Indian stock indices log minor losses due to profit booking
Sep 04, 2024
New Delhi [India], September 4 : Domestic stock indices closed Wednesday's trade marginally in the red, mirroring weak cues from the US markets and along with weakness in domestic IT and PSU bank stocks. Profit booking at higher levels also dented the stock indices.
At the end of the session, Sensex closed at 82,352.64 points, down 202.80 points or 0.25 per cent, Nifty closed at 25,198.70 points, down 81.15 points or 0.32 per cent. The S&P 500 index was over 2.12 per cent lower overnight.
Over the past month, Sensex and Nifty rose about 5 per cent on a cumulative basis.
"The warning signals from weak US manufacturing data added concerns about a potential slowdown in the US economy, which dragged the domestic indices...Due to a lack of major domestic triggers, the indices will take direction based on global cues," said Vinod Nair, Head of Research, Geojit Financial Services.
Ajit Mishra - SVP, Research, Religare Broking Ltd said that bulls are still holding their ground, though consolidation could occur if global pressures intensify.
Indian stocks had been consistently rallying over the past few sessions, due to strong foreign portfolio investments, firm GST collections, and relatively robust GDP growth, among others. On Tuesday, the World Bank revised India's growth forecast from 6.6 per cent to 7 per cent for 2024-25.
The Indian economy grew by 6.7 per cent in real terms in the April-June quarter of the current financial year 2024-25. Last year same quarter, India grew 8.2 per cent. Many global rating agencies and multilateral organizations have also revised their growth forecasts for India upwards.
Goods and Services Tax (GST) collections in August, in gross terms, were at Rs 1.74 lakh crore, with a yearly jump of 10 per cent, data showed on Sunday. So far in 2024, the total GST collection has been 10.1 per cent higher at Rs 9.13 lakh crore, as against Rs 8.29 lakh crore mopped up in the corresponding period of 2023.
