Indian Stock Market Declines as Foreign Investors Sell Off
On Friday, Indian stock indices closed lower, continuing the previous session’s losses. The Sensex ended at 79,486.32 points, down by 55.47 points or 0.07%, while the Nifty closed at 24,148.20 points, a decline of 51.15 points or 0.21%.
Sectoral Performance
Among sectoral indices, PSU Bank, Media, Realty, and Oil and Gas were the top losers.
Foreign Portfolio Investors’ Impact
Foreign portfolio investors (FPIs) have been selling off stocks, with Rs 94,017 crore sold in October, marking the highest-ever monthly sell-off. In November, FPIs have sold Rs 14,358 crore so far.
Market Analysis
Vinod Nair from Geojit Financial Services noted that market consolidation continues due to disappointing earnings and FPI outflows. The US Fed’s rate cuts contrast with India’s expected inflation rise, likely prompting the RBI to hold rates steady.
Currency and Banking News
The rupee hit a new low, attributed to a strong dollar index and FII outflows. Meanwhile, the State Bank of India reported a 27.92% increase in net profit for the July-September quarter, reaching Rs 18,331 crore.
Doubts Revealed
Sensex -: Sensex is a stock market index in India that tracks the performance of 30 well-established and financially sound companies listed on the Bombay Stock Exchange (BSE).
Nifty -: Nifty is another stock market index in India, similar to Sensex, but it tracks 50 companies listed on the National Stock Exchange (NSE).
PSU Bank -: PSU Bank stands for Public Sector Undertaking Bank, which means banks that are owned by the government of India.
Foreign portfolio investors -: Foreign portfolio investors are people or companies from other countries who invest money in Indian stocks and bonds.
US Fed -: US Fed refers to the United States Federal Reserve, which is the central bank of the USA that manages the country’s money supply and interest rates.
RBI -: RBI stands for Reserve Bank of India, which is the central bank of India responsible for controlling the country’s monetary policy and issuing currency.
Rupee -: Rupee is the currency used in India, just like the dollar is used in the USA.
SBI -: SBI stands for State Bank of India, which is the largest public sector bank in India.
