Markets in a bloodbath; Sensex tanks over 700 pts, Nifty below 17,600

1 Sep 2022 , 09:20 AM

Equity benchmark indices started Thursday’s session on a bearish note amid selling pressure in Reliance and IT stocks and also negative global cues. Meanwhile, disappointing GDP data of India also added to the woes.

Broader markets are mixed as the smallcap index rose and the midcap index declined. Among sectors, IT, banks, auto and metal indices witnessed selling, while media, PSU banks, realty indices are in the green.

At around 09:36 AM, Sensex was trading at 58,804.27 down 732.8 points or 1.23%. Nifty 50 performed at 17,541.65 lower by 217.65 points or 1.23%.

Hindalco and Infosys were the top losers in the Nifty pack, declining near 3% each, followed by SBI Life, TCS, ONGC, Reliance, HCL Tech and hindustan Unilever tumbling around 2% each.

On the global front, US markets closed with losses for 4 days running as jobs numbers beat expectations on the upside. Nasdaq also ended lower with technology stocks bearing the brunt of the sell off.

Asian markets opened in the red led by the Japanese ‘Nikkei’ which was down over 400 points in amid weak US cues where stocks are overreacting to the Federal Reserve speech.

Furthermore, Indian Economy grew at 13.5% in the April-June quarter of FY23, according to the provision estimates released by National Statistical Office on Wednesday. The GDP had expanded by 20.1 per cent in the corresponding quarter of 2021-22.

The Ministry of Commerce and Industry also released the monthly core sector data of eight industries – coal production (up 11.4%), crude oil production (down 3.8%), natural gas production (down 0.3%), refinery products (up 6.2%), fertiliser production (up 6.2%), steel production (up 5.7%), cement production (up 2.1%) and electricity production (up 2.2%).

However, India has been expecting to post robust economic growth on the back of a demand revival after the government eased Covid-related restrictions.

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