Nifty and Sensex Continue Decline on Profit Taking; India VIX Down 7%
Description: The Nifty and Sensex extended their losing streak for the third consecutive day amidst profit booking, with the India VIX falling by 7%. Read more on the market performance and expert insights.
Benchmark indices Nifty and Sensex continued their downward trend for the third consecutive session due to weak global cues and recession concerns.
At the close, the Sensex declined by 166.33 points or 0.21% to 23,593.07, while the Nifty dropped by 63.05 points or 0.26% to 23,992.55. The market witnessed 1,591 advancing shares, 2,344 declining shares, and 93 unchanged shares.
The decline in the indices was notable as they opened strong, each rising by over 1%. However, profit-taking among investors led to a subsequent drop in the market.
The broader market saw a more pronounced sell-off, with the mid and small-cap indices falling by 0.3% and 0.5%, respectively. This marked a stark contrast to their initial outperformance compared to the benchmark indices.
- India VIX witnessed an 8% decrease, hovering around 19.
Among the sectors, the Nifty Auto faced significant losses for the second consecutive day, primarily impacted by M&M and Maruti Suzuki. On the positive side, Nifty Realty closed in the green, rising by 1%, while Nifty IT and Nifty Metal supported the market from a steeper decline.
Notable losers in the market included HDFC Life, SBI Life Insurance, Shriram Finance, BPCL, and SBI, whereas gainers comprised Britannia Industries, JSW Steel, HUL, L&T, and Tech Mahindra.
Market expert Vinod Nair mentioned that the market attempted a rebound in line with Asian markets but fell short, closing below 24,000. Investors are monitoring various factors like the appreciating Yen, weak US economic data, and escalating geopolitical tensions. To offset risks, they are moving towards defensive sectors such as FMCG, IT, and pharma, anticipating a decline in crude prices and potential rate cuts by the US Fed and RBI.
Conclusion:
Despite the market's attempts to recover, concerns surrounding global economic indicators have kept investors cautious. Expert recommendations suggest a focus on defensive sectors amidst the current market uncertainties.
Tags:Nifty, Sensex, India VIX, profit-taking, benchmark indices, market trends, expert insights