India’s equity benchmark indices declined in early trade on Tuesday, hit by weak trends in Asian markets and continued foreign fund outflows. This fall has come when investors opted for profit booking after the recent sharp rise in the market.
The 30-share BSE Sensex is trading down more than 500 points at 71,764, while nifty A fall of more than 100 points was seen and it closed at 21,613. Significant decline was seen in major companies like UltraTech CementMahindra & Mahindra, Infosys, Asian Paints, HCL Technologies, and Larsen & Toubro. However, some companies like Sun Pharma, Bharti Airtel, Reliance Industries, Bajaj Finserv and Power Grid managed to post profits amid the overall slowdown.
“As the market takes into account all the positives in the one-sided rally over the past two months, we may see some selling pressure at record highs,” said Raghavendra Nath, managing director at Ladderup Wealth Management.
The negative trend was also reflected in other Asian markets, with Seoul, Shanghai and Hong Kong all trading lower. It is noteworthy that Asian, European and American markets were closed on Monday on the occasion of New Year.
In the commodity market, global oil benchmark Brent crude rose significantly, rising 1.65 per cent to $78.31 per barrel. Meanwhile, foreign institutional investors (FIIs) sold equities worth Rs 855.80 crore on Monday, according to exchange data.
The year 2023 witnessed a rise of 11,399.52 points or 18.73 per cent in the BSE benchmark and a rise of 3,626.1 points or 20 per cent in the Nifty.
Nifty’s 20% gain in 2023, especially in the last two months, was supported by factors such as accelerated quarterly growth, expectations of a US rate cut in the first half of 2024 and steady retail participation.
(with inputs from agencies)
The 30-share BSE Sensex is trading down more than 500 points at 71,764, while nifty A fall of more than 100 points was seen and it closed at 21,613. Significant decline was seen in major companies like UltraTech CementMahindra & Mahindra, Infosys, Asian Paints, HCL Technologies, and Larsen & Toubro. However, some companies like Sun Pharma, Bharti Airtel, Reliance Industries, Bajaj Finserv and Power Grid managed to post profits amid the overall slowdown.
“As the market takes into account all the positives in the one-sided rally over the past two months, we may see some selling pressure at record highs,” said Raghavendra Nath, managing director at Ladderup Wealth Management.
The negative trend was also reflected in other Asian markets, with Seoul, Shanghai and Hong Kong all trading lower. It is noteworthy that Asian, European and American markets were closed on Monday on the occasion of New Year.
In the commodity market, global oil benchmark Brent crude rose significantly, rising 1.65 per cent to $78.31 per barrel. Meanwhile, foreign institutional investors (FIIs) sold equities worth Rs 855.80 crore on Monday, according to exchange data.
The year 2023 witnessed a rise of 11,399.52 points or 18.73 per cent in the BSE benchmark and a rise of 3,626.1 points or 20 per cent in the Nifty.
Nifty’s 20% gain in 2023, especially in the last two months, was supported by factors such as accelerated quarterly growth, expectations of a US rate cut in the first half of 2024 and steady retail participation.
(with inputs from agencies)
