The Indian equity indices closed on a weak note on September 30. The Sensex plummeted by 1,272.07 points, or 1.49%, to settle at 84,299.78. Similarly, the Nifty dropped by 368.20 points, or 1.41%, ending the day at 25,810.80.
Losers and gainers
Hero MotoCorp, Trent, Axis Bank, Reliance Industries, and Bharat Electronics were among the top losers on the Nifty. On the other hand, JSW Steel, Hindalco Industries, NTPC, Tata Steel, and Britannia Industries emerged as the top gainers.
Except for the metal and media sectors, which each rose by 1%, all other sectoral indices ended in the red, with auto, banking, IT, telecom, pharma, and realty sectors declining by 1-2%.
Nifty support level
Nifty’s three-week rally has pushed the index into overbought territory, prompting participants to reduce their positions amid mixed global signals. The broad-based decline in heavyweight stocks has put the bulls on the defensive, potentially setting the stage for some consolidation.
The next critical support for Nifty is around the 25,560 level, near the 20-day exponential moving average (DEMA). If a rebound occurs, the 26,000-26,250 zone could act as resistance. Traders are advised to adopt a stock-specific strategy and maintain positions on both market sides.
Global economic uncertainties
Market analysts attributed the decline to global economic uncertainties and domestic factors. “The market sentiment was largely negative due to concerns over rising inflation and potential interest rate hikes,” said Rajesh Sharma, a senior market analyst at XYZ Securities. Investors are cautious, leading to a sell-off in major sectors,” reported Money Control.
The banking and IT sectors were among the most severely hit. “Banking stocks faced significant pressure as investors reacted to the latest economic data,” noted Priya Mehta, an economist at ABC Financial Services. The IT sector also saw a decline due to fears of a slowdown in global demand.
Experts remain optimistic
Despite the downturn, some experts remain optimistic about the Indian market’s long-term prospects. “While today’s fall is concerning, it’s important to remember that the market has shown resilience in the past,” commented Anil Kumar, a portfolio manager at DEF Investments. We expect a recovery as the economic situation stabilizes.”
Investors are advised to stay informed and consider their long-term investment strategies. “It’s crucial to avoid panic selling and focus on the fundamentals,” advised Sharma. “Market corrections are a part of the investment journey.”
Related Stories:
Sensex and Nifty Live: Indian Markets Defy Global Trends
Sensex, Nifty Fall Sharply – Nervousness Ahead of Budget 2024:
Stock Market Today: Sensex Cracks 900 points, Nifty Slips Below 24,200
Stock Market Live: Sensex Plummets Over 1,461 Points, Nifty Falls to 23,826
Sensex Plummets by 870 Points: 3 Reasons Why Stock Exchange Slipped to 81,625
Indian Stock Market Live: Sensex Crashes 590 Points on Second Day
BSE Sensex, NIFTY50 on January 2024 Top gainers and losers
Bhojpuri sensation Monalisa’s hot dance on ‘Saree Ke Fall Sa’ goes viral
Leave a Reply