Today, the Sensex dives down to the level of 56,842 in trading, which is 1497 points weaker than the previous closing. At the same time, Nifty also broke down to the level of 17068 in intraday.
Stock Market Update Today: Heavy selling is being seen in the stock market today. In today’s trading, the Sensex dives down to the level of 56,842, which is 1497 points weaker than the previous closing. At the same time, Nifty also came down to the level of 17068 under 17100 in Tutak intraday. At present, there is a fall of more than 1200 points in the Sensex, while the Nifty is also trading near 17150. There is all round selling in the market. Heavyweight stocks in the IT and Bank sectors have weakened. After all, what are the reasons behind the huge fall in the market?
Shock to investors
Investors have suffered a lot in today’s business. Earlier in the last week, the market cap of companies listed on BSE had closed at Rs 2,72,03,063.57 crore. At the same time, till 2 pm today, it has remained 2,68,50,133.15 crores. That is, today the wealth of investors has decreased by about Rs 3.5 crore.
IT shares beaten including Infosys
Heavy selling is being seen in IT stocks in today’s business. The results of Infosys and TCS have come at the domestic level. However, the results were slightly weaker than expected. At the same time, this week many big American companies are going to release their results. Before this, investors are selling. Today Infosys is down by 9 per cent, TECHM is down 5 per cent, WIPRO and TCS are down by 3.5 per cent and HCLTECH is down 23 per cent.
Selling in financial, bank stocks
Today there is heavy selling in heavyweight bank shares. The Nifty Bank index has weakened by about 2.5 percent. About 5 percent in HDFC, 4 percent in HDFC Bank, 2.5 percent in BAJAJFINSV, 2.2 percent in KOTAKBANK, 2 percent in SBIN, 1.5 percent in INDUSINDBK and 1 percent in ICICIBANK.
interest rates may increase
At the domestic level, the retail inflation rate in March stood at 6.95 per cent. This is more than expected. Different agencies and brokerage houses have also increased their inflation rate estimates for this year. This is creating a sentiment for rate hike. Agencies estimate that by April 2023, the repo rate can reach 5.5 percent, which is currently 4 percent.
Brent Crude up
Crude oil is coming to a boil again. After reaching $ 139 a barrel last month, it came down below $ 100. But due to the fear of supply shortage, the prices of crude have again reached beyond $ 113. WTI crude is also around $ 108.
Global market too weak
Major US markets closed on the downside on Friday. On Friday, there was a weakness of 113 points in Dow Jones and it closed at the level of 34,451.23. NASDAQ declined by 293 points and closed at 13,351.08. While the S&P 500 index lost 54 points and closed at 4392.59. Bond yields in the US are at a high level. The results of many big companies including IBM, Procter and Gamble, Travelers, Dow Inc, Johnson and Johnson, American Express, Netflix, Tesla and Verizon are to come this week.
At the same time, selling has been seen in Asian markets today. In the first quarter of 2022, China’s GDP growth rate stood at 4.8 percent, which was at 4 percent in the previous ie fourth quarter. Lockdown in China is also becoming a crisis for the economy.