Tag: selling by foreign investors

The market in India snapped its four-week winning run as benchmark indices fell about three-and-a-half percent amid rising geopolitical tensions and fear of earlier-than-expected interest rate hikes. Foreign institutional investors turned bearish again, withdrawing money from equities and moving debt. Selling was seen across sectors with IT, pharma, and some banking names leading the loss chart. According to many analysts, this volatility in the market will likely continue for a while and advised the investors to be cautious. “Along with global disturbances, the uncertainties regarding the upcoming budget will likely keep the Indian market highly volatile in the coming days,'' said an expert. Global equity markets were also volatile on the back of expectations of faster interest rate hikes by the US Federal Reserve, rise in US bond yields, higher crude oil prices, and concerns over rising inflation. Read more

The BSE benchmark index, the Sensex, opened 138 points lower at 60,295, and soon extended losses in the opening trades on account of subdued global cues, a spike in crude oil prices, and persistent selling by foreign investors. At 09:20 AM, the BSE Sensex was down 428 points at 60,005. The NSE Nifty once again gave up the 18,000-mark and was down 121 points at 17,923. Index heavyweight, HDFC was down 1.5 percent at Rs 2,898. Kotak Bank, Axis Bank, ICICI Bank, SBI, and IndusInd Bank were the other prominent losers in the Sensex 30 stocks. On the other hand, Mahindra & Mahindra extended its upward move following the September quarter results. The stock was up 1.5 percent at Rs 807. The broader indices were slightly better-off, with the BSE Midcap index down 0.3 percent, and the Smallcap index almost unchanged.