Benchmark equity indices Sensex and Nifty tumbled in early trade on Wednesday (September 4, 2024) after a record-breaking rally, tracking extremely weak trends from the global markets.
The 30-share BSE Sensex tumbled 721.75 points to 81,833.69 after a weak beginning to the trade. The NSE Nifty tanked 196.05 points to 25,083.80.
Among the 30 Sensex firms, JSW Steel, Infosys, Larsen & Toubro, State Bank of India, Tata Steel, Mahindra & Mahindra, Bharti Airtel and Axis Bank were the major laggards.
Asian Paints, Bajaj Finserv, Bajaj Finance, and Hindustan Unilever were the gainers.
In Asian markets, Seoul, Tokyo, Shanghai, and Hong Kong were trading sharply lower.
The U.S. markets ended significantly lower on Tuesday (September 3, 2024).
“The selloff in U.S. markets yesterday (Tuesday) was triggered by growth concerns. There are indications of U.S. manufacturing moving into contraction, thereby threatening the soft landing expectation, which has been the pillar of support for the mother market U.S. and consequently for other markets, too,” said V K Vijayakumar, Chief Investment Strategist, Geojit Financial Services.
Halting its 10-day rally on Tuesday, the BSE benchmark dipped 4.40 points or 0.01% to settle at 82,555.44. The Nifty, however, eked out a marginal gain of 1.15 points to settle at 25,279.85, its highest-ever closing level.
In the 10-day rally, the BSE benchmark spurted 2,135 points, or 2.61%. Nifty has surged nearly 1,141 points or 4.59% in 14 straight days.
According to exchange data, Foreign Institutional Investors (FIIs) bought equities worth ₹1,029.25 crore on Tuesday. Global oil benchmark Brent crude declined 0.61% to $73.30 a barrel.