or 0.36 percent to 34,609.65. The gauge had climbed 732.43 points in the previous session on Friday.

The NSE index Nifty was trading lower by 36.15 points or 0.35 percent at 10,436.35.

Selling activity emerged after data released by Central Statistics Office (CSO) on Friday showed that industrial production slipped to a three-month low of 4.3 per cent in August, while retail inflation up marginally to 3.77 per cent in September.

Meanwhile, the rupee depreciated by 36 paise paise to 73.93 against the dollar in early trade after Brent crude again went past the USD 81 a barrel, which also dampened sentiments.

Foreign portfolio investors (FPIs) gave up shares worth a net of Rs 1,322 crore, while Domestic institutional investors (DIIs) remained net buyers, picking up shares worth a net of Rs 1,287 crore on Friday, provisional data showed.

Asian shares over fresh fears of US-China trade disputes. MSCI`s broadest index of Asia-Pacific shares outside Japan fell 0.8 percent while Shanghai shares were down 0.4 percent in early trade. Japan`s Nikkei dropped 1.4 percent, with carmaker shares hitting 13-month lows after Washington said it would seek a provision about currency manipulation in future trade deals with Japan, Reuters report said.

With Agency Inputs