Nifty 50, Sensex drop about 1% each: Explained with 5 reasons why Indian stock market is falling today
Stock Market Today: Markets started on a weak note and slipped further on Friday. The Nifty-50 and Sensex saw sharp cuts of almost 1 % each after having scaled all time highs on Wednesday. While Thursday was a market holiday in India, Nifty had scaled all-time highs of 22,775.70 on Wednesday as Sensex also hit all time highs of 75,124.28 before it closed above the 75,000 Mark (75,038.15) for the first time in the history.
The Weakness in markets on Friday was attributed to the weak global cues. The US markets since Wednesday have remained volatile following the hotter than expected US Inflation that added to concerns of the market participants on rate cuts getting postponed. The expectations of higher for longer keep markets and investors on the edge.
The rising bond yields and dollar index, rising commodity prices, Geopolitical tensions remain other concerns. Also Read-Nifty 50, Sensex on April 12: What to expect in trade today The equity markets had been rising through the world on expectations that higher interest rate cycle being behind and US Federal Reserve will start cutting interest rates soon. The hotter than expected inflations numbers however have dampened hopes that US Fed may start cutting interest rates soon.
Deepak Jasani Head of retail Research at HDFcC Securities said that hotter-than-expected inflation data dampened hopes that the Federal Reserve would begin cutting interest rates as early as June leading to a fall in US equity markets on Wednesday. Many analysts now don't see US Fed cutting interest rates by as early as in June. This also is impacting expectations on at least three rate cuts in 2024.
Read more on livemint.com
