Mumbai. The bullish trend in the local stock market that had been going on for the last two days stopped on Thursday. Investors remained cautious ahead of the US Central Bank’s policy rate decision due to which the Sensex fell by 836 points while the Nifty fell by 285 points. Analysts said that the pace of the domestic market also slowed down as the enthusiasm over Donald Trump’s victory in the presidential election in America faded.
BSE’s benchmark index Sensex based on 30 shares slipped 836.34 points or 1.04 percent and closed at 79,541.79 points. At one time during trading, the Sensex had fallen by 958.79 points to 79,419.34 points. The standard index Nifty of National Stock Exchange (NSE) also closed at 24,199.35 points with a decline of 284.70 points or 1.16 percent. Among the Sensex companies, Tata Motors, Tech Mahindra, UltraTech Cement, JSW Steel, Sun Pharma, Asian Paints, IndusInd Bank and ICICI Bank declined the most. Among the Sensex companies, only State Bank of India (SBI) shares gained. Close together.
Vinod Nair, head of research at Geojit Financial Services, said, “The domestic market lost the gains achieved the previous day. Investor sentiment was affected by the disappointing second quarter results of companies and continuous selling of foreign funds. Nair said that the enthusiasm generated by Trump’s election victory has slowed down. Apart from this, now the eyes of investors are fixed on the outcome of the upcoming meeting of the Federal Reserve. In the broader market, the BSE Midcap index fell by 0.67 percent while the Smallcap index recorded a loss of 0.44 percent.
There was all-round selling in the market and all sector-wise indices closed with a decline. The maximum decline was 2.54 percent in the metal segment, while there was a decline of 1.65 percent in the commodity segment and 1.45 percent in the realty segment. Ajit Mishra, Senior Vice President (Research), Religare Broking Limited, said, “After the US elections, all eyes are now on the results of the Monetary Policy Committee meeting of the Federal Reserve and its comments.” There was a bullish atmosphere in the stock markets around the world on the last trading day due to the victory of Republican leader Donald Trump in the US Presidential elections. Trump is going to become President once again after a gap of four years by giving a crushing defeat to Democratic rival Kamala Harris.
There is pressure on the market due to the continuation of selling by foreign institutional investors (FIIs). According to stock market data, FIIs sold shares worth Rs 4,445.59 crore on Wednesday. In other markets of Asia, South Korea’s Kospi, China’s Shanghai Composite and Hong Kong’s Hang Seng rose, while Japan’s Nikkei closed with a decline.
European markets were trading with a positive trend in the afternoon session. American stock markets closed with a sharp rise on Wednesday. Meanwhile, international oil benchmark Brent crude fell 0.33 percent to $74.67 per barrel. On Wednesday, Sensex jumped 901.50 points and closed at 80,378.13 points and Nifty increased by 270.75 points and closed at 24,484.05 points.