Sensex tumbles over 470 points in early trade

Weak trends in global markets and outflows from foreign funds weighed on investor sentiment.

Weak trends in global markets and outflows from foreign funds weighed on investor sentiment.

Benchmark indices continued to fall on Tuesday, April 12, 2022, with the Sensex falling more than 470 points early in trading as weak trends in global markets and outflows from foreign funds weighed on investor sentiment. The Sensex was trading 470.59 points lower at 58,493.98 trading early in trading. The Nifty fell 137.7 points to 17,537.25.

Among the pack of 30 stocks, Tata Steel, State Bank of India, Bajaj Finserv, IndusInd Bank, Larsen & Toubro, Tech Mahindra and Wipro were among the early laggards.

By contrast, Maruti Suzuki, HDFC and Kotak Mahindra Bank were the only winners.

“The market will remain choppy in the near term, pulled up and down by positive and negative news. The near term headwinds will continue to be rising US bond yields that have crossed the 2.8 percent mark for the 10-year and equity outflows .

“Technology-heavy NASDAQ has clearly weakened and this has also led to some gains in Indian IT stocks. But IT is likely to do well as TCS results indicate robust deal profits and order flows,” said VK Vijayakumar, Chief Investment Strategist at Geojit Financial Services.

TCS was trading flat at ₹3,685.10, down 0.31 percent after the announcement of its after-hours profit on Monday.

The country’s largest software services company, Tata Consultancy Services, opened its fourth-quarter earnings season on Monday with a stellar string of numbers. profit to ₹9,926 crore.

US stock markets closed sharply lower Monday as investors entered the holiday-shortened week in a risk-free mood as rising bond yields weighed on the market’s leading growth stocks ahead of crucial inflation data.

“Asian markets are trading negatively as investors continue to monitor developments around the COVID situation in mainland China,” said Mohit Nigam, Head – PMS, Hem Securities.

On Monday, the Sensex tanked 482.61 points, or 0.81 percent, to settle at 58,964.57. The Nifty fell 109.40 points, or 0.62 percent, to end at 17,674.95.

In Asia, markets in Hong Kong, Seoul, Shanghai and Tokyo were lower during mid-session deals.

US stocks also closed lower on Monday.

The international oil benchmark Brent oil rose 2 percent to USD 100.45 a barrel.

Foreign institutional investors continued to transfer shares worth ₹1,145.24 crore on Monday, according to data from the exchange.

www.thehindu.com

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