Another bloodbath at Dalal Street. The two key equity benchmarks, Sensex and Nifty, on Wednesday closed much lower amid a broad-based sell-off across sectors. The S&P BSE Sensex tanked 906 points to close at 72,762. On the other hand, the NSE Nifty50 settled below the 22,000-mark at 21,998, down 338 points. The two indices hit intraday lows of 72,516 and 21,906, respectively.
On the 30-share Sensex platform, PowerGrid, NTPC, Tata Steel, Tata Motors, JSW Steel, Titan all closed in the red. On the flip side, ITC, ICICI Bank, Kotak Bank, Nestle, Bajaj Finance, and HDFC Bank were the only gainers.
In the broader market, the BSE Midcap and Smallcap indices plunged 4.2 per cent and 5.1 per cent, respectively. The Mcap of BSE has also fell by Rs 20.69 lakh crore in three days.
Sectorally, all the indices closed in the red. Nifty Media and Metal indices dropped 5.6 per cent each, Nifty Realty index declined 5.3 per cent, while Nifty Auto fell 2.8 per cent.
In the previous session on Tuesday, the BSE Sensex closed 165 points higher at 73,668, while the NSE Nifty50 closed flat at 22,336, with a minimal increase of 3 points.
"In contrast to the global uptrend, the unfavourable risk-reward balance of mid and smallcap stocks, fuelled by prolonged premium valuations, has aggravated the downfall. Meanwhile, FMCG and contrarian plays like gold are offering some refuge. Other than the premium valuation no fundamental issue is noticed to drawback the long-term growth image of domestic midcaps," said Vinod Nair, Head of Research, Geojit Financial Services.
In the Asian markets, Seoul saw gains while Tokyo, Shanghai, and Hong Kong experienced declines. Meanwhile, European markets were predominantly in positive territory. Tuesday saw significant gains in the US markets.
Exchange data revealed that Foreign Institutional Investors (FIIs) purchased equities valued at Rs 73.12 crore on Tuesday.
Brent crude, the global oil benchmark, rose by 1.09 percent to reach $82.81 per barrel.
On Wednesday, the rupee weakened by 5 paise, settling at 82.85 (provisional) against the US dollar. This decline was attributed to a widespread selloff in domestic markets. Forex traders anticipate the rupee to retain a slightly negative trend due to a rebound in the greenback and concerns surrounding elevated crude oil prices.
During the trading session, at the interbank foreign exchange market, the rupee opened at 82.82, with intra-day fluctuations ranging from a low of 82.91 to a high of 82.82 against the dollar.
Ultimately, the rupee settled at 82.85 (provisional) against the dollar, marking a 5 paise loss from its previous close. On Tuesday, the rupee showed minimal movement within a narrow range, closing 5 paise lower at 82.80 against the US dollar.