Markets volatile, to stay in range

Mumbai : The markets broke their three-week winning streak, with a fall in Infosys’ stocks and weak Index of Industrial Production (IIP) data. The Sensex touched a high of 18,844 before falling to a low of 18,326, eventually ending at 18,562.

After Infosys had beat market expectations and posted a net profit of Rs 2,415 crore for the quarter ended June, the company lowered its outlook for the second quarter. This resulted in its shares declining eight per cent to Rs 2,731. Hindalco plunged six per cent to Rs 177. Jaiprakash Associates, Wipro, Tata Steel, Hero Honda and Bharat Heavy Electricals were the other major companies whose stocks slid. Reliance Industries, however, gained two per cent, to Rs 873.

With more companies expected to announce results, the markets are likely to remain volatile. The downside trigger level of the Sensex is 18,250, while the upside resistance is 19,180. Next week, the Sensex is likely to move in a range of 18,240-18,880, with near support around 18,365 and resistance at 18,760.