Markets slump on heightened tensions in Middle East; Sensex drops 500 pts
Mumbai, Jun 23 (PTI): Stock market benchmark indices Sensex and Nifty tumbled on Monday, as intensifying tensions in the Middle East after the US bombed three major nuclear sites in Iran unnerved investors.
Besides, selling pressure in IT, tech and auto stocks amid elevated global crude prices dented market sentiments, traders said.
After losing over 900 points in day trade, the 30-share index recovered some lost ground to close with a loss of 511.38 points or 0.62 per cent at 81,896.79.
During the day, it tumbled 931.41 points or 1.13 per cent to 81,476.76.
As many as 2,204 stocks declined, while 1,854 advanced and 182 remained unchanged on the BSE.
The 50-share NSE Nifty dropped 140.50 points or 0.56 per cent to 24,971.90.
"The entry of the US into the Israel-Iran conflict heightened tension as panic selling by investors triggered major correction in early trade. Also, if oil prices shoot up rapidly due to the ongoing war, higher import bills would lead to a fast decline in the local currency against the dollar and weigh on inflation.
"However, FIIs turning out buyers of local shares worth over Rs 10,000 crore in the past 4 sessions shows that India's strong fundamentals continue to attract foreigners despite global uncertainty," Prashanth Tapse, Senior VP (Research), Mehta Equities Ltd, said.
The US bombed three major nuclear sites -- Fordow, Natanz and Isfahan -- in Iran, directly engaging itself in the Israel-Iran conflict.
From the Sensex pack, HCL Tech, Infosys, Larsen & Toubro, Mahindra & Mahindra, Hindustan Unilever, ITC, Tata Consultancy Services and Maruti were the biggest laggards.
In contrast, Trent, Bharat Electronics, Bajaj Finance and Kotak Mahindra Bank were among the gainers.
The BSE smallcap gauge climbed 0.57 per cent, and the midcap index rose 0.20 per cent.
Among BSE sectoral indices, BSE Focused IT lost 1.48 per cent, IT tanked 1.46 per cent, teck (1.10 per cent), auto (0.88 per cent), FMCG (0.62 per cent), telecommunication (0.50 per cent) and bankex (0.38 per cent).
Capital Goods jumped 0.94 per cent, services (0.73 per cent), metal (0.71 per cent), commodities (0.46 per cent) and consumer durables (0.38 per cent).
"Last Friday, markets buildup in anticipation of easing Middle East tensions, following the US announcement of a two-week window to deliberate its involvement in the Israel-Iran conflict. However, the unexpected US airstrike on Iran’s nuclear facilities over the weekend disrupted those expectations, triggering a sharp rise in crude oil prices and leading to consolidation in the domestic equity market," Vinod Nair, Head of Research, Geojit Investments Limited, said.
In Asian markets, South Korea's Kospi and Japan's Nikkei 225 index settled lower, while Shanghai's SSE Composite index and Hong Kong's Hang Seng ended higher.
European markets were trading lower in mid-session.
US markets ended mostly lower on Friday.
Global oil benchmark Brent crude climbed 0.49 per cent to USD 77.39 a barrel.
Despite the initial setback, the market recovered some of its losses, supported by gains in capital goods and metal stocks, as fears of an immediate oil supply disruption remained low, he added.
Foreign Institutional Investors (FIIs) bought equities worth Rs 7,940.70 crore on Friday, according to exchange data.
On Friday, the 30-share BSE Sensex surged 1,046.30 points or 1.29 per cent to settle at 82,408.17. The Nifty climbed 319.15 points or 1.29 per cent to 25,112.40.
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UP: Govt hospital staff booked for sexually assaulting woman in pretext of ultrasound test
Gorakhpur (PTI): A hospital employee was booked for allegedly sexually assaulting a woman in the pretext of an ultrasound test here in the district women's hospital, police said on Saturday.
According to the complaint, the woman, a resident of the Gulriha area, visited the district women's hospital on Thursday morning for an ultrasound test.
She was directed to a room, where Abhimanyu Gupta was conducting ultrasounds. When her turn came, the accused allegedly stared at her and told her to remove all her clothes, claiming it was necessary for the test and that a massage would also be required, she said.
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The woman alleged that once she complied, the accused began making obscene advances and tried to force himself on her. When she screamed, he allegedly gagged her, abused her and threatened to kill her before pushing her out of the room.
She said her complaints within the hospital went unheard, forcing her to approach the police.
Taking cognisance of the complaint, the hospital administration constituted a three-member inquiry committee, officials said.
Senior consultant (paediatrics) Dr Jay Kumar said, "The woman has levelled serious allegations against a staff member. Senior officials have been informed, and a departmental inquiry is underway. Strict action will be taken if the charges are proved."
Kotwali Station House Officer Chatrapal Singh said a case has been registered, and efforts are on to nab the accused.
