INSUBCONTINENT EXCLUSIVE:
4 min read Last Updated : Oct 04 2024 | 12:00 AM IST
Equity benchmark indices Sensex and Nifty tanked over 2 per cent each on Thursday
as investors trimmed their risk exposure amid escalating tensions in West Asia
Losses across all sectors weighed heavily on key indices.
The markets also came under pressure on concerns over foreign portfolio
investors (FPIs) pulling out from India to invest in China, where valuations are attractive, analysts said.Click here to connect with us on
declined 1,769 points to end at 82,497, a 2.1 per cent decline
June 4 and August 5, when the shock verdict of the Lok Sabha elections and concerns over the reversal of yen carry trade and disappointing
jobs data had rattled markets, respectively.
For Sensex, this was the fourth-worst decline this year.
Domestic equity benchmarks were
also the worst performing global equity indices
its eight soldiers who died in a battle against Hezbollah
The latest round of tensions where Israel is pitted against Iran directly have raised concerns about its impact on oil prices and global
supply routes are attacked.
Crude oil rose for the fifth consecutive session, trading at $75.4 per barrel
In the past five sessions, Brent crude has risen 6 per cent.
"Foreign funds might want to get to China quickly, so they must reduce the
When the flows return to emerging markets, they will top up India or China, depending on the market conditions
Our markets were overbought anyway
Crude prices rising is a negative for India, but we have been buying from Russia; maybe the expectation of RBI cut next week is off the
the US, which will give cues of the future of rate cuts and quarterly results in India, is expected to determine the trajectory of the
markets.
"The result season is unlikely to be great
But if RBI is to cut rates, it will be a positive
The expectations will be that things will start to pick up, that interest rates are coming down, that people will have more money to spend,
and that companies will invest," Holland explained.
Reliance Industries, which fell 3.9 per cent, was the biggest contributor to Sensex's
In the last three days, Reliance Industries had declined 7.8 per cent with West Asian tensions creating uncertainty for its oil refining
declined the most at 4.4 per cent, followed by Nifty Auto and Oil & Gas at nearly 3 per cent each.
"I don't see a huge fall from here as
the domestic liquidity support is intact
Domestic flows will go into larger names, ones that haven't moved in a long time
Published: Oct 03 2024 | 7:43 PMIST
