Sensex Tumbles Over 400 Points, Nifty Breaks Below 23,000 in Morning Trade

New Delhi : The Sensex and Nifty, began the week on a subdued note, declining sharply in early trade on Monday. The downturn was driven by losses in Telecom and Industrials stocks, coupled with persistent foreign fund outflows and muted trends in global markets.

The 30-share BSE Sensex fell 343 points, or 0.45%, to 75,847.46, while the broader NSE Nifty slipped by 108.95 points, or 0.47%, to 22,983.25. Among the major drags on the Sensex were stocks like Zomato, HCL Technologies, PowerGrid, Tata Motors, Adani Ports, Reliance Industries, IndusInd Bank, Infosys, Tata Consultancy Services, and HDFC Bank.

On the flip side, select stocks offered some respite. ICICI Bank, Hindustan Unilever, Larsen & Toubro, Nestle India, State Bank of India, ITC, and Asian Paints emerged as gainers, partially cushioning the overall market decline.

Major upcoming events, such as the Federal Reserve’s policy decision and the Union Budget in India, are anticipated to influence market movements. “The market is looking forward to fiscal stimulus measures like income tax cuts in the Budget. If expectations are met, it could trigger a relief rally. However, sustaining such a rally would require clear signs of growth and an earnings revival,” he stated.

Foreign Institutional Investors (FIIs) continued their selling spree, offloading equities worth ₹2,758.49 crore on Friday, as per exchange data. The continuous outflows have added pressure on domestic equities, reflecting a cautious investor sentiment.

n the Asian markets, Shanghai and Hong Kong were trading in positive territory, while Seoul remained flat, and Tokyo dipped into the red. On the other hand, US markets ended lower on Friday, further dampening global market sentiment.

Crude oil prices also slipped, with the global benchmark Brent crude falling by 0.61% to $78.02 per barrel.

On Friday, the BSE Sensex had declined 329.92 points to close at 76,190.46, while the NSE Nifty fell by 113.15 points to settle at 23,092.20.

With the Union Budget around the corner, market participants are closely monitoring announcements related to fiscal stimulus, particularly potential income tax reforms.