Sensex plunges 1,769 pts to 3-week low, investors lose Rs 9.78 lakh cr in single day
Mumbai, Oct 3: Benchmark BSE Sensex tanked 1,769 points to slide to a three-week low on Thursday as a spiralling conflict in West Asia triggered selling in oil, banking and auto shares, wiping out Rs 9.78 lakh crore investor money in a single day.
Falling for the fourth day running, the BSE Sensex tumbled 1,769.19 points or 2.10 per cent to settle at 82,497.10, its lowest closing level since September 11. During the day, it plummeted 1,832.27 points or 2.17 per cent to 82,434.02. As many as 29 Sensex scrips closed in the red while only one stock ended in the green.
Market capitalisation of BSE-listed companies dropped by around Rs 9.78 lakh crore to Rs 4,65,07,685.08 crore (USD 5.54 trillion).
The NSE Nifty slumped 546.80 points or 2.12 per cent to 25,250.10 with 48 of its constituents ending lower.
Continuous foreign fund outflows and rising crude oil prices dented investors' sentiment, analysts said.
From the 30 Sensex firms, Larsen & Toubro, Reliance Industries, Axis Bank, Asian Paints, Tata Motors, Bajaj Finance, Maruti, Bajaj Finserv, Kotak Mahindra Bank, Titan, Adani Ports and HDFC Bank were the major laggards.
JSW Steel emerged as the only gainer.
"The domestic market took a sharp downturn following Iran’s launch of ballistic missiles at Israel, sparking fears of retaliation and escalation in the war,” Vinod Nair, Head of Research, Geojit Financial Services said.
“New SEBI regulations for the F&O segment have raised concerns about reduced trading volumes in the broader market. Lastly, with attractive valuations in China, FIIs have redirected their funds, adding pressure on Indian stocks," Nair added.
The BSE midcap gauge tumbled 2.27 per cent and smallcap index dropped 1.84 per cent.
All indices ended lower. Realty tanked 4.49 per cent, while capital goods (3.18 per cent), auto (2.94 per cent), services (2.87 per cent), industrials (2.75 per cent) and oil & gas (2.52 per cent) were among the major losers.
A total of 2,881 stocks declined while 1,107 advanced and 88 remained unchanged on the BSE.
"Fears of FPIs and FIIs switching to China from Indian equities were prevalent, especially considering the sharp valuations of domestic markets compared to China," said Devarsh Vakil, Deputy Head of Retail Research, HDFC Securities.
In Asian markets, Hong Kong settled lower while Tokyo ended in the positive territory. Markets in mainland China will be closed for the rest of the week due to the holiday.
European markets were trading mostly lower. The US markets ended marginally higher on Wednesday.
Foreign Institutional Investors (FIIs) offloaded equities worth Rs 5,579.35 crore on Tuesday, according to exchange data.
Global oil benchmark Brent crude climbed 1.37 per cent to USD 74.91 a barrel.
Equity markets were closed on Wednesday for Mahatma Gandhi Jayanti.
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IPL final shifted for bigger stadium, not ticket issue: Shivakumar
Bengaluru (PTI): Karnataka Deputy Chief Minister D K Shivakumar on Wednesday rubbished allegations that the IPL final venue was shifted from Bengaluru to Ahmedabad due to the distribution of tickets to MLAs.
Speaking to reporters, Shivakumar said the reason for the shift could be the availability of a larger stadium in Ahmedabad.
“Ahmedabad has a large stadium and can accommodate more spectators. That must be the reason the IPL final was shifted there. There is no connection between ticket distribution to MLAs and the venue change,” he said.
When asked about reports linking the venue shift to MLAs demanding tickets, he quipped, “In some places, 50 per cent of tickets are reserved.”
When reporters said the BCCI had indicated that the decision was linked to ticket issues, he responded, “Let them make such statements. I will respond appropriately.”
Bengaluru was originally expected to host the final as the Royal Challengers Bengaluru were the defending champions.
Ahmedabad will host the IPL final for a second successive season on May 31, the BCCI announced earlier in the day, while allotting Qualifier 1 to Dharamsala and two other playoff games to New Chandigarh.
The board, however, said the final venue was shifted “owing to certain requirements from the local association and authorities that were beyond the scope of BCCI’s established guidelines and protocols.”
Shivakumar declined to comment on the revocation of the suspension of Muslim leaders in Davanagere, saying it was a party decision.
Regarding the removal of MLC Naseer Ahmed as CM Siddaramaiah’s political secretary, he said the chief minister had already spoken on the matter.
“The CM has his own information. Party office-bearers have provided guidance. He was given certain responsibilities, which he did not handle properly, which is why he was removed,” Shivakumar said.
On MLC Abdul Jabbar, who resigned as the state Congress minority cell chief and was later expelled from the party, he said Jabbar had submitted his resignation, which the party accepted.
The Congress in Karnataka faced internal dissent in April when several Muslim leaders objected to the party fielding Samarth Shamanur as its candidate for the recently held Davanagere South Assembly bypoll.
They demanded that a Muslim candidate be fielded, citing the constituency’s substantial Muslim population. The party subsequently took disciplinary action against three leaders, including Jabbar and MLC Ahmed.
When asked about his and the CM’s visit to Delhi, he said, “We will go when the high command calls us. It is not appropriate to go without being called.”
On Congress supporting TVK in Tamil Nadu, Shivakumar said the decision was taken to keep the "BJP out of power and strengthen secular forces." Elections to the 234 Assembly constituencies were held on April 23, and the results were announced on May 4.
The Congress party, a long-time ally of the DMK, announced its support for TVK to form a government in Tamil Nadu and severed ties with the Dravidian major.
The incumbent DMK was trounced by the fledgling Tamilaga Vettri Kazhagam, led by Vijay, who secured 108 seats. “Despite pressure from the AIADMK and BJP, TVK did not align with them. Our party has taken this decision in the interest of secular forces and the welfare of Tamil Nadu,” Shivakumar said.
