Sensex tumbles 450 pts, Nifty near 24,550; Bajaj Finance drops 6%
- Sensex fell over 450 points, Nifty closed near 24,550.
- Bajaj Finance tumbled 6% during the session.
- Markets continued to slide on CAS Day 5, with broad-based selling.
Markets End Lower for Fifth Straight Session
Indian equity benchmarks closed sharply lower on Friday, extending losses for the fifth consecutive session. The Sensex dropped over 450 points, while the Nifty settled near the 24,550 mark, as investor sentiment remained fragile amid persistent selling pressure.
The trading day, marked as CAS Day 5, saw volatility across sectors, with financials leading the decline. Market breadth was negative, with more stocks falling than advancing on both the BSE and NSE.
Bajaj Finance Leads Losses
Bajaj Finance emerged as the worst performer among large caps, tumbling 6% during the session. The sharp decline in the non-banking financial company's stock dragged the broader financial sector, with other lenders also witnessing selling.
Analysts pointed to profit booking and sector-specific concerns as possible reasons, though no official statement was issued by the company. The stock's fall contributed significantly to the benchmark indices' slide.
Broad-Based Selling Across Sectors
Apart from financials, other sectors including IT, auto, and energy also witnessed downward pressure. Selling was widespread, with only a few defensive stocks managing to stay afloat.
Foreign institutional investors continued to offload domestic equities, adding to the downward momentum. Domestic institutional buying was insufficient to counterbalance the selling pressure.
Investor Sentiment Remains Cautious
The consecutive decline over five sessions has raised concerns among market participants. The Nifty's inability to hold above the 24,600 level suggests further weakness could be in store, say technical analysts.
Volatility index remained elevated, indicating nervousness among traders. However, some market experts believe valuations are becoming reasonable, and long-term investors may find selective buying opportunities.
Global cues also remained mixed, with Asian markets trading lower. The upcoming economic data releases and corporate earnings will be closely watched for direction.
What to watch next: Market participants will keep an eye on global developments, oil prices, and the rupee's movement. Any policy announcements or macroeconomic data could influence trading in the coming sessions.