Mumbai: Sensex fell 889 points to close at 57,012 because of strong sales with financial relations and shares.
The wider nifty lost 263 points and closed just below the level of 17,000.
The US Fed’s decision to accelerate at the end of its easy money policy, increased omicron variant infections and increased inflation caused cross-market sales, which also affected the sentiment in Dalal Street, said market participants.
The decision to rise in interest rates by the Bank of England on Thursday also disrupted investors when they expect more central banks to follow the decision of the British Central Bank.
However, a strong purchase in leading technology stocks, however, today’s cellloff pillows in Sensex with infosys, HCL Tech and TC among five sensex gainers.
As in the past few weeks, foreign funds lead sales on Friday with a clean stream of Rs 2,070 Crore.
Foreign portfolio investors (FPI) have a net sales stock worth Rs 15,640 Crore this month, data from CDSL and BSE shows.
This is the biggest monthly net outflow since March 2020.
However, Friday schedules are more severe than in recent weeks, market players show, which is seen in stock outside Sensex too.
Compared to losing 1.5% Sensex on Friday, the BSE MIDCAP index closed 2.5% lower, while the small index fell 2.1%.
In a broader market, 2,353 shares on BSE closed lower than 983 which closed higher.
According to the Head of Emkay Wealth Management Research Joseph Thomas, the main trigger for the decline in the index is a tightening of liquidity by the US after the final meeting of the policy regulation committee earlier this week and also indications of the central bank that it will increase interest rates at least three times in 2022.
“Flight of Funds, Who has reached the coastal market developing countries, because quantitative easing begins with addemic addicts, gradually finding the way back to its original place, a feature.
(Witnessed) with the previous tapering, “Thomas said in a note.
This trend tends to accelerate further before it can be moderate when the excitement relating to the budget takes over, he said.
This session slide also made more poor investors by Rs 4.7 lakh Crore with the capitalization of the BSE market now at RS 262.2 lakh Crore, BSE data shows.
With the opening of a lower US market and diving in red, the dealer here said that weakness in the domestic market might continue.