Sensex Tumbles Over 800 Points, Investors Face Losses

Aakhir Tak – In Shorts

• Sensex fell over 800 points, closing at 78,675.
• Nifty50 lost 258 points, ending at 23,883.
• Foreign institutional investors offloaded stocks worth ₹2,306 crore, impacting the market.
• Key stocks like HDFC Bank, SBI, Tata Motors, and Maruti Suzuki saw major declines.
• Investor sentiment remained weak amid domestic and global uncertainties.

Aakhir Tak – In Depth

Today, the Indian stock market witnessed a significant fall, with both the S&P BSE Sensex and NSE Nifty50 ending in negative territory, reversing early gains. Sensex lost 821 points, or 1.03%, closing at 78,675. Similarly, Nifty50 dropped 258 points, down 1.07%, to end at 23,883. This decline led to a reduction in the market capitalization of BSE-listed companies by ₹5.76 lakh crore, bringing it down to ₹436.78 lakh crore.

Major stocks such as HDFC Bank, SBI, Asian Paints, Tata Motors, and Maruti Suzuki were the biggest drags, with losses ranging from 2-3%. HDFC Bank alone accounted for a 316-point impact on the index.

Analysts attributed this sell-off to continuous foreign investor outflows and disappointing quarterly earnings, particularly in the banking and auto sectors. Foreign institutional investors (FIIs) reportedly sold ₹2,306 crore worth of Indian equities, continuing their selling spree.

Additionally, declines in Asian markets, led by losses in Chinese stocks and technology shares, and a further slump in the Indian rupee to an all-time low against the US dollar added to the downward pressure. Oil prices, which rose on concerns over China’s economic measures, and rising retail inflation data also contributed to market jitters.

Inflation in October surged to a 14-month high and is expected to influence the Reserve Bank of India’s stance on interest rates in the upcoming months, adding to the uncertainty in the market.

With persistent foreign outflows and domestic concerns, investor sentiment remained cautious, awaiting signs of stability in global and domestic economic indicators.

Vinod Nair, Head of Research at Geojit Financial Services, noted that foreign investor selling pressure continued to impact the domestic market. “The strengthening dollar due to aggressive ‘Trumponomics’ adds concerns. Additionally, the expected rise in domestic inflation, influenced by rising food prices and a weakening rupee, may impact the RBI’s monetary policy. Most sectors were in the red, while IT stocks gained on expectations of increased US IT spending,” he said.

Aakhir Tak Editor-in-Chief

See Full Bio