Indices close in the red as last trading hour wipes out early gains

Mumbai: Equity benchmark indices erased morning and afternoon gains on Tuesday and slipped into negative zone amid heavy selling pressure in select high-profile stocks.

The BSE S&P Sensex and the Nifty 50 rose in early trading, bolstered by gains in broader Asian markets amid optimism over on-going US-China trade talks in Washington.

Market experts said the Reserve Bank of India’s decision to hand the government an interim dividend may also have spurred optimism.

But the last hour was crushing. The Sensex closed 146 points down at 35,352 while the Nifty closed 37 points down at 10,604.

IT space was a major drag among the sectors followed by pharma and energy. Buying was seen in FMCG, metal and PSU bank scrips.

TCS, Infosys, Wipro, and IndusInd Bank were the top losers while Vedanta, Grasim Industries and BPCL were the top gainers.