Today, on the third trading day of the week i.e. Thursday, after the day’s ups and downs, the stock market fell sharply and closed on the red mark. This trend of decline has been going on for the last five days. The Bombay Stock Exchange’s flagship index Sensex closed at a level of 46874.36, down 535.57 points, or 1.13 percent. On the other hand, the National Stock Exchange’s Nifty fell 149.95 points (1.07 percent) to close at 13817.55. Stock markets were closed on Tuesday on the occasion of 72nd Republic Day.
Sensex slipped nearly three thousand points in five days
The Sensex has dropped by more than three thousand points in the last five days. The index peaked at 50,184 on 21 January. According to government data, foreign direct investment (FDI) investment stood at $ 58.37 billion during April-November last year, a 22 percent increase from the $ 47.67 billion invested in the same period last year. This figure is the highest for eight months of FDI. FDI in the stock market during the same period stood at $ 43.85 billion, up 37 percent over the previous year.
Global markets also fall
Talking about global markets, there is a huge decline in global markets on 28 January. Japan’s Nikkei index is trading down 1.34 percent, China’s Shanghai Composite 1.30 percent, Hong Kong’s Hang Seng are down 1.83 percent. Korea’s Kospi index slipped 1.85 percent and Australia’s All Ordinaries 2.02 percent. The US Dow Jones, Nasdaq, and S&P 500 indices closed down two percent each.
Fluctuations will continue before the budget
The 30-share BSE Sensex was down 156.13 points or 0.31 percent in the previous week. The stock markets may fluctuate this week between the settlement of monthly derivative contracts before the general budget and the quarterly results of companies. An economic survey prepared under the guidance of the Chief Economic Advisor will be presented on 29 January.
Experts have expressed this opinion. Siddharth Khemka, head of retail research, Motilal Oswal Financial Services Ltd, said, “There may be a market turmoil in the coming days before the Union Budget and monthly deals expire.” Quarterly results of companies will also increase market volatility. The Federal Reserve’s monetary policy is also going to be announced this week.
The market will get direction from budget
The BSE Sensex crossed the 50,000 marks for the first time last week. Analysts said that now all eyes are on the budget of 2021-22. The budget will provide direction for the further journey of Sensex. The market witnessed a lot of ups and downs in the last year between the coronavirus epidemic. The 30-share BSE Sensex hit a one-year low of 25,638.9 on March 24. However, the Sensex went to record levels during the year ahead.
Such was the situation of veteran shares
Talking about the big stocks, today SBI, Axis Bank, IOC, BPCL and GAIL shares closed on the green mark. The shares of Wipro, Hindustan Unilever, Maruti, HDFC Bank, and Power Grid closed at the red mark.
Sectoral index tracking
If we look at the sectoral index, today all the sectors, except banks and private banks, closed on the red mark. These include pharma, metals, FMCG, financial services, auto, IT, PSU banks, media, and realty.
The market was open on the decline
The Sensex opened 377.99 points (0.80 percent) lower at 47,031.94 in early trade today. The Nifty opened at 13,854.40, down 113.10 points, or 0.81 percent. After that
The market was closed on Wednesday on the heavy downfall
On Wednesday, the stock market fell sharply after day-long fluctuations and it had closed on the red mark. The Sensex was down 937.66 points, or 1.94 percent, to close at 47409.93. The Nifty was down 271.40 points (1.91 percent) to close at the level of 13967.50.