5 Reasons Why Sensex Plunged 536 Points Today

Extending losses to the fifth straight session, Indian share markets witnessed selling pressure throughout the day today and ended deep in the red.

At the closing bell, the BSE Sensex stood lower by 536 points. Meanwhile, the NSE Nifty ended down by 150 points.

Axis Bank and SBI were among the top gainers today. HUL, on the other hand, was among the top losers today.

SGX Nifty was trading at 13,830, down by 153 points, at the time of writing.

Both, the BSE Midcap index and the BSE Smallcap index ended lower by 0.5%.

On the sectoral front, realty stocks, IT stocks and FMCG stocks were among the hardest hit.

US stock futures are trading lower today indicating a weak opening for Wall Street indices. Nasdaq Futures are trading down by 142 points (down 1.1%), while Dow Futures are trading down by 118 points (down 0.4%).

The rupee is trading at 73.03 against the US$.

Gold prices are trading down by 0.3% at Rs 48,725 per 10 grams.

Here are the Top 5 Factors Why Indian Stock Markets Plunged Today

US Fed Raises Concerns: The Federal Reserve on Wednesday raised concerns over US economic growth and left its key overnight interest rate near zero, and made no change to its monthly bond purchases, pledging again to keep those economic pillars in place until there is a full rebound from the pandemic-triggered recession.

Pre-Budget Nervousness: Traders were seen lightening their positions ahead of Union Budget on Monday amid the monthly expiry of January futures and options contracts.

Weak Global Cues: European stock markets sank at the open, extending the previous day's heavy losses as a global sell-off gathered speed.

Asian stock markets ended deep in the red while the safe-haven dollar rallied as Wall Street's sell-off and delays in coronavirus vaccines provided an excuse to book profits on recent gains.

The Hang Seng was down 2.6% and the Shanghai Composite stood lower by 1.9%. The Nikkei ended down by 1.5%.

1 2 3 4
View single page >> |

Disclosure: Equitymaster Agora Research Private Limited (Research Analyst) bearing Registration No. INH000000537 (hereinafter referred as 'Equitymaster') is an independent equity research ...

more
How did you like this article? Let us know so we can better customize your reading experience.

Comments

Leave a comment to automatically be entered into our contest to win a free Echo Show.