Markets Retreat On Global Cues; Sensex Tumbles 160 Points, Nifty At 10,000-mark In Early Trading Session

Top laggards include Sun Pharma which slumped 3 per cent followed by HDFC Bank and Kotak Mahindra Bank which were down 1 per cent each.

Photo: PTI (Representational Images)

Mumbai, June 11: Domestic stock market plunged into the red on Thursday with the 30 stock barometer Sensex slipping 166.91 points, or 0.49 per cent, to 34,080.14, the Nifty 50 index slipping 53.10 points, or 0.52 per cent to 10,063.10 in the opening session. The domestic stock markets retreated amid mixed global cues after the projection of the US Federal Reserve impacted the investor sentiments. ALSO READ: Fitch Projects Indian Economy To Bounce Back Sharply After Contraction, Pegs GDP Growth Rate At 9.5% For Next Fiscal Year Among the top laggards is Sun Pharma which slumped 3 per cent followed by HDFC Bank and Kotak Mahindra Bank which were down 1 per cent each. On the other hand, IndusInd Bank rose 5 per cent. The Indian rupee fell 19 paise in early trade on Thursday on broad-based US dollar bounce, in response to the US Federal Reserve hinting at risk aversion to global equities. At 10:08 am, the rupee slipped 19 paise at 75.7850 against the US dollar. Stocks that will be closely watched include NTPC, Bharti Airtel and Vodafone Idea, UPL, Indian Hotels, Welspun Enterprises and Yes Bank. Meanwhile, Asian stocks opened weak in the early session as the GDP estimate from Federal Reserve hit the investor sentiment at the time when equity markets were on the track to recovery. The Hang Seng Index slipped 0.21 per cent, the benchmark Nikkei 225 index was down 1.27 per cent while the Shenzhen Composite Index on China's second exchange edged up 0.05 percent. On Wednesday, Fed officials revealed at their policy meeting that US gross domestic product is expected to decline 6.5 per cent this year. The apex bank also suggested keeping the key interest rate near zero through at least 2022. US stocks also closed on a mixed note as Wall Street digested the Federal Reserve's estimate on interest rates. On Wednesday, the Dow Jones Industrial Average fell 282.31 points, or 1.04 per cent, to 26,989.99, following a 300-point drop in the prior session. The S&P 500 was down 17.04 points, or 0.53 per cent, to 3,190.14, Xinhua news agency reported. The Nasdaq Composite, however, rallied to a fresh record, closing above the 10,000 mark for the first time, boosted by strong gains in tech shares. The index rose 0.67 per cent to end at 10,020.35. Around 10 of the 11 primary S&P 500 sectors finished lower, with energy down 4.17 per cent, leading the decliners. Technology was up 1.11 per cent, the only gainer among the groups. The US Federal Reserve on Wednesday kept its benchmark interest rate unchanged at the record-low level of near-zero amid mounting fallout from the Covid-19-induced recession, and projected interest rates to remain at the current level through at least 2022. Investors also assessed economy reopening as COVID-19 cases continue to climb in the United States. (With inputs from IANS)