Slump In Indian Stocks Continue; Indices Decline For Seventh Consecutive Session
Among the sectoral indices, Nifty IT, media and oil and gas are the top losers, while metal, PSU bank, and realty are the top movers
Benchmark stock indices in India slumped on Monday, extending the losses for the seventh straight session and touching a new multi-month low.
Sensex closed at 77,339.01 points, down 241.30 points or 0.31 per cent, while Nifty closed at 23,453.80 points, down 78.90 points or 0.34 per cent.
Among the sectoral indices, Nifty IT, media; and oil and gas were the top losers, while metal, PSU bank, and realty were the top movers, NSE data showed.
"Consolidation continued in the market; a slowdown in earnings growth and a weak rupee due to inflation impacted the sentiment. IT stocks reacted negatively today due to a reduced expectation of a FED rate cut in December, which may pose a delay in spending in the BFSI segment," said Vinod Nair, Head of Research, Geojit Financial Services.
The continued fall in the indices was sustained due to a range of factors, including relatively weak Q2 earnings, sustained foreign fund flows, and rising domestic inflation both retail and wholesale.
"We are of the view that the current market texture is weak but oversold hence; we could expect one quick pullback rally from the current levels," said Shrikant Chouhan, Head Equity Research, Kotak Securities.
Going ahead, Ajit Mishra, SVP, Research, Religare Broking recommends investors to maintain a cautious outlook on the index and focusing selectively on stock-specific opportunities.
On Friday, the Indian stock markets were closed on account of Guru Nanak Dev Jayanti. (ANI)
