India’s stock markets closed the week with further losses as both the Sensex and Nifty ended Friday in the red. The Sensex dropped by 703.95 points, or 0.85 percent, finishing at 81,793.16, while the Nifty slipped by 200.25 points, or 0.79 percent, closing at 25,049.85.
Out of the 50 companies listed on the Nifty, 13 managed to post gains, while 37 saw declines. Leading the list of gainers were Infosys, ONGC, HDFC Life, Tata Motors, and Wipro, which managed to withstand the broader market downturn. On the other hand, major losses came from M&M, Bajaj Finance, Asian Paints, Nestle India, and BPCL, contributing to the overall decline.
Jateen Trivedi, VP Research Analyst – Commodity and Currency at LKP Securities, commented on the factors influencing market performance, stating, “The rupee witnessed a weak trading week as it reacted to the dollar index strengthening. The rupee slipped to 84.00 levels, impacted by the escalation in the Iran-Israel conflict.”
He added, “Additionally, the opening of China’s economy, with its easing rate policies, has diverted foreign institutional investors (FIIs) towards Chinese markets, contributing to the continued selling of Indian shares.”
The combination of global uncertainty and FII outflows has increased market volatility, and analysts expect this trend to continue in the near term. Investors are advised to remain cautious as external factors play a larger role in influencing market sentiment.
Over the past five trading sessions, the Indian stock markets have seen a steep decline in investor wealth, with about Rs 13 lakh crore wiped out, according to data from the Bombay Stock Exchange (BSE). The total market capitalization of Indian stocks stood at Rs 479 lakh crore last week but has now dropped to Rs 466 lakh crore, marking a Rs 13 lakh crore reduction in just one week.
Both the Sensex and Nifty have been under continuous selling pressure, with each index losing more than 4 percent over the last five trading days. This downturn follows a period of robust market performance, leading to concerns over weakened investor sentiment going forward.
(ANI)