Heavy selling in financials, banking, IT and capital goods shares triggered by weak Asian markets and overnight losses in the US market dragged down the benchmark indices, analysts said
Stock investors wealth eroded by more than Rs 2.67 lakh crore in early trade on Friday as the markets witnessed a sell-off amid weak global trends.
The market capitalisation of BSE-listed companies, which is also an indicator of the wealth of investors, tumbled more than Rs 2,67,539.54 crore to Rs 2,61,63,222.07 crore due to a largely negative market.
Of the 3,206 stocks traded, 1,966 stocks declined and 1,109 advanced while 131 remained unchanged. On Thursday, the market valuation stood at Rs 2,64,30,761.61 crore.
In just an hour of trading on Friday, the key indices Sensex and Nifty were deep in the red, reflecting weak investor sentiments.
The 30-share BSE barometer was trading 718.8 points or 1.20 per cent lower at 59,087.48 at 1015 hours.
As many as 28 of its constituents were trading in the red. Tata Motors and Maruti bucked the trend and gained 0.73 per cent and 0.16 per cent respectively.
Heavy selling in financials, banking, IT and capital goods shares triggered by weak Asian markets and overnight losses in the US market dragged down the benchmark indices, analysts said.
Nifty tanked 1.05 per cent or 184.25 points to 17,405.35 as 42 of its shares declined. Adani Enterprises fell the most by 2.62 per cent among Nifty stocks. Foreign Institutional Investors (FIIs) emerged as net sellers in the capital market on Thursday as they sold shares worth Rs 561.78 crore, according to exchange data.