Sensex on Thursday tanked 1,162.12 points to 79,020.08 in early trade. Nifty also tumbles 328.55 points to 23,870.30. Equity benchmark indices Sensex and Nifty stayed on the back foot for the fourth straight session on Thursday as investors offloaded utility, capital goods and metal stocks amid foreign fund outflows. Besides, investor sentiment remained subdued ahead of the outcome of the US Federal Reserve’s policy meeting, scheduled for Thursday, traders said.
In the early trade, out of the 30 stocks of Sensex, 2 stocks were in the green and 28 were in the red. Whereas, the National Stock Exchange index Nifty was seen trading at 23,918 in the early trade, down 1.16 percent or 280 points. Out of the 50 stocks of Nifty, 4 stocks were in the green and 46 were in the red.
Why did the stock market fall?
The Federal Reserve announced a 0.25 percent cut in the key interest rate on Wednesday night. The market was already expecting this. The market was keeping an eye on what the Fed would indicate regarding a rate cut in 2025 and has been disappointed in this regard. The Fed estimates that there could be a rate cut of 0.25 percent twice in 2025. Whereas earlier this estimate was of a rate cut of 0.25 percent 4 times.
These stocks saw a decline
Among the Nifty pack stocks, the biggest losers today were Asian Paints (2.20%), Hindalco (2.14%), Tata Steel (1.97%), BEL (1.94%) and Mahindra & Mahindra (1.90%). On the other hand, Dr. Reddy’s and Tata Consumer stocks saw the biggest gains.