Stock Market Closed: After three days of rise, there was a pause in the stock market, Sensex slipped by 757 points… Nifty in loss.
Mumbai. The three-day rally in the domestic stock market came to a halt on Wednesday amid the rise in crude oil prices as the West Asia crisis continued and heavy selling in IT stocks. Sensex fell by about 757 points while Nifty fell by 198 points.
According to analysts, withdrawal of foreign institutional investors (FIIs) and fears of prolonged instability in West Asia also affected market sentiment. BSE’s benchmark index Sensex based on 30 shares fell 756.84 points or 0.95 percent to close at 78,516.49 points.
At one time during trading it had fallen to 831.03 points. Similarly, NSE’s benchmark index Nifty based on 50 shares fell 198.50 points or 0.81 percent to close at 24,378.10 points. Among the companies included in the Sensex group, shares of HCL Technologies recorded a huge fall of 10.85 percent.
The company’s March quarter results could not impress investors and selling intensified. Apart from this, Infosys, Mahindra & Mahindra, Tata Consultancy Services, Tech Mahindra and ICICI Bank also remained in loss.
On the other hand, gains were registered in Hindustan Unilever, NTPC and Trent. Hariprasad K, founder and research analyst of Livelong Wealth. “The stalling of US-Iran talks has hampered investors’ risk appetite as fears of long-term instability in West Asia have increased. Also, crude oil prices remaining at high levels have put pressure on inflation and currency stability,” it said.
Brent crude, the international oil benchmark, rose 1.26 percent to $99.72 per barrel. According to stock market data, foreign institutional investors (FIIs) made a net sale of shares worth Rs 1,918.99 crore on Tuesday. In the broader market, the BSE Smallcap Select index of smaller companies rose 0.76 per cent, while the BSE Midcap Select index of medium companies declined 0.04 per cent.
Among the sector wise indices, IT segment recorded the maximum decline of 3.66 per cent while Focus IT segment declined by 3.54 per cent, Financial Services segment by 0.64 per cent and Private Bank index by 0.64 per cent. Ponmudi R, chief executive officer of online trading platform Enrich Money. Said, “Indian stock markets remained clearly negative throughout the trading session.
The market remained under pressure due to the ongoing tension in West Asia and closure of the Strait of Hormuz. In other markets of Asia, South Korea’s Kospi, Japan’s Nikkei and China’s Shanghai Composite closed with gains while Hong Kong’s Hang Seng remained in loss. European markets were trading with a mixed trend, while American markets closed with a decline on Tuesday. Earlier on Tuesday, BSE Sensex rose by 753.03 points. 79,273.33 points and NSE Nifty was up 211.75 points to close at 24,576.60 points.
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