Sensex sinks 667 points to close at 36,940; Nifty finishes below 10,900
NEW DELHI: Equities indices ended lower for fourth consecutive session on Monday with benchmark BSE sensex falling more than 650 points dragged down by financial and banking actions.
The BSE 30-share index fell 667 points or 1.77 percent to close at 36,940; while the broader NSE Nifty resolved 174 points or 1.57 percent lower at 10,900.
IndusInd Bank, Kotak Bank, ONGC, Reliance, Axis Bank, HDFC Bank, Bajaj Auto, Bajaj Finance were the main laggards in the sensex package that fell as much as 4.41 percent.
While Titan, Tata Steel, HCL Tech, L&T, SBI, and Nestle India were the only winners that rose as much as 3.19 percent.
On the NSE platform, the Nifty Private Bank, Financial Services and Bank sub-indices fell to 2.89 percent.
According to experts, the outflow of foreign funds, concern over the increase in COVID-19 cases around the world kept investors cautious.
Additionally, the Reserve Bank of India (RBI), which has cut its key policy rate twice this year, to soften the pandemic’s impact on a slowing economy, is expected to announce its monetary policy decision later. this week.
A cut in the interest rate could help banks increase their treasury earnings on government bonds at a time when loans have slowed, Deepak Jasani, head of retail research at Reuters, told Reuters news agency. HDFC Securities.
“The expectation of a rate cut is not very high right now. A ‘no rate cut’ negativity is … tear down the finances,” he added.
Meanwhile, the rupee slumped 20 paise and settled below the 75-dollar level, tracking negative domestic actions and strengthening the US currency.
(With contributions from the agency)