Indian Stock Markets Snap Six-Day Winning Streak
India's key equity benchmarks, the BSE Sensex and NSE Nifty50, closed in negative territory on Tuesday, putting a halt to their six-session positive run. The decline was primarily driven by selling pressure in IT, metal, and capital goods stocks, reflecting weak trends in global markets.
Key Indices and Losers
The Nifty50 index dropped by 103.40 points, or 0.40%, to settle at 25,910.05. The 30-share BSE Sensex declined by 277.93 points, or 0.33%, ending the day at 84,673.02. During the trading session, the Sensex even fell to an intraday low of 84,558.36, down by 392.59 points.
Among the major Sensex companies, the top laggards were:
- Tech Mahindra
- Infosys
- Bajaj Finance
- Bajaj Finserv
- Eternal
- Adani Ports
- Hindustan Unilever
- Bharat Electronics
Gainers and Expert Commentary
On the brighter side, Bharti Airtel, Axis Bank, Asian Paints, and Titan emerged as the top gainers, providing some cushion to the falling indices.
Vinod Nair, Head of Research at Geojit Investments Limited, commented on the market movement, stating, "The domestic equity market edged lower as investors booked profits after the recent rebound, mirroring weak global sentiment. Expectations of a US Fed rate cut in December have diminished, weighing on sentiment, with IT, metal, and realty stocks declining amid a stronger dollar."
Global Markets and Other Factors
The negative sentiment was a global phenomenon. Major Asian markets, including South Korea's Kospi, Japan's Nikkei 225, China's SSE Composite, and Hong Kong's Hang Seng index, all witnessed sharp declines. European markets were also trading negatively, and US markets had closed lower on Monday.
In other news, Commerce and Industry Minister Piyush Goyal expressed optimism about the proposed India-US trade agreement, suggesting that a positive announcement would be made once fair and balanced terms are reached.
On the liquidity front, Foreign Institutional Investors (FIIs) were net buyers, purchasing equities worth Rs 442.17 crore on Monday. Domestic Institutional Investors (DIIs) also bought stocks valued at Rs 1,465.86 crore in the previous session.
In the commodities market, Brent crude oil prices fell by 0.40% to USD 63.94 per barrel.
This downturn comes after a strong performance on Monday, where the Sensex had risen by 388.17 points and the Nifty had gained 103.40 points, continuing its six-day advance.
