Fri Dec 20 11:03:11 UTC 2024: ## Indian Stock Market Suffers Week-Long Slump Amidst Global Uncertainty

**Mumbai, India** – India’s stock market experienced a significant downturn this week, with the Sensex and Nifty indices plummeting approximately 1.5% each on Friday, capping off a week of continuous losses. The Sensex closed at 78,041.59 points, down 1,176 points, while the Nifty ended at 23,587.50 points, a 364.20-point drop. All sectoral indices saw declines, with IT, PSU bank, auto, and realty sectors suffering the most.

For the week as a whole, both the Sensex and Nifty shed around 5%. This sharp decline is attributed to several factors, including heavy selling by foreign portfolio investors (FPIs) and the US Federal Reserve’s indication of fewer rate cuts than previously anticipated. The record-high November trade deficit of USD 37.84 billion further dampened investor sentiment.

Market analysts offered mixed outlooks. Ajit Mishra, SVP, Research at Religare Broking, warned of potential challenges ahead and advised traders to exercise caution and manage risk effectively. However, V K Vijayakumar, Chief Investment Strategist at Geojit Financial Services, suggested that the negative reaction to the Fed’s comments would be temporary, and a recovery led by large-cap stocks is possible in the near term.

The Sensex remains approximately 6,000 points below its all-time high. Market attention next week will focus on the release of the RBI policy minutes.

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