Mumbai, First Published May 6, 2022, 10:26 AM IST
The National Stock Exchange and the Mumbai Stock Exchange started trading lower this morning on the back of international factors and the impact of the international market situation.
The American situation
The US Federal Reserve is taking steps to control unprecedented inflation in the United States. It had already raised interest rates by 25 points last March, up 50 points from yesterday.
But economists say the rise in interest rates is not enough to curb rising inflation in the United States. The US Nasdaq stock market ended lower on fears of further rise in interest rates in the coming months.
Trading there ended in a slump, with the Asian stock market echoing the US stock market crash.
Reserve Bank
The Reserve Bank of India (RBI) yesterday hiked interest rates by 40 percentage points to curb rising inflation in India. The stock market had a bad decline that day. But, despite the uptick in the opening trade yesterday, the afternoon slump ended and the trade ended with a fall in the evening.
In this situation, the decline in the US stock market was echoed in the Indian stock market this morning. The Sensex was down 1,019 points at 54,682 on the Bombay Stock Exchange. The Nifty was down 310 points at 16,421 on the National Stock Exchange.
The top 30 sectors on the Mumbai Stock Exchange are also on the decline. Shares of Bajaj Twins, Maruti, Wipro, Ultratech Cement, HCL Tech, Axis Bank, Infosys, HUL and Tata Steel fell 3 per cent. Shares of Tata Motors, Hindalco and Apollo Hospitals are down in the Nifty.
In the Nifty, the consumer goods sector, real estate, information technology, automobile, financial services and metals sectors fell by 2 to 3 per cent. 2,360 shares are down on the Mumbai Stock Exchange 490 shares are up and 80 shares are unchanged
Last Updated May 6, 2022, 10:26 AM IST