Mumbai, Dec 17: Stock markets declined for the third consecutive day on Wednesday, with benchmark Sensex closing lower by 120 points at a week’s low due to relentless foreign fund outflows.
The 30-share BSE Sensex edged lower by 120.21 points or 0.14 per cent to settle at 84,559.65. During the day, it dropped 263.88 points or 0.31 per cent to 84,415.98.
The 50-share NSE Nifty declined by 41.55 points or 0.16 per cent to a week’s low of 25,818.55.
Among Sensex firms, Trent fell the most by 1.61 per cent. HDFC Bank dropped by nearly 1 per cent, emerging as a major drag on the index. ICICI Bank, Adani Ports, Bajaj Finserv, Bharat Electronics, Titan and Asian Paints were also among the laggards.
However, State Bank of India rose the most by 1.51 per cent, helping Sensex restrict losses. Infosys, Axis Bank and Maruti were among the gainers.
“Foreign investors are pulling out funds, and emerging markets are struggling, while developed economies remain strong, showing that investors are becoming more cautious about emerging markets,” Vinod Nair, Head of Research, Geojit Investments Limited, said.
Selling in heavyweight stocks across sectors led to broad-based weakness, while muted cues from global markets further dampened investor sentiment, Ajit Mishra – SVP, Research, Religare Broking, said.
Analysts said a rebound in the rupee from record low levels offers temporary relief, as global uncertainty and sustained foreign selling keep upside potential limited.
The rupee rebounded sharply by over 1 per cent in the early session to trade at 89 level against the US dollar briefly on heavy dollar selling by banks. The rupee later pared gains to close at 90.38, up by 55 points over the last record closing low of 90.93.
Foreign Institutional Investors (FIIs) offloaded equities worth Rs 2,381.92 crore on Tuesday, while Domestic Institutional Investors (DIIs) bought stocks worth Rs 1,077.48 crore, according to exchange data.
The BSE smallcap gauge declined 0.85 per cent and midcap index dipped by 0.53 per cent.
Among sectoral indices, capital goods declined by 0.96 per cent, realty (0.81 per cent), consumer durables, industrials (0.76 per cent), services (0.64 per cent).
BSE Energy, IT, metal, oil & gas, teck and BSE Focused IT
were the gainers.
A total of 2,694 stocks declined while 1,475 advanced and 159 remained unchanged on the BSE.
In Asian markets, South Korea’s Kospi, Japan’s Nikkei 225 index, Shanghai’s SSE Composite index, and Hong Kong’s Hang Seng index ended in positive territory.
European markets were trading higher. US markets ended mostly lower on Tuesday.
Brent crude, the global oil benchmark, jumped 2.12 per cent to USD 60.17 per barrel.
On Tuesday, the Sensex tanked 533.50 points or 0.63 per cent to settle at 84,679.86. The Nifty dropped 167.20 points or 0.64 per cent to 25,860.10. (PTI)
