Sensex declines over 800 points while Nifty sinks below 17,300 in early trade
- Sensex was down 810.29 points, or 1.38%, at 57,984.80
- Nifty fell 245.15 points, or 1.40%, to 17,291.10
- Rupee slips 8 paise to 74.60 against US dollar
- Brent crude slipped 2.02% to USD 80.56 a barrel
The Sensex fell more than 800 points in early trade on Friday, owing to widespread selling amid a bearish trend in global markets and continuing foreign investment outflows.
The 30-stock index was down 810.29 points, or 1.38%, at 57,984.80. Likewise, the Nifty fell 245.15 points, or 1.40%, to 17,291.10.
Maruti was the Sensex pack's biggest loss, losing about 3%, followed by Bajaj Finserv, Kotak Bank, HDFC, Bajaj Finance, and Tata Steel. On the other hand, Dr. Reddy and Sun Pharma were the gainers.
In the previous session, the Sensex rose 454.10 points, or 0.78%, to 58,795.09, while the Nifty gained 121.20 points, or 0.70%, to 17,536.25.
According to exchange statistics, foreign institutional investors (FIIs) were net sellers in the capital market on Thursday, offloading shares worth Rs 2,300.65 crore.
According to VK Vijayakumar, Chief Investment Strategist at Geojit Financial Services, when a company with a weight of more than 10% in the Nifty rises by 6%, the index rises sharply.
This occurred on Thursday when RIL's surge pushed the Nifty up by 121 points. "However, this rise is unlikely to last and may easily reverse if the market's headwinds get greater," he said.
He highlighted that the new strain of the virus was discovered in South Africa, Botswana, and Hong Kong. "This, together with continued selling by FIIs for the sixth day in a row, are huge sentiment negatives for the market," he added.
In other Asian markets, indices in Shanghai, Hong Kong, Seoul, and Tokyo slid up to 2.68% in mid-session trade. In the overnight session, stock markets in the United States ended substantially positively.
Meanwhile, Brent crude, the international oil benchmark, slipped 2.02% to USD 80.56 a barrel. Rupee slips 8 paise to 74.60 against US dollar in early trade.