Stock Market Today: Indian indices opened lower on Monday morning with Nifty below 17700 amid weak global cues. At 09:16 IST, the Sensex was down 352.75 points or 0.59 per cent at 59293.40, and the Nifty was down 114.30 points or 0.64 per cent at 17644.20.
Top Gainers & Losers
Power Grid, HUL, Titan, Dr Reddy’s were top contributors to the benchmark indices. Meanwhile, Kotak Bank, Bajaj Finserv, Wipro, and Tata Steel weighed on the indices.
Broader markets, too, edged lower in trade as Nifty Midcap 100 and Nifty Smallcap 100 slipped over 1 per cent.
All sectors dropped in the negative zone as Nifty IT, Nifty Realty, and Nifty IT were battered in trade.
VK Vijayakumar, chief investment strategist at Geojit Financial Services, said: “Market is delicately poised with higher downward risk. The sustained FII buying is positive. But FIIs are unlikely to buy aggressively in the present context of rising dollar. The dollar index is back above 108 and the US 10-year bond yield is at 2.99%. This is negative for capital flows to emerging markets. India’s impressive GDP growth and favorable leading indicators in the context of global growth slowdown have the potential to attract more FII flows but the rising dollar and bond yields are strong headwinds. Investors have to exercise caution. Medium to long-term investors can buy high-quality banks on declines. Capital goods and autos are on a strong wicket.”
The rupee depreciated by 20 paise to close at 79.84 against the US dollar on Friday amid a strengthening greenback overseas.
Asian shares got off to a rocky start on Monday while the dollar remained in demand amid concerns most major central banks are committed to raising interest rates no matter the risks to growth.
Tokyo stocks opened lower Monday on renewed fears of interest rate hikes following hawkish comments from US Federal Reserve officials. The benchmark Nikkei 225 index fell 1.15 percent, or 331.43 points, to 28,598.90 in early trade, while the broader Topix index lost 0.85 percent, or 16.96 points, to 1,977.56.
US stocks fell on Friday in a broad selloff led by megacaps as US bond yields rose, with the S&P 500 posting losses for the week after four straight weeks of gains.