Business & Investment

Bulls ceded more ground, index down 1.5%

Mumbai: The stock stumbled on the second day as investors robbed the table of some money. Sensex Temporarily exceeded 50,000 points on Thursday. Friday’s key index fell 1.5%. This is the biggest one-day drop since the 3% revision on December 21, and we are concerned that the near-vertical rebound has lost momentum. Sensex fell 746.22 points to finish at 48,878.54. Nifty ended at 14,371.90, down 218.45 points. India’s Volatility Index (VIX) rose 1.1% to 22.42, suggesting that traders are at high short-term risk to the market.

Foreign portfolio investors (FPI) sold a net share worth Rs 635.69 on Friday, while domestic peers sold in the range of Rs 1,290.35.So far, despite being permanent Sale According to domestic institutions, the market is FPI Inflow supported by the weak dollar. Friday’s sale is the sixth time FPI has made a net sale in a session since November.

agency

Investors are concerned that the rebound of the US currency could lead to a flow reversal, at least in the short term.Christopher Wood, Chief Global Strategist JeffreysDespite record net purchases by foreign investors in the fourth quarter of 2020, he said he continued to prefer the Indian stock market. “The main reason is the scale of the cyclical recovery next year as a result of the dramatic collapse of growth. In the second quarter of last year, when real GDP fell 23.9% year-on-year,” Wood said with weekly greed. Said in a horror note.

According to brokers, some domestic investors are cutting their equity exposure, and Sensex and Nifty are the first low in four years after a month-long sellout caused by the spread of Covid-19. It has risen by more than 95% since March 23, when the stock price was added. Traders rushed to cut down on bullish bets as the market showed signs of fatigue after Sensex temporarily exceeded 50,000 on Thursday.

“50,000 is just a number and the market has been overbought for a long time. As liquidity continues, it may not be significantly modified,” said Chief Investment Officer Piyush Garg. ICICI Securities.. “Liquidity needs to be depleted for major revisions to take place.” The focus is likely to shift to next week’s budget, with only a few remaining before the major financial event scheduled for February 1. There are 5 sessions.



Bulls ceded more ground, index down 1.5%

https://economictimes.indiatimes.com/markets/stocks/news/bulls-cede-more-ground-indices-slip-1-5/articleshow/80416341.cms Bulls ceded more ground, index down 1.5%

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