Amid global and domestic cues, markets opened sluggish on Thursday and then fell over the next few hours. The Sensex fell nearly 800 points, while the Nifty fell 260 points to below the 25,900 level. Bank Nifty also fell by more than 300 points. The market closed in decline for the fourth consecutive day. Nifty closed at 3-week low and Sensex closed at 4-week low.
If we look at the last closing data, the Sensex fell by 780 points and closed at 84,181. Nifty fell 264 points to close at 25,877. Bank Nifty fell 304 points to close at 59,686, and in the currency market, the rupee weakened by 14 paise to close at 90.02/$ against the dollar. The selling in the market intensified due to the news of an important bill introduced by US President Donald Trump. Under this bill, Trump wants to impose 500% tariff on countries trading oil with Russia and countries trading in currencies other than the dollar, which includes India.
Why did Indian markets fall?
1. Trump’s tariff panic is back
2. Increasing selling by FIIs
3. Rupee weakened again after two days
4. Sharp selling in metals across the world
5. Big companies like Reliance again become very weak
6. Heavy selling pressure on large-cap stocks like TCS and Infosys
7. Limited purchases by domestic funds
8. Weak sentiment due to sharp selling in mid- and small-cap stocks
Which levels are important now? – 25800-25875 is the last support level for Nifty.
– If Nifty 50 closes below its 50 DMA 25975 then weakness will increase.
– 595775-59750 is a strong support level for Bank Nifty
– If Bank Nifty closes below 59575 then weakness will increase.
– There is very little chance of recovery on today’s Sensex weekly expiry
– Nifty 26065-26175, Bank Nifty 60000-60200 are upper ranges
stock in action
Hind Zinc:
– Sharp fall in silver and zinc is putting huge pressure on the stock
HPCL:
– Venezuela crisis is causing sharp decline in oil companies
IDFC First Bank:
– Stocks rising for the second consecutive day due to a strong FIIs brokerage report yesterday
At 09:30, the Sensex was trading 222 points down at 84,738. Nifty was trading 76 points down at 26,062. Bank Nifty was also down almost 100 points at 59,884. India VIX was up 1%. Midcap and smallcap indices also declined. On Nifty 50, ICICI Bank, SBI Life, Adani Ports, BEL, Bajaj Finance, Axis Bank were the top gainers. The biggest declines were seen in Hindalco, TCS, Dr Reddy’s, Wipro, HDFC Life, JSW Steel, Tata Consumer. Global markets are showing mixed signals, but the government’s first advance GDP estimate released on Wednesday evening is expected to support the economy. Meanwhile, sentiment is weakening slightly due to profit-booking and selling by FIIs in overseas markets. Ahead of today’s trading, GIFT has slipped below Nifty 26200, down nearly 50 points. Dow futures also look sluggish, which could lead to a weak start for the domestic market.
GDP estimates and government outlook
Despite uncertainties related to the trade deal, the country’s economy is expected to grow at a strong pace of 7.4% in the current financial year. The government has released its first advance GDP estimate. Prime Minister Narendra Modi said that India’s Reform Express is continuously gaining momentum.