After one day’s relief, a decline was seen in the stock market on Monday, the first day of the trading week. Sensex fell 451 points on Monday. While Nifty closed within 23,650. Ending a volatile session on the first day of trading of the week, BSE Sensex closed at 78,248.13, down 450.94 points or 0.57 per cent. While NSE Nifty fell 168.50 points or 0.71 percent and closed at 23,644.90. Stock markets fell on Monday amid flight of foreign investors, weak global market sentiment and selling in major stocks, leading to a fall in the rupee. During the trading session, Sensex fell by 621.94 points or 0.79 percent and closed at 78,077.13 points. The stock market had a slow start on the first day of the last trading week of the year. The Sensex fell 142.26 points to 78,556.81 in early trade. While Nifty fell 48.35 points to 23,765.05 points. Midcap, smallcap recovered from lower levels and closed. Buying was seen in Pharma, IT, FMCG shares. Realty, Auto, PSE indices closed with losses. There was pressure on banking shares.
Among the top 30 blue-chip companies, Tata Motors, Titan, Tata Steel, State Bank of India, Mahindra & Mahindra, NTPC, ICICI Bank, Maruti, HDFC Bank and Infosys were the top fallers. While Zomato, Tech Mahindra, HCL Tech and IndusInd Bank remained in profit. On Monday, most sector indices closed in the red. The fall was led by Nifty Auto index. In which there was a decrease of two percent. After this comes the order of Nifty Bank Index. Concerns about high valuations were seen in the broader market.
In early trading, the stock market was seen struggling to maintain its lead. However his performance was poor. However, despite the weak performance, the midcap index performed well. The midcap index closed at 57,190 with a gain of 210 points. In contrast, a decline of one percent was seen in Nifty. Nifty Bank index appeared to be under pressure. It closed at 50,953 points, down 359 points. Adani Enterprises emerged as the top gainer in Nifty. Whose value increased by almost eight percent after positive brokerage notes. There has been buying interest in IT shares for some time now. Vodafone Idea gained four percent after the government waived bank guarantees worth Rs 24,800 crore. Biocon closed at four per cent, gaining for the fourth consecutive session. Ola Electric saw a huge decline of six percent. Shares of HDFC Bank and ICICI Bank fell by more than one percent. Which created the biggest obstacle in the functioning of the market. Oil and telecom group Reliance Industries fell 0.8 percent. Due to which the Sensex came down by about 60 points. The India VIX index rose 5.5 percent to 13.97 percent. Healthcare index increased by 0.92 percent. Meanwhile, the biggest decline in the media index was 1.5 percent.
Most global markets witnessed weak trade as a rise in US Treasury yields and the possibility of a lower-than-expected US rate cut weighed on sentiment. The Federal Reserve’s forecast of a slower pace of rate cuts in 2025 has pushed US Treasury yields higher. This reduces the attractiveness of emerging market assets. The 10-year US Treasury yield, which started the month, was trading below 4.2 percent. That beat the Fed’s forecast of 4.6 percent. Foreign inflow has increased due to higher production. Concerns over high valuations and subdued expectations of a US rate cut in 2025 weighed on sentiment.
Net selling by FIIs worth Rs 1,893.16 crore
On Monday also, continuous selling by foreign investors was seen in the market. Foreign institutional investors (FIIs) sold Rs 17,400.72 crore against purchases of Rs 15,507.56 crore. That means, on Monday, FIIs made a net sale of Rs 1,893.16 crore in the Indian market. Whereas purchases worth Rs 41,786.62 crore were made from domestic investors. Also there was a sale of Rs 39,612.76 crore. That means there was a net purchase of Rs 2,173.86 crore from DII.
