Mumbai, Feb 28 (IANS) The Indian stock market on Friday witnessed a sharp sell-off as weak global cues and trade tensions weighed on investor sentiment and both the domestic benchmark indices ended the day with heavy losses.
The Sensex plunged 1,414 points, or 1.9 per cent, to close at 73,198 after touching an intraday low of 73,141.
The index lost 2,113 points, or 2.8 per cent, over the week and dropped 4,303 points, or 5.6 per cent, in February.
The Sensex has now fallen nearly 15 per cent from its all-time high of 85,978.
The Nifty 50 also suffered significant losses, falling 420 points, or 1.86 per cent, to close at 22,125 after hitting a low of 22,105 during the intra-day session.
The index lost 5.9 per cent in February and is now down nearly 16 per cent from its record high of 26,277.
“In the near term, Nifty is expected to find support around 21,800-22,000. A sustained move above 21,800 could lead to a significant recovery, while failure to hold this level may trigger another sharp decline,” said Rupak De, Senior Technical Analyst at LKP Securities.
The market opened on a weak note after US President Donald Trump announced plans to impose tariffs on Canada and Mexico starting March 4.
Additionally, Trump threatened to levy an extra 10 per cent tariff on China, further worsening global trade concerns.
Selling pressure was broad-based, with all sectoral indices closing in negative territory.
As the domestic benchmark indices ended the intra-day session lower, the IndusInd Bank emerged as the top loser, plunging 7 per cent.
Tech Mahindra, Mahindra & Mahindra, Bharti Airtel, Tata Motors, Titan, Infosys, and Nestle India fell between 4 per cent and 6 per cent.
Among Sensex stocks, 27 of the 30 companies registered losses of over 1 per cent, while HDFC Bank was the only gainer, rising 2 per cent.
All sectoral indices ended with losses exceeding 1 per cent, with IT and auto stocks leading the decline, falling around 4 per cent each.
Other sectors, including FMCG, healthcare, capital goods, consumer durables, and oil & gas, also registered losses of more than 2 per cent.
The broader market also suffered, with the BSE MidCap and SmallCap indices dropping over 2 per cent each.
The SmallCap index recorded its biggest monthly decline in five years. Market sentiment remained highly negative, as nearly five stocks declined for every stock that advanced on the BSE.
Out of 4,081 stocks traded, 3,248 ended in losses, while only 742 managed to gain. Around 476 stocks hit their lower circuit limits, whereas 106 stocks touched their upper limits.
Market experts believe that global uncertainties, coupled with selling pressure across sectors, contributed to the sharp decline.
–IANS
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