Markets tumble for 2nd day; investors lose over Rs 6.47 lakh cr
Investors’ wealth tumbled over Rs 6.47 lakh crore in two days of market crash amid weak cues from global markets.
On Monday, BSE benchmark Sensex dived 617.26 points or 1.08 per cent to end at 56,579.89. During the day, it plummeted 840.28 points or 1.46 per cent to 56,356.87.
On Friday, the Sensex tanked 714.53 points or 1.23 per cent to settle at 57,197.15.
The two-day fall in equities wiped out Rs 6,47,484.72 crore, bringing the market capitalisation of BSE-listed firms to Rs 2,65,29,671.65 crore.
“Indian markets extended losses after taking cues from its Asian peers. Nifty opened lower and remained under selling pressure throughout the day,” said Siddhartha Khemka, Head – Retail Research, Motilal Oswal Financial Services Ltd.
“We expect markets to remain volatile amid worries about inflation and its impact on corporate earnings, while also fuelling concerns over aggressive US Fed rate hikes in the near term,” he added.
On Monday, Tata Steel, Tech Mahindra, NTPC, Titan, Reliance Industries, ITC, Larsen & Toubro and Sun Pharma were among the major laggards in the Sensex pack, shedding as much as 4.47 per cent.
In contrast, HDFC Bank, ICICI Bank, HDFC, Kotak Mahindra Bank, Nestle, Maruti Suzuki, Bharti Airtel and Axis Bank finished up to 0.75 per cent higher.
In the broader markets, the BSE smallcap gauge lost 1.88 per cent while the midcap index dropped 1.86 per cent.
“Global markets were painted red due to below-par earnings results, adding fresh concerns to elevated inflation, oil prices, war uncertainties and supply issue. Fear of waning demand due to prolonged Covid lockdown in China led to oil prices tumbling.
“Continued FII selling in India along with other global uncertainties is favouring bear trend in the short-term,” said Vinod Nair, Head of Research at Geojit Financial Services.