Sensex and Nifty end seven-day rally, decline amidst Foreign Selling Pressure
In a reversal of the seven-day upward trend, both Sensex and Nifty experienced a dip in early trade on Thursday.
Mumbai: In a reversal of the seven-day upward trend, both Sensex and Nifty experienced a dip in early trade on Thursday. This market correction was attributed to selling pressure from foreign institutional investors and was influenced by cues from Asian markets.
The 30-share BSE Sensex witnessed a decline of 211.21 points, or 0.30%, settling at 69,442.52. Simultaneously, the broader Nifty index also dropped by 58.95 points, or 0.28%, reaching 20,878.75.
Foreign institutional investors played a pivotal role in the market shift, selling shares worth Rs 79.88 crore on Wednesday, as reported by exchange data.
Among major Sensex constituents, Hindustan Unilever, Bharti Airtel, ICICI Bank, and Bajaj Finance emerged as laggards, experiencing losses of up to 2.03%.
However, certain companies defied the downward trend, with PowerGrid leading the gainers by rising 1.25%. Other gainers included UltraTech Cement (1.07%), Asian Paints (0.96%), NTPC (0.76%), Maruti, Kotak Mahindra Bank, and HCL Tech.
In Wednesday’s trading session, the Sensex surged by 357.59 points, or 0.52%, setting a new record at 69,653.73. The Nifty also reached a fresh peak of 20,937.70, climbing 82.60 points, or 0.40%.
Chief Investment Strategist at Geojit Financial Services, V K Vijayakumar, noted that despite favorable factors like the steady decline in US bond yields, India’s GDP growth rate, decreasing crude prices, and political stability, periodic dips in the market could occur due to profit booking at higher levels.
The Reserve Bank of India’s forthcoming bi-monthly monetary policy decision, expected on Friday, is anticipated to maintain the current interest rate status quo.
Meanwhile, in Asian markets, the Nikkei 225 traded lower by 1.79%. In global oil markets, Brent crude was observed trading 0.47% higher at USD 74.65 a barrel on Thursday.
Ms Kalinga