Market Turmoil: Sensex and Nifty Plummet Amid Global Tensions

The stock market closed the week with significant losses, as Sensex dropped by 703.95 points and Nifty by 200.25. Only 13 of 50 Nifty companies saw gains, with major losses in sectors like finance and consumer goods. Global issues and foreign investment outflows continue to drive volatility.

The stock market faced a turbulent week, as both the Sensex and Nifty concluded on a negative trajectory this Friday. The Sensex saw a significant drop of 703.95 points, equating to a 0.85% decline, settling at 81,793.16. Likewise, the Nifty slipped by 200.25 points or 0.79%, closing at 25,049.85.

A detailed review of the Nifty 50 revealed that only 13 companies made gains. Despite the predominant downward trend in the market, Infosys, ONGC, HDFC Life, Tata Motors, and Wipro stood out with positive advances. In contrast, M&M, Bajaj Finance, Asian Paints, Nestle India, and BPCL suffered significant losses, largely contributing to the market dip. LKP Securities' Jateen Trivedi attributed the weak market performance to the strengthening of the dollar index affecting the rupee, which hit 84.00 levels amidst rising Iran-Israel tensions.

Trivedi further remarked on the implications of China reopening its economy and easing rate policies, which have redirected foreign institutional investors towards Chinese markets, leading to sustained offloading of Indian shares. With escalating global tensions and FIIs withdrawing from Indian equities, market volatility is anticipated to remain a pressing concern, urging investors to stay vigilant.

In the past five trading days, the Indian stock market has witnessed a sharp erosion of investor wealth, losing approximately Rs 13 lakh crore, as per Bombay Stock Exchange (BSE) data. The market capitalization, which was Rs 479 lakh crore last week, plummeted to Rs 466 lakh crore this week. This consistent selling pressure has brought a downturn of over 4% in both Nifty and Sensex, reversing the recent trend of robust market performance. (ANI)

(With inputs from agencies.)