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The domestic equity markets caught on to the global fever as both the equity benchmarks cracked in early trade on Thursday.

The domestic equity markets caught on to the global fever as both the equity benchmarks cracked in early trade on Thursday.

The S&P BSE Sensex sunk as much as 1,037.36 points and the Nifty50 hit 10,138.60 level, 321.5 points below its previous close.

The Sensex opened at 34,063.82 and the Nifty at 10,169.80. Until 10:29 am, the Sensex had hit an intra-day low of 33,723.53 and the Nifty of 10,138.60. Experts said that the markets tanked owing to global rout witnessed across Asia after Wall Street suffered its worst drubbing in eight months.

All 30 Sensex stocks but one traded in the red while 45 out of 50 Nifty stocks were in the negative.
 
Tata Steel, State Bank of India, Vedanta, HDFC and IndusInd Bank were the top five Sensex losers. ONGC was the only gainer in the 30-share pack.
 
Heavyweights HDFC, Reliance Industries, Infosys, HDFC Bank and ICICI Bank led the fall in the Sensex.
 
"The global sell-off had an impact on the domestic markets. These is also a fear of rising interest rates. Macro fundamentals are also bad. All this has hurt the investor sentiment," said AK Prabhakar, Head of Research at IDBI Capital.
 
On the NSE, all sectoral indices traded with losses. The Nifty PSU Bank ( index of state-run banks) and the Nifty Metal (the index of metal stocks) fell the most losing 4.56 per cent and 4.01  per cent respectively.  
 
Experts advised traders to remain cautious. "Volatility indecisiveness prevails in the market and not only global but also domestic dynamics are causing doubts in the minds of investors...the investors are advised to remain cautious as volatility may prevail in markets," said Ritesh Ashar, Chief Strategy Officer, KIFS Trade Capital.
 
According to provisional data available with the National Stock Exchange (NSE), foreign portfolio investors sold net equities worth Rs. 1,096.05 crore on Wednesday.
 
In the currency market, the rupee hit a fresh all-time low of 74.45 against the US dollar strong demand for the greenback and sustained capital outflows.
 
In global markets, MSCI's broadest index of Asia-Pacific shares outside Japan shed 2.7 per cent to its lowest in 18 months. Japan's Nikkei fell 3.4 per cent, the steepest daily drop since March, while the broader TOPIX lost around $195 billion in market value.
 
Shanghai shares touched their lowest since late 2014, while China blue chips slid 3 per cent, according to a report by news agency Reuters.
 
On Wall Street, the S&P500's sharpest one-day fall since February wiped out around $850 billion of wealth as technology shares tumbled on fears of slowing demand.
 
The S&P 500 ended Wednesday with a loss of 3.29 per cent and the Nasdaq Composite 4.08 per cent, while the Dow shed 2.2 per cent.
 
The blood letting was bad enough to attract the attention of US President Donald Trump, who pointed an accusing finger at the Federal Reserve for raising interest rates. "I really disagree with what the Fed is doing," Mr Trump said. "I think the Fed has gone crazy."