Mumbai: The Sensex and Nifty nursed losses for the fourth session on the trot on Friday, in lockstep with a selloff in global equities as concerns over inflation and monetary policy tightening sapped risk appetite.
Relentless foreign fund outflows further weighed on sentiment, though fag-end buying in select blue-chip counters helped the bourses limit the losses.
The 30-share BSE Sensex ended 427.44 points or 0.72 per cent lower at 59,037.18. Similarly, the broader NSE Nifty plunged 139.85 points or 0.79 per cent to 17,617.15.
Bajaj Finserv was the top laggard in the Sensex pack, tumbling 5.37 per cent, followed by Tech Mahindra, Tata Steel, Bharti Airtel, IndusInd Bank, L&T, Axis Bank and Bajaj Finance.
In contrast, HUL was the biggest gainer, climbing 2.68 per cent, a day after the FMCG major reported an 18.68 per cent increase in consolidated net profit to Rs 2,300 crore for the December quarter.
Maruti, HDFC twins, Nestle India and TCS were among the other winners, spurting as much as 1.89 per cent.
“The ongoing selling by FIIs and weak Indian rupee forced the domestic market to continue surrendering its gains, with all major sectors trading under pressure. Weak sentiments from global markets due to persistent inflationary worries and weaker-than-expected earnings also added to the selling pressure.
“Along with global disturbances, the uncertainties regarding the upcoming Budget will likely keep the domestic market highly volatile in the coming days,” said Vinod Nair, Head of Research at Geojit Financial Services.
On a weekly basis, the Sensex lost 2,185.85 points or 3.57 per cent, while the Nifty slumped 638.60 points or 3.49 per cent.
S Ranganathan, Head of Research at LKP Securities, said, ”Indices witnessed a 4 per cent cut this week as FPIs booked profits across large-caps and select high quality mid-caps. Rising oil and input prices coupled with a moderating rural economy kept investors watchful as markets turned volatile.”
Barring FMCG, all BSE sectoral indices closed in the red on Friday, led by telecom, consumer durables, realty, capital goods and industrials, which shed as much as 3.03 per cent.
Global markets extended their losses amid weaker-than-expected corporate results and concerns over the pace of rate hikes by central banks to combat inflation.
Elsewhere in Asia, bourses in Hong Kong, Seoul, Shanghai and Tokyo closed in the negative zone.
Stock exchanges in Europe too were trading with deep losses in mid-session deals.
International oil benchmark Brent crude tumbled 1.92 per cent to USD 86.68 per barrel.
The rupee advanced by 8 paise to close at 74.43 against the US dollar on the back of easing crude oil prices and dollar selling by banks and exporters.
Foreign institutional investors (FIIs) remained net sellers in the capital market, offloading shares worth Rs 4,679.84 crore on Thursday, according to stock exchange data.
