The Sensex lost 1,145 points
Index below 50 thousand points
Nifty down 14,700 points
MUMBAI: The domestic stock markets, which have been bullish since the budget, are now on a losing streak. Indices lost ground in the fifth session due to the imposition of corona restrictions in some parts of the country and gains. This time, however, the markets plummeted. The selling pressure on heavyweight stocks such as Reliance Industries, HDFC, Tata Consultancy Services, ICICI Bank, ITC and Axis Bank has eased markets. At the close, the Sensex lost 306.05 points (-2.04%) to close at 14675.70. The Nifty lost -306.05 points (-2.04%) and settled at 14675.70 points. Kovid dropped 19 cases from a massive one in September.
But with the imposition of new restrictions on the resurgence of corona cases in Maharashtra, second wave panic has begun. Reliance Industries was the biggest loser on the Sensex. The stock fell 3 per cent to Rs 2,022 after the Supreme Court ruled on the Reliance-Future deal. Reliance being a heavyweight stock has had a huge impact on the market. The Sensex was down nearly 200 points. However, Eicher Motors fell 5 per cent to Rs 2,453 in the Nifty. Mainly Mahindra & Mahindra, Dr. Reddy’s Lab, Tech Mahindra, Axis Bank, IndusInd Bank, Reliance Industries, SBI Life, TCS, Lauren & Tubro, Maruti Suzuki, PowerGrid, HCL Technologies, HDFC 5 per cent, share from Tata Motors. Have fallen. Metal stocks, on the other hand, performed well.
Tech Mahindra, M&M shares fell the most at 4.-4% in the Sensex. Apart from these, IndusInd Bank, TCS and SBI also lost 3-3%. On the other hand, ONGC, Kotak Mahindra and HDFC Bank ended with modest gains. 3,179 shares traded on the exchange, gaining 1,039 shares and losing 1,984 shares. HDFC Securities Retail Research Head Deepak said most Asian markets have fallen. The main reason for this is inflation, among other factors. He said the rising crude oil price was affecting the economy on a large scale. He said that the market has been steadily rising since January 2021 and now this decline can be considered as profit taking.
Rs 14 lakh crore investor wealth evaporates
The market value of BSE listed companies fell by Rs 14 lakh crore to Rs 199.88 lakh crore. It was Rs 203.98 lakh crore on Friday. Vinod Nair, head of research at Geojit Financial Services, said market sentiment had waned as corona cases were on the rise. Rising bond yields and rising inflation in the global market contributed to the fall. Investors are advised to buy amid the downturn.
Sales in IT and auto stocks
IT, banking and auto sector stocks were the biggest sellers. As a result, the IT index fell 736 points, or 2.89%, to 24,766.45. The Nifty index also declined by 306 points to close at 14,675.70. The Nifty fell 5 per cent from an all-time high in 5 sessions. On the other hand, the index gained 57 points to settle at 3,609.10 on buying in metal stocks. Hindustan Copper shares ended 14 per cent higher.
Huge foreign investment continued
Investors have invested heavily due to economic reforms and budget-based sentiment. According to NSE provisional data, foreign institutional investors (FIIs) bought shares worth Rs 118.75 crore while domestic institutional investors (DIIs) sold shares worth Rs 1,174.98 crore. According to depository data, foreign portfolio investors (FPIs) invested Rs 24,965 crore between February 1-19. It has invested Rs 24,204 crore in the equity market and Rs 761 crore in the debit market.
Causes of collapse
Investors are worried as corona cases are on the rise in 16 states of the country, including Maharashtra and Kerala. European stock markets opened in the afternoon with a huge fall. These include the UK FTSE Index and the France Cass. The index is less than 1-1 percent. Domestic market shares fell sharply. These include large stocks such as Reliance Industries, TCS, Infosys, HCL Tech and SBI.