Sensex, Nifty Log Worst Day In 10 Months Dragged By Metal, Banking,

India’s stock benchmarks logged the worst day in ten months since April 12, 2021, amid decline in global equities, rise in oil prices, escalating geopolitical tensions and inflation pressures.

Banking, metal, realty, auto stocks led the decline. The S&P BSE Sensex and NSE Nifty 50 closed near day’s low.

Over the past two sessions, the Sensex fell over 2,500 points.

In today’s session, the Sensex shed 3% (1,750 points) to 56,405.84. The Nifty declined 3.06% (532 points) to 16,842.80. JSW Steel Ltd. had the largest drop, falling 6.7%. Today, 49 of 50 shares fell, while 1 rose

The broader indices underperformed their larger peers with the S&P BSE MidCap falling 3.5% and S&P BSE SmallCap losing 4.1%. All the 19 sectoral indices compiled by BSE Ltd. declined with S&P BSE Realty, S&P BSE Metal shedding over 5%.

The market breadth was skewed in the favour of bears. About 576 stocks advanced, 2,974 declined and 120 remained unchanged.

“Global equities may remain weak till March end – once initial rate hike by the U.S. Fed happens, the markets may start discounting the reversal of monetary policy. We do not believe that the Ukraine tension can emerge as major global war”, according to a note authored by G Chokkalingam, Founder & Head of Research, Equinomics Research & Advisory Pvt.

The note further added that the domestic equity markets may fall another 3% till the end of financial year. However, the report does not expect any major fall in the markets in the short term.

“We have closed below 17,000 which is a matter of concern as the bears would now take over the medium-term trend of this market”, Manish Hathiramani, proprietary index trader and technical analyst wrote in a note. He added that the index could slide further to 16,300-16,400. “Any up move would now become an opportunity to sell the Nifty”.