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Share Market News Today, Stock Market Updates: Foreign Institutional Investor (FII) buying seen in early December is now reversing, with this week’s FII outflows reaching Rs 12,229 crore.
Sensex Today.
Share Market News Today, Stock Market Updates: The domestic equities market continued to decline, with the BSE Sensex ending the day with a huge loss of 1,176 points to trade at 78,041.59, while the NSE Nifty plummetted 364.20 points to 23,587.5. As a result of this, investors have lost Rs 9.1 lakh crore worth of wealth.
However, the markets saw a sharp brief recovery at around 9:45 am before hitting the day’s low levels. In the morning, IT stocks had emerged as the bright spot, buoyed by Accenture’s robust quarterly earnings, but later succumbed to the market pressure.
Of the 30 Sensex components, 27 ended the day in the red facing a decline by up to 3.92 per cent. The biggest laggards included Tech Mahindra, IndusInd Bank, Axis Bank, Mahindra & Mahindra, Tata Motors, and Larsen & Toubro.
On the upside, only three shares ended the day in the green territory. These are JSW Steel, Nestle India, and ICICI Bank gaining up to 0.52 per cent.
FIIs also continue to sell equities in the Indian market. On Thursday, FII had pulled out Rs 4,224.92 crore from the Indian equities, while DII had pumped in Rs 3,943.24 crore.
Expert Insights
V.K. Vijayakumar, Chief Investment Strategist at Geojit Financial Services, noted, “The Foreign Institutional Investor (FII) buying seen in early December is now reversing, with this week’s FII outflows reaching Rs 12,229 crore. Large-cap financials are bearing the brunt of this selling pressure. However, this trend may not last, and retail investors can consider adopting a contrarian approach. Quality large-caps are likely to rebound soon.”
He further highlighted the resilience in the pharmaceutical sector and the strength in IT stocks, supported by Accenture’s positive results and guidance. “Generative AI is turning into a significant profit driver for IT companies,” he added.
“The Fed’s recent commentary caused a short-term negative market reaction, but recovery led by large-caps is probable in the near term,” Vijayakumar stated.
Technical Outlook
Anand James, Chief Market Strategist at Geojit Financial Services, shared his technical perspective. “The presence of several moving averages near the 23,859 level encouraged optimism for a recovery yesterday. While a pullback is anticipated today, a downward turn from the 24,070-24,100 range is likely. Sustained trade above 23,950 after any decline will be crucial for further recovery,” he said.
Global Market Cues
Asia
Asia-Pacific markets opened mixed on Friday as investors digested Japan’s inflation figures and awaited China’s upcoming interest rate decision. Early indicators from Gift Nifty pointed to a negative start for Indian markets.
US and Europe
In the US, major indices closed nearly flat on Thursday. The Dow managed a marginal gain, breaking its ten-session losing streak, while the S&P 500 and Nasdaq edged down by approximately 0.1%.
European markets slumped on Thursday, reacting to the U.S. Federal Reserve’s guidance that fewer rate cuts might be on the horizon.
