Mumbai: Indian equity markets started the trading day on a downward trend on Friday, as the BSE Sensex and NSE Nifty tracked weak cues from global markets. Adding to the pressure were fresh foreign fund outflows, pushing both benchmark indices into the red.
The BSE Sensex, after falling for the third consecutive day, lost 233.98 points to settle at 81,967.18 in early trade. Meanwhile, the broader NSE Nifty dropped 60 points to rest at 25,085.10.
Key Laggards
Several major firms contributed to the market's decline, with notable names being:
- State Bank of India
- UltraTech Cement
- Reliance Industries
- NTPC
- ICICI Bank
- Titan
These stocks faced pressure due to weak global sentiment, particularly with concerns surrounding inflation, global growth prospects, and the looming risk of more aggressive interest rate hikes in developed economies.
Global Market Impact
Asian markets also faced declines, as concerns over U.S. interest rates and weak economic data from Europe dampened sentiment across global equities. A dip in global commodity prices and energy stocks further added to the downward pressure in international markets.
Foreign Fund Outflows
A key factor contributing to the slide was foreign institutional investors (FIIs) continuing to pull out funds from the Indian equity markets. The outflow of foreign funds, combined with global uncertainty, has created negative sentiment in domestic markets.
Outlook
The Indian markets will be closely tracking global developments and foreign investor activity. Key factors like global inflation data, central bank decisions, and commodity price fluctuations will be closely monitored by traders in the upcoming sessions.
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