Sensex Slips From Day’s High, Nifty Ends Near 25,800 Amid Weak Global Signals
Sensex slipped 300 points from the day’s high while Nifty closed near 25,800 as weak global cues, auto stock selling and rising crude prices hit sentiment.
Traders watch market screens as Sensex and Nifty extend losses amid weak global signals and rising crude oil prices.
The Indian stock markets got to the fourth day of their losing streak on Thursday as they were affected by weak global cues, selling in certain sectors and the higher prices of crude oil.
The index of the most active shares, the Sensex, lost almost 300 points from its highest level during the day and closed at 84,481.81, while the wider Nifty finished at 25,815.55, indicating the cautious mood of the investors.
Reasons for the market decline
Weak global cues:
Most of the Asian markets experienced a downturn, which was a result of the previous day's downturn on Wall Street. Japan, South Korea, and Hong Kong saw their major indexes go down, but the Shanghai index in China managed to increase its value a little. U.S. shares went down as a result of profit taking in the tech and AI sectors.
Selling pressure in auto stocks:
Auto shares faced notable selling, slipping up to 2 percent as investors locked in gains. The weakness in the auto pack added to the broader market pressure.
Escalating crude oil prices:
Brent crude climbed approximately 0.65 percent to $60.07 per barrel, which led to concerns about inflation and the higher cost of oil for importing countries such as India, thus further discouraging the market.
Technical perspective
Anand James, Chief Market Strategist at Geojit Investments Limited, commented that the Nifty has dropped more than one percent from the week’s maximum and is now at the level of last Friday’s low.
According to him, the index might make an effort to bounce back to 25,980, nevertheless, if it fails to stay above 25,850, it could then be a signal for broader downswing towards 25,650–25,300, which may even confirm a short-term downtrend.
In summary, the market is still cautious as the investors are following global trends, crude price changes and sectoral developments closely.
