INSUBCONTINENT EXCLUSIVE:
NEW DELHI: A sharp fall in oil prices, rupee's strength and steady FII inflows helped stock markets recoup early losses to an extent and
Jitters in global markets after a less-than-expected dovish US Fed commentary rubbed off on domestic bourses, which kept up heat on the
indices back home.
After starting over 250 points lower, the BSE benchmark Sensex ended the day down 53 points, or 0.14 per cent, at 36,432
while the NSE Nifty settled at 10,952, down 15.60 points, or 0.14 per cent
In the end, both reversed their seven-day winning run.
In the 30-share BSE pack, 15 stocks advanced while the rest declined
YES Bank rallied nearly 4 per cent and was the top index gainer
It was closely followed by Hero MotoCorp, MM, Asian Paints, Tata Motors and Sun Pharma.
SBI, on the other hand, shed the most, down 2.18 per
Wipro, Vedanta, Bharti Airtel, Maruti and ICICI Bank were among other stocks that performed poorly
On the Nifty50, the advance-decline ratio was almost 1:1, with 24 stocks ending in the green and 26 in the red.
Among sectors that bled
were telecom, metals, FMCG and basic materials
Capital goods, industrials and oil gas advanced.
Let's check out the factors that drove today's show
Global markets on defensiveNikkei closed at a 15-month low while Chinese stocks hit two-month lows today
European shares too wallowed in the red at the open after US Federal Reserve dashed investor hopes of a more dovish policy outlook even as
signs grow that global economic growth is stuttering.
European shares fell 1.2 per cent, with bourses in Germany, Britain and France all
hitting their lowest since December 2016
MSCI's global equity index fell to its lowest since May 2017, shedding 0.4 per cent as it headed for the fifth straight day of losses,
Reuters reported.
These jitters in markets world over affected Indian markets, too.
Slump in oilOil prices fell on Thursday to erase most of
their gains from the day before, resuming declines seen earlier in the week amid worries about oversupply and the outlook for the global
This decline in crude oil prices helped market gain some footing although it was unable to wipe off all of its losses.
Steady FII
inflowsForeign institutional investors were net buyers to the tune of Rs 1,209.21 crore on Wednesday, thus buoying sentiment back home
Sharp recovery in rupeeThe domestic currency rebounded nearly 66 paise from intraday low of 70.68
The currency was trading at 70.02 against the dollar at the time of writing this report
A sharp fall in crude helped the currency recover.
Expert-take:Vinod Nair, Head of Research, Geojit Financial Services
Market opened on a
negative note due to selling in the global market influenced by FOMC downward revision in US GDP growth to 2.3% from 2.5% in 2019
However, towards the closing, market managed to recoup some losses supported by further slid in oil prices and strengthening in rupee
Additionally, the Fed slashed the interest rate hike trajectory for CY19 to two from four in 2018, which is positive for an emerging market
