Freaky Friday at D-Street: Sensex Crashes 1,000 Points, Nifty Below 24,250; Metal Stocks Drag
It was a nerve-wracking day on Dalal Street as both benchmark indices, Sensex and Nifty, faced a sharp sell-off on Friday. The Sensex plunged over 1,000 points, closing well below the crucial 65,000 mark, while the Nifty fell below the 24,250 level. The sudden collapse left investors in shock and raised concerns about market stability.
The major drag came from the metal sector, which has been grappling with falling global commodity prices and weak demand outlooks. Shares of top metal stocks like Tata Steel, JSW Steel, and Hindalco witnessed severe declines, contributing significantly to the overall market slump. The sector's downfall was exacerbated by a rise in inflationary pressures and reports of slowing industrial activity worldwide.
The market witnessed a broad-based sell-off, with key sectors such as banking, FMCG, and pharma also succumbing to the pressure. Foreign Institutional Investors (FIIs) were net sellers on the day, intensifying the downward movement as they offloaded significant portions of their holdings.
Experts are closely watching global cues and the domestic macroeconomic indicators, especially inflation data and RBI’s policy stance, to gauge the market’s recovery potential. While the sharp drop raises concerns, analysts advise cautious optimism, noting that such volatility is common in uncertain times.
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