Thursday, November 28, 2024

  • Twitter
Investment

Sensex, Nifty slip amid continued FII outflows, global uncertainties

November 8, 2024 11:06 AM IST

Nifty-Sensex

Indian stock markets opened lower on Friday as concerns over global uncertainties and ongoing foreign institutional investor (FII) outflows weighed on sentiment.

Despite the US Federal Reserve’s overnight interest rate cut of 25 basis points, investor confidence remained subdued.

As of 9:28 AM, the BSE Sensex was down 199.27 points, or 0.25 percent, trading at 79,342.52. The Nifty50 index fell by 66 points, or 0.27 percent, to 24,090.30.

Only eight companies in the Nifty50 registered gains, led by Infosys, Apollo Hospitals, Wipro, Tech Mahindra, and Hindalco. In contrast, BPCL, Reliance, Coal India, Tata Motors, and Maruti were among the top losers.

Ajay Bagga, a banking and market expert, attributed the market’s downturn to a combination of global and domestic pressures.

“The US Presidential Election is over, the Fed rate cut has happened, and China’s National People’s Congress session concludes today with expectations of further stimulus. However, rising geopolitical risks—especially with reports of Iran preparing for possible strikes on Israel and the US deploying F-15 fighters to the Middle East—are creating market volatility. Investors are now adjusting to the outlook for Trump’s potential second term,” Bagga said.

He also highlighted the significant FII outflows, which have amounted to Rs 16,000 crore in the first week of November alone.

“Domestic institutional investors (DIIs) are expected to inject around Rs 50,000 crore monthly, but persistent FII sales, combined with a strong US dollar and high US Treasury yields, continue to weigh on Indian markets,” Bagga added.

While government spending and seasonal consumption could offer some relief, Bagga pointed out that the market remains “range-bound and constrained by ongoing FII selling pressure.”

(With ANI inputs)

Visitors: 2840326

Last updated on: 28th November 2024