Sensex falls over 200 points while Nifty around 16,500 in early trade
- Sensex was down 226.7 points at 55,542.53 while Nifty dropped 67.05 points to 16,517.25
- Rupee rose 4 paise to 77.62 against the US dollar
- Brent crude rose 0.79% to USD 120.63 per barrel
Major indexes fell further on Monday, with the Sensex down 227 points in morning trading as investors stayed cautious in the face of ongoing selling by foreign investors and rising crude oil prices.
The Sensex was down 226.7 points at 55,542.53. The Nifty dropped 67.05 points to 16,517.25.
"The market mood has turned a bit cautious with better-than-expected US jobs data (3.90 lakh jobs) in May. This good economic news is negative from the market perspective since it means the Fed is likely to tighten aggressively without bothering about a possible recession”, V K Vijayakumar, Chief Investment Strategist at Geojit Financial Services, said.
"For India, elevated crude prices and a USD 23 billion trade deficit in May are areas of concern. Even though FPI selling has come down in early June, they are likely to sell more at higher levels," he added.
On Friday, the BSE Sensex fell 48.88 points, or 0.09%, to 55,769.23 points. The NSE Nifty finished at 16,584.30 points, down 43.70 points or 0.26%.
According to stock exchange statistics, foreign institutional investors sold shares worth a net Rs 3,770.51 crore on Friday.
Meanwhile, Brent crude, the international oil standard, rose 0.79% to USD 120.63 per barrel. The rupee rose 4 paise to 77.62 against the US dollar in early trade on Monday, aided by a weak US currency in international markets.