Mumbai, 29 May. Amidst the negative signals on the global and domestic fronts, the Indian stock market not only lost its initial gains on the last day of the trading week but due to heavy selling in the last hour, both the benchmark indices closed with a big fall. In this sequence, while BSE Sensex once again slipped below the 75,000 level by falling by 1,092 points, NSE Nifty also weakened by 359 points.
Investor sentiment also affected by forecast of low monsoon this year
In fact, there is confusion in the global market regarding possible agreements and conditions between America and Iran. The Indian Meteorological Department (IMD) has predicted the monsoon to be 90% of the long term average (LPA) this year. After this weak forecast of monsoon, there was widespread selling in the market, which increased the concern of investors.
Sensex closed at 74,775.74 with a big fall of 1,092.06 points.
The 30-share Bombay Stock Exchange (BSE) benchmark Sensex closed at 74,775.74, down 1,092.06 points or 1.44 per cent in volatile trade. The index had opened with a gain of 120 points. It had reached a high of 76,220.02 during trading, but due to sharp selling in the last hours, it dived to an intra-day low of 74,589.11. Overall the index saw a major swing of 1,631 points. Among the Sensex affiliated companies, shares of 26 remained in the red while only four were on the rise.
Nifty slipped 1.50 percent and closed at 23,547.75 points.
On the other hand, the 50-share sensitive index Nifty of the National Stock Exchange (NSE) also slipped by 359.40 points or 1.50 percent to the level of 23,547.75. The index made an intra-day high of 24,002.80 and an intra-day low of 23,484.75 within a range of 518 points. Among Nifty related companies, only five stocks remained in the green while 45 stocks registered a decline.
InterGlobe Aviation’s stock fell the most by 3.27 percent.
Among the companies included in the Sensex group, the stock of InterGlobe Aviation declined the most by 3.27 percent. Major decline was also recorded in Power Grid, NTPC, Bajaj Finance and Tata Steel. On the other hand, gains were mainly recorded in Tech Mahindra, HCL Tech, Larsen & Toubro and Infosys.
IT Sector provided support
Amidst this all-round decline of the market, the IT sector stood strong. Nifty IT index closed with a gain of more than 0.60% due to the rise in US technology markets and weakness in the Indian rupee. There is hope of improvement in margins of export based IT companies due to weak rupee.
FII has 1,042.70 Net sale of shares worth crores of rupees
According to stock market data, foreign institutional investors (FIIs) had made a net sale of shares worth Rs 1,042.70 crore on Wednesday. Meanwhile, global oil benchmark Brent crude fell 1.52 per cent to $92.29 per barrel.
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