The beginning of the week was shocking for stock market investors. The Indian stock market opened with a heavy fall on Monday amid weak global cues and increasing uncertainty in the international markets. As soon as the market opened, the selling pressure increased so much that the Sensex fell by more than 800 points, while the Nifty slipped below the level of 23,100. Sharp fall in IT, metal, auto and financial stocks increased the concern of investors.
As soon as trading started in the morning, Sensex fell by 803 points to reach 73,440, while Nifty fell by 264 points and was seen trading at 23,102. Market breadth also remained weak. Only 107 shares saw gains, while 310 shares were trading with a decline. If we look at the heatmap of Nifty-50, most of the big stocks were seen in red. Buying was seen only in a few selected stocks.
nifty50 heat map
These big stocks increased the problems of the market
The biggest reasons for the decline were shares of metal, IT and financial sectors. Wipro fell by about 4.5%. Apart from this, sharp selling was also seen in stocks like Mahindra & Mahindra, Indigo, Tata Steel, Hindalco, TCS, Infosys, HCL Tech and Bajaj Finance. Top Nifty losers included Hindalco, Tata Motors Passenger Vehicles, InterGlobe Aviation (IndiGo), Bajaj Finance and Shriram Finance.
Why did the market fall so much?
According to experts, weak signals from global markets are the main reason for this decline. Investors are currently cautious about rising crude oil prices, rising geopolitical tensions in the Middle East and global economic uncertainties. Apart from this, the effect of selling by foreign investors and risk aversion strategy in global markets was also seen on the Indian market.
Investors will keep an eye on these shares
- EMS has received a new order worth about ₹102.8 crore from Uttar Pradesh Jal Nigam.
- Alembic Pharmaceuticals is going to buy 45% stake in the new company in Canada.
- Zee Entertainment will consider the fund raising proposal on June 10.
- Hindustan Zinc has signed an agreement with TERI for a 250 hectare ecological restoration project in Rajasthan.
- There has been a major change at the management level at Allied Blenders & Distillers.
