Stock markets halt 6-day rally; Sensex, Nifty dive nearly 1 pc as HDFC Bank, Reliance drag
Mumbai, Aug 22 (PTI): Equity benchmark indices Sensex and Nifty fell sharply by nearly 1 per cent on Friday, snapping their six-day winning streak, as investors turned cautious ahead of US Fed Chair Jerome Powell's Jackson Hole address amid growing global trade uncertainties triggered by Trump tariffs.
Intense selling in market heavyweights HDFC Bank and Reliance Industries also dampened risk appetite, traders said.
The 30-share BSE Sensex tumbled 693.86 points or 0.85 per cent to settle at 81,306.85. During the day, it plunged 708.94 points or 0.86 per cent to 81,291.77.
As many as 2,316 stocks declined while 1,765 advanced and 159 remained unchanged on the BSE.
The 50-share NSE Nifty dropped 213.65 points or 0.85 per cent to 24,870.10.
On the weekly front, the BSE benchmark jumped 709.19 points or 0.87 per cent, and the Nifty climbed 238.8 points or 0.96 per cent.
"Markets snapped a six-session winning streak and ended lower, losing nearly a per cent as sentiment turned weak from the outset and deteriorated further in the latter half.
"The weakness was primarily driven by caution ahead of US Fed Chair Jerome Powell’s Jackson Hole address and renewed concerns around global trade and geopolitical tensions, which dampened risk appetite. Domestic profit-booking after the recent rally and a pause in fresh FPI inflows further weighed on sentiment," Ajit Mishra - SVP, Research, Religare Broking Ltd, said.
From the Sensex pack, Asian Paints, UltraTech Cement, Tata Steel, ITC, HCL Tech, Kotak Mahindra Bank, Adani Ports, Tata Consultancy Services, HDFC Bank and Tech Mahindra were among the major laggards.
However, Mahindra & Mahindra, Maruti, Bharat Electronics and Sun Pharma were among the gainers.
The BSE smallcap gauge declined 0.35 per cent, and the midcap index dipped 0.23 per cent.
Among BSE sectoral indices, metal tanked 1.27 per cent, commodities (1.08 per cent), bankex (1.06 per cent), financial services (0.84 per cent), oil & gas (0.80 per cent), BSE Focused IT (0.77 per cent) and IT (0.77 per cent).
BSE Healthcare, telecommunication and capital goods were the gainers.
"Market sentiment turned cautious as profit-booking set in after a strong six-day rally driven by GST reform optimism and an S&P rating upgrade. Investors also awaited Powell’s comments, which could influence September's Fed policy direction. Adding to the pressure were concerns over the August 27 deadline for additional US tariffs on Indian goods," Gaurav Garg, Analyst, Lemonn Markets Desk, said.
In the six-day rally to Thursday, the BSE benchmark has climbed 1,765 points or 2.14 per cent, and the Nifty rallied 596 points or 2.4 per cent.
In Asian markets, South Korea's Kospi, Japan's Nikkei 225 index, Shanghai's SSE Composite index and Hong Kong's Hang Seng settled in positive territory.
Markets in Europe were trading in the green in mid-session deals.
The US markets ended lower on Thursday.
Foreign Institutional Investors (FIIs) bought equities worth Rs 1,246.51 crore on Thursday, according to exchange data.
Global oil benchmark Brent crude dipped 0.24 per cent to USD 67.52 a barrel.
On Thursday, the Sensex climbed 142.87 points or 0.17 per cent to settle at 82,000.71. The Nifty rose by 33.20 points or 0.13 per cent to 25,083.75.
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'Rear-guard action': BJP over Mamata accepting sports minister's resignation after Messi event
New Delhi (PTI): The BJP on Tuesday alleged that West Bengal Chief Minister Mamata Banerjee's accepting Aroop Biswas' resignation as the state sports minister is nothing but a "rear-guard action" to douse public anger over the mismanagement of football icon Lionel Messi's event last week.
BJP co-in-charge for West Bengal Amit Malviya alleged that this is also an "open confession" that the Messi event fiasco was not accidental but a government-manufactured disaster, borne out of the poor governance of Banerjee, her ministers and the state bureaucracy.
Banerjee on Tuesday accepted Biswas' resignation as the sports minister in the wake of the controversy over the mismanagement of football icon Messi's event last week, a senior leader of the ruling TMC said.
Biswas, who had written to the chief minister seeking to be relieved of his responsibilities as sports minister, will continue as a cabinet minister, retaining charge of the power department.
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Reacting to the development, Malviya said in a post on X, "TMC Sports Minister Aroop Biswas resigns after the Messi fiasco and Mamata Banerjee accepts it in record time."
"Do not mistake this for accountability; this is nothing but a rear-guard action to douse public anger. anger! This is not 'Raj Dharma'," he added.
The BJP leader alleged that the incident was the outcome of "loot" of common people which is "so synonymous" with the TMC.
The incident was also the outcome of the "shameless VIP culture that TMC thrives on and deep-rooted cronyism promoted by Banerjee," he charged.
Malviya further alleged that Biswas' resignation exposes a "collective failure of Mamata Banerjee, her partisan bureaucracy, and her crony cabinet".
"This is a symbolic sacrifice, a political hoax, soon to be buried under layers of bureaucracy, with no justice, no accountability, and no remorse," the BJP leader said, adding, "No resignation will bring back the time lost, the money wasted, or the stolen chance for football lovers to witness Messi in Kolkata."
