The Nifty 50 index opened up 1.33 percent or 321 points at 23,877.15 points, while the BSE Sensex closed down 1,153.17 points or 1.44 percent at 79,029.03 points.
The main reason for the intense selling pressure in the opening session was the curtailment of the rate cut cycle by the US Federal Reserve, which was expected to implement more rate cuts this year. This led to declines in major markets globally as rate cuts were expected to boost the economy and show signs of easing inflation.
Banking and markets expert Ajay Bagga told ANI, “Risk-off is affecting all markets today as Fed’s forecast of rate cut for 2025 led to heavy selling against US stocks, gold, silver, EM currencies against USD. Bond yields rise in US Asian markets are selling flat today and Indian markets are pointing to a bearish opening due to weaker global cues.”
All the sectoral indices on the NSE were dominated by the bear gang as all the sectors fell sharply soon after the opening session. The highest selling pressure was seen in Nifty IT, Nifty Metal and Nifty PSU Bank.
“Nifty is planning to open very weak. 24,000 is an important support but if we go below it, the next important level is at 23873 November 28 trough. Anything below this and a bullish head-and-shoulders pattern with a target. 25500 will fail and 23,300 The lower immediate resistance will lie weak again at 24500,” said Akshay Chinchalkar, Head of Research, Axis Securities. said
In the Nifty 50 list, when this report was filed, only 3 stocks increased and 47 stocks decreased. Dr. in making a profit. Reddy, Hindustan Unilever and ITC.
Other Asian markets also follow the downward trend as all major indices are trading in the red at the time of this report. Japan’s Nikkei 225 index fell by 0.96 percent, Hong Kong’s Hang Seng index by 1.06 percent, South Korea’s market by 1.58 percent and the Taiwan weighted index by 1.35 percent.
U.S. markets also fell sharply as the Fed’s rate cut projections for 2025 sent the index down. The S&P 500 fell 2.95 percent, to close 178 points at 5,872. Meanwhile, the tech-heavy Nasdaq fell 3.28 percent to settle 658 points at 19,450.