stock market today, bse sensex And nifty 50Indian benchmark equity indices, which had a dream run in the last month of December, are looking at a period of profit-booking in the first month of 2024. While the stock market is in a long-term bullish trend and analysts and brokerage firms are positive about Indian markets amid global headwinds, a downtrend has been witnessed in the last few days.
The BSE Sensex on Tuesday closed at 70,370.55, down over 1,050 points or 1.47%. Nifty 50 also witnessed a decline, closing at 21,238.80, down over 330 points or 1.54%. According to PTI stock market crash There was a loss of Rs 8.5 lakh crore investors‘Money today.
The broader market saw a sharp decline with Midcap100/Smallcap100 falling 3% each. Pharma was the only sector that gained 1.7%. Due to the cancellation of Zee-Sony deal, all other sectors saw selling pressure and media suffered the biggest loss of 13%. Nifty Realty also fell 5.3% after Oberoi Realty’s weak results. PSU banks, railways, power utilities were some of the sectors that saw profit-booking after sharp growth in recent times.
Siddharth KhemkaDomestic stock markets opened positive but soon fell into the red due to heavy selling amid profit-booking, said Head of Retail Research, Motilal Oswal Financial Services Ltd.
“Global sentiments turned cautious following Fitch Group’s statement that South Asian economies will be hardest hit amid escalating hostilities in the Red Sea due to Houthi attacks and India’s economic forecast faces a significant risk due to prolonged disruption . Also BoJ followed China and kept interest rates unchanged,” Siddharth Khemka told TOI.
While global factors will continue to influence market sentiment, analysts believe quarterly earnings will drive individual stock and sector movements over the next few days. Additionally, experts believe that Indian markets are in an overbought zone, so sporadic profit booking is expected to continue.

Where are BSE Sensex and Nifty 50 going in the near future? What should investors do?

“We know the markets are trading in the expensive zone at Rs 1080x21m EPS,” says Sandeep Raina, executive vice president-research, Nuvama Professional. “We should largely remain cautious in the short term and wait for the right time to enter as there is a possibility of a mild correction,” Raina told TOI.

According to Varun Sabu, head (equities), Anand Rathi Shares and Stock Brokers, the markets have seen a very strong rally in the last few quarters. “Correction is natural and it is visible in the mid-cap. However, we believe one should buy these corrections and we expect large caps to outperform mid caps over the next 12 months,” Sabu told TOI.
Siddharth Khemka believes that investors are waiting for the ECB rate decision as well as US GDP data. On the domestic front, this week is a short week with only three trading days. “Given the weak global cues and a mixed set of earnings so far, the market is likely to consolidate and may see a slight further decline pending the next set of fresh positive triggers,” he said.

Sandeep Raina says that the figures for the third quarter have been mixed. “BFSI numbers were not good while IT reported good numbers. We find some value in IT and chemicals where incremental money can be invested,” he said. “While we remain optimistic in the long term on sectors like power, infrastructure, defence, for the short term we should focus on the results and their respective comments by the management,” he said.