Wed Oct 09 01:26:22 UTC 2024: ## Indian Share Market Plunges for Sixth Straight Day Amidst Global Uncertainty

**Mumbai, India (October 30, 2023):** The Indian stock market continued its downward trend for the sixth consecutive day on Monday, with both the benchmark Sensex and Nifty indices closing lower amid mixed global signals and sector-wide selling.

The BSE Sensex lost a substantial 638 points, settling at 81,050. During the day, the index dipped as low as 80,726. Similarly, the NSE Nifty50 dropped 219 points to close at 24,796.

Contributing to the decline were losses in major banking and energy companies, with Adani Ports, NTPC, SBI, PowerGrid, IndusInd Bank, and Axis Bank leading the fall. On the other hand, M&M, ITC, Airtel, Infosys, Bajaj Finance, and TCS managed to gain.

The broader market also experienced significant corrections, with the Nifty Midcap 100 and Nifty Smallcap 100 indices closing down by 2.01% and 2.75% respectively.

Experts attribute the current downturn to a consolidation phase in the Indian market, marked by high valuations and a potential for underperformance compared to Asian peers. Vinod Nair, Head of Research at Geojit Financial Services, points to the notable global arbitrage activity, with Chinese markets attracting significant investments due to attractive valuations and stimulus measures.

While European markets traded with mixed results on Monday, Asian markets saw gains in Tokyo, Shanghai, Hong Kong, and Seoul. Wall Street closed with gains on Friday.

Foreign Institutional Investors (FIIs) sold equities worth Rs 9,896.95 crore on Friday, while Domestic Institutional Investors (DIIs) bought equities worth Rs 8,905.08 crore, according to exchange data.

The rupee ended Monday’s trading session at 83.99 against the US dollar, unchanged from its previous closing level. The local currency initially gained but faced selling pressure from foreign funds and weak domestic markets. Elevated crude oil prices and escalating tensions between Israel and Iran also impacted the rupee’s performance, while high forex reserves provided some positive sentiment.

The Indian market is likely to face continued volatility in the coming days as investors navigate global uncertainty and the ongoing correction.

Read More