Equity benchmark Sensex fell more than 600 points in opening trading on Feb. 11, largely on weakness in IT and financial stocks due to weaker global market trends.
The BSE indicator was down 611.54 points, or 1.04%, at 58,314.49 in early trade. Likewise, the Nifty was down 168.95 points or 0.96% at 17,436.90.
Infosys was the biggest loser in the Sensex portfolio, down more than 2%, followed by Wipro, Tech Mahindra, HCL Tech, HDFC, Bajaj Finance, M&M and Bajaj Finserv.
On the other hand, NTPC and Nestlé India are the only winners.
In the previous session, the 30-share BSE Sensex closed up 460.06 points, or 0.79%, at 58,926.03. Likewise, the broader NSE Nifty was up 142.05 points, or 0.81 per cent, at 17,605.85.
The Reserve Bank of India (RBI) held its key lending rate steady at a record low level for the 10th consecutive meeting on February 10 to support the economy’s durable recovery from the COVID-19 pandemic.
Elsewhere in Asia, stocks in Tokyo and Shanghai rose in intraday trade, while stocks in Hong Kong and Seoul fell.
U.S. stock exchanges fell sharply in overnight trade, pressured by key U.S. inflation data, falling tech stocks and rising benchmark bond yields.
“Asian equities traded sharply lower on Friday after U.S. inflation surged to a four-year high, prompting hawkish comments from Fed officials, sending U.S. Treasuries and Wall Street stocks lower,” said Deepak Jasani, head of retail research at HDFC Securities.
Jasani further added that the Fed may have to act aggressively quickly to ensure inflation does not worsen.
“St. Louis Fed President James Bullard said the central bank should raise rates by 100 basis points in the next three meetings. He raised the possibility of considering action between scheduled policy reviews,” he said.
Meanwhile, Brent crude, the international oil benchmark, fell 0.16% to $91.26 a barrel.
Foreign institutional investors (FIIs) remained net sellers in the capital market as they sold shares worth Rs 1,732.58 crore on February 11, according to stock exchange data.
Complete News Source : The Hindu
