Sensex, Nifty down about one per cent each on Friday, after 2 per cent dip a day ago
Oct 04, 2024
Mumbai (Maharashtra) [India], October 4 : The stock market ended the week on a negative note, with both the Sensex and Nifty closing in the red on Friday.
The Sensex tumbled by 703.95 points, or 0.85 per cent, to settle at 81,793.16, while the Nifty fell by 200.25 points or 0.79 per cent, closing at 25,049.85.
Of the 50 Nifty companies, 13 registered advances, while 37 ended in declines. Among the top gainers were Infosys, ONGC, HDFC Life, Tata Motors, and Wipro, which managed to show positive movement despite the broader market trend. However, major losses were seen in M&M, Bajaj Finance, Asian Paints, Nestle India, and BPCL, which led the market downturn.
Jateen Trivedi, VP Research Analyst - Commodity and Currency at LKP Securities, commented on the factors influencing market performance, stating, "The rupee witnessed a weak trading week as it reacted to the dollar index strengthening. The rupee slipped to 84.00 levels, impacted by the escalation in the Iran-Israel conflict."
He added, "Additionally, the opening of China's economy, with its easing rate policies, has diverted foreign institutional investors (FIIs) towards Chinese markets, contributing to the continued selling of Indian shares."
With global tensions rising and FIIs offloading Indian equities, market volatility is expected to persist in the near term, prompting investors to exercise caution.
Over the past five trading sessions, Indian stock markets have experienced a substantial decline in investor wealth, with approximately Rs 13 lakh crore being wiped out, according to Bombay Stock Exchange (BSE) data.
Last week, the total market capitalization of Indian stocks was Rs 479 lakh crore, but this week it has dropped to Rs 466 lakh crore, marking a steep loss of Rs 13 lakh crore in just five sessions.
Both the Nifty and the Sensex have faced continuous selling pressure, each falling by over 4 per cent in the past five trading days. This prolonged decline has weakened investor sentiment, coming after a phase of strong market performance.
