Indian benchmark indices, Sensex and Nifty, experienced a choppy trading session, ultimately closing lower as persistent foreign fund outflows and escalating geopolitical uncertainties dampened investor confidence.
Photograph: Danish Siddiqui/Reuters
Key Points
- Benchmark indices Sensex and Nifty closed lower in choppy trade, with the Sensex declining 114 points.
- Foreign Institutional Investors (FIIs) offloaded equities worth Rs 5,834.90 crore, contributing to market caution.
- Rising geopolitical uncertainties and subdued global cues weighed on investor sentiment.
- Hindustan Unilever, TCS, and Tech Mahindra were among the major laggards, while M&M and NTPC saw gains.
- Brent crude traded lower at $99 per barrel, adding to the cautious market environment.
Benchmark indices ended lower in a choppy trade on Thursday, with the Sensex declining 114 points, as investors turned cautious amid unabated foreign fund outflows and rising geopolitical uncertainties.
After facing heavy fluctuations during the day, the 30-share BSE Sensex ended 114 points or 0.15 per cent lower at 77,844.52. During the day, the benchmark hit a high of 78,384.70 and a low of 77,713.21, gyrating 671.49 points.
Market Performance Overview
The 50-share NSE Nifty dipped 4.30 points, or 0.02 per cent, to end at 24,326.65.
From the Sensex firms, Hindustan Unilever, Tata Consultancy Services, Tech Mahindra, Titan, Sun Pharma and ITC were among the major laggards.
On the other hand, Mahindra & Mahindra, NTPC, Kotak Mahindra Bank and Tata Steel were among the winners.
Global and Geopolitical Factors
Brent crude, the global oil benchmark, traded 2.23 per cent lower at $99 per barrel.
“Indian equity markets traded largely flat as investors awaited Iran’s response to the US peace proposal. The Nifty consolidated, closing nearly unchanged as markets paused for confirmation before extending the momentum,” Ponmudi R, CEO of Enrich Money, an online trading and wealth tech firm, said.
Foreign Institutional Investors (FIIs) offloaded equities worth Rs 5,834.90 crore on Wednesday, according to exchange data.
International Market Trends
In Asian markets, South Korea’s benchmark Kospi, Nikkei 225 index, Shanghai’s SSE Composite index and Hong Kong’s Hang Seng index were trading higher.
Markets in Europe were trading lower.
US markets ended sharply higher on Wednesday.
“The Indian stock market closed on a slightly cautious note today. Continued FII outflows and subdued global cues weighed on the market. Ongoing geopolitical uncertainties also kept investor confidence in check, impacting overall risk appetite,” Gaurav Garg, Research Analyst at Lemonn Markets Desk, said.
