Market ends weak amid selling across sectors
At close, the Sensex was down 820.97 points or 1.03% at 78,675.18, and the Nifty was down 257.80 points or 1.07% at 23,883.50.
Indian stock indices – Sensex and Nifty – yet again touched their all-time highs Wednesday. The indices were above 1 per cent higher at the time of writing this report.
Sensex tasted its high at 63,601.71 points and Nifty at 18,887.60 points. Indian stock indices, which have been buoyant over the past several sessions, touched their all-time highs last Wednesday too.
The rise in domestic stocks is in tune with the global market rally and firm domestic macro fundamentals. Strong fundamentals including a firm GDP outlook, moderate inflation and strong purchases by foreign investors saw the markets trading in the green.
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The inflation in the US and India is moderating, but what is to be seen going ahead is whether this trend is sustainable.
“U.S. stocks ended higher Tuesday, led by mega tech stocks, with data suggesting the economy remains resilient despite higher interest rates as investors approach the end of the second quarter and the first half of the year,” said Deepak Jasani, Head of Retail Research, HDFC securities.
According to VK Vijayakumar, Chief Investment Strategist at Geojit Financial Services, the high market valuation, however, continues to be a concern for domestic markets in the near term.
“Investors can book some profits at record highs,” Vijayakumar suggested.
It is to be noted that Indian stock markets were to remain closed today on account of Bakri Eid (Id-Ul-Zuha), but has been rescheduled for Thursday. The National Stock Exchange and Bombay Stock Exchange put out circulars in line with the Maharashtra government’s notification released on Monday regarding the change in the Eid holiday.
Indian stock markets will remain closed next on August 15 for Independence Day celebrations.
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