Today’s Market News :
Today’s market news is quite eventful. The Indian stock market experienced a significant crash yesterday, with the benchmark indices, Sensex and Nifty 50, both closing the session down over 2% ¹. This marked their worst intraday drop in two months, as investor sentiment soured amid escalating tensions between Iran and Israel, prompting a shift away from riskier assets like stocks.
Key Market Highlights:
– Nifty 50: finished 2.12% lower at 25,250, dipping below the 25,300-point mark for the first time since mid-September ¹
– Sensex: closed down 2.10% at 82,491 points, breaching the 82,500 mark for the first time since mid-September ¹
– Market Capitalization: declined by around ₹10 lakh crore to ₹465 lakh crore ¹
Analysis
1. A 10 lakh crore wipeout of investor wealth dominated Nifty’s weekly options expiry on Thursday post the mid-week holiday.
2. The lingering issue of rising geopolitical tensions between Iran and Israel acted as a key sentiment dampener.
3. SEBI circular on F&O norms released, impacting trading volumes.
4. Tactical money moving out of India into China.
5. Aggressive selling from foreign institutions, while domestic institutions remained buyers at lower levels.
6. Top 10 contributors to the Nifty downside led by Reliance Industries and HDFC Bank.
7. Nifty slipped below closing levels of September 12, correcting 1,000 points from last week’s high.
8. Short-term Nifty sentiment has turned negative, with support seen at 25,050 – 25,000 zone.
9. Nifty Bank has given up gains from September 11, critical support at 51,500.
10. F&O cues indicate fresh short positions in some stocks, unwinding of long positions in others.
