Stock Market Crash: Sensex Falls 671 Points, Nifty Ends Around 17,400 Amid Sell-Off. Banks Drag

Stock update: On the 30-share Sensex platform, HDFC Bank, HDFC, SBI, IndusInd Bank, Bajaj Finserv, Axis Bank, ICICI Bank, Kotak Bank, and Bajaj Finance featuring among the top 15 laggards

In the broader markets, the BSE Midcap and Smallcap indices were down 0.5 per cent each.

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The two key equity benchmarks, Sensex and Nifty, on Friday ended trade in the red tracking global sell-off. The domestic indices recouped their losses a bit, however, didn’t turn positive throughout intraday trading session. Negative global cues coupled with declining bank stocks dented investors’ sentiment.

The S&P BSE Sensex tanked 671 points (1.12 per cent) to close at 59,135. On the other hand, the Nifty50 gave up the 17,450-mark to end at 17,413, falling 177 points (1 per cent). The two indices hit intraday lows of 58,885, and 17,324, respectively.

On the 30-share Sensex platform, HDFC Bank (down 2.6 per cent), HDFC, SBI, IndusInd Bank, Bajaj Finserv, Axis Bank, ICICI Bank, Kotak Bank, and Bajaj Finance featuring among the top 15 laggards. On the flip side, Tata Motors, Maruti, NTPC, PowerGrid, Sun Pharma, Titan, TechM emerged winners.

#ABPLiveStockMarketWatch | Indian equity benchmarks on Friday ended the trade in the red

At 03:30 PM, #Sensex sheds 671 points to 59,135 & #Nifty down 177 points to close at 17,413

Here's a look at the stocks in focus:#ClosingBell #ABPLive #MarketWatch pic.twitter.com/y4RyNuwbHA

— ABP LIVE (@abplive) March 10, 2023

In the broader markets, the BSE Midcap and Smallcap indices were down 0.5 per cent each.

Sectorwise, the power index rose 1 per cent, while banks, realty, capital goods, and PSU Bank were down 1-2 per cent.

In the previous session on Thursday, the S&P BSE Sensex declined 542 points (0.9 per cent) to close at 59,806 level. On the other hand, the Nifty50 ended at 17,590, falling 165 points (0.93 per cent).

"The sell-off in US markets was triggered by a crash of 60 per cent in SVB Financials - a bank that mainly funds startups. This impacted sentiments and banking stocks took a beating on concerns that rising interest rates might trigger loan repayment defaults," VK Vijayakumar, Chief Investment Strategist at Geojit Financial Services said.

Global stock markets declined on Friday ahead of a US job market data amid worries about possible interest rate hikes. Markets in London, Shanghai, Frankfurt and Tokyo declined. Oil prices were lower.

In the US, S&P 500 tumbled 1.8 per cent, Dow Jones Industrial Average shed 1.7 per cent and Nasdaq composite fell 2.1 per cent on Thursday as investors remain anxious about the prospect of more aggressive action by the Federal Reserve to fight inflation with higher interest rates.

Foreign Institutional Investors (FIIs) emerged as net sellers in the capital market on Thursday as they sold shares worth Rs 561.78 crore, according to exchange data.

Meanwhile, the rupee pared its initial losses to settle 4 paise higher at 82.02 (provisional) against the US dollar on Friday, tracking the weakness of the American currency in the overseas market.

At the interbank foreign exchange market, the local unit opened at 82.12 against the American currency and finally closed at 82.02 (provisional) against the greenback, registering a gain of 4 paise over its previous close of 82.06.

During the session, the rupee touched a high of 81.99 and a low of 82.14 against the dollar. The dollar index, which gauges the greenback's strength against a basket of six currencies, fell 0.08 per cent to 105.22.

Global oil benchmark Brent crude futures declined 0.59 per cent to $81.11 per barrel.