The equity markets fell significantly amid a volatile week. The US Federal Reserve‘s hawkish tone on interest rates fueled market anxiety.

The Sensex declined 741.87 points, or 1.26%, to 58,098.92 in the week ended Friday, September 23, 2022. The Nifty fell 203.50 points, or 1.16%, to 17,327.35. The BSE Mid-Cap index dropped 1.12% to 25,271.41. The BSE Small-Cap index fell 1.32% to 28,812.76 points.

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How equity benchmarks performed on a weekly basis:

Monday, September 19, 2022

The Sensex increased 300.44 points, or 0.51%, to 59,141.23. The Nifty increased by 91.40 points, or 0.52%, to 17,622.25.

Tuesday, September 20, 2022

The Sensex increased 578.51 points, or 0.98%, to 59,719.74. The Nifty 50 rose 194 points, or 1.10%, to 17,816.25.

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Wednesday, September 21, 2022

The Sensex fell 262.96 points, or 0.44%, to 59,456.78. The Nifty 50 lost 97.90 points, or 0.55%, to 17,718.35.

Thursday, September 22, 2022

The Sensex slid 337.06 points, or 0.57%, to 59,119.72. The Nifty 50 slipped 88.55 points, or 0.50%, to 17,629.80.

Friday, September 23, 2022

The Sensex declined 1020.80 points, or 1.73%, to 58,098.92. The Nifty 50 fell 302.45 points, or 1.72%, to 17,327.35.

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What happened in the Global markets:


The Asian Development Bank (ADB) has reduced India’s GDP growth outlook by 50 basis points to 7% for the current fiscal year, which ends in March 2023, highlighting higher-than-expected inflation and monetary tightening. The ADB has reduced its GDP growth projection for India for the upcoming fiscal year, which ends in March 2024, by an additional 80 basis points to 7.2%.

The numbers for Direct Tax collections for FY 2022-23, as of 17 September 2022, reveal that net collections are at Rs 7,00,669 crore, compared to Rs 5,68,147 crore in the prior Financial Year, i.e. FY 2021-22, marking a 23% increase.

Also Read| Impact of US Federal Reserve rate hike on India

United States

The US Federal Reserve raised its key interest rate by 75 basis points for the third time in a row. According to the updated quarterly projections issued alongside the announcement, the central bank’s officials expect the benchmark policy rate target range to climb to 4.4% by the end of 2022 and 4.6% in 2023.

The US current account deficit shrank dramatically in the second quarter due to a boom in goods exports, according to figures released on Thursday. According to the Commerce Department, the current account deficit, which monitors the movement of goods, services, and investments into and out of the nation, shrank 11.1% to $251.1 billion in the last quarter. The current account deficit totalled 4% of GDP, down from 4.6% in the January-March quarter.

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The People’s Bank of China maintained its one-year and five-year loan prime rates (LPR) unchanged, as predicted. The one-year loan prime rate is at 3.65%, and the five-year rate, which is directly related to house mortgages, is 4.3%.

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The core consumer prices in Japan climbed 2.8% year on year in August, according to official statistics. This is the fastest gain in over eight years, and it is the fifth month in a straight that inflation has surpassed the central bank’s 2% objective. 

The BOJ Policy Board agreed unanimously to maintain its short-term policy interest rate at minus 0.1% and to keep 10-year government bond rates around 0%.

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Despite the economy entering a recession, the Bank of England hiked its benchmark interest rate to 2.25% from 1.75% stressing it will continue to act aggressively, as necessary for inflation. This is the seventh consecutive increase for the U.K. Interest rates.

Also Read| Why interest rates are being hiked globally?


The Swiss National Bank hiked its key interest rate to 0.5% on Thursday, thereby ending Europe’s negative interest rate period.