Sensex tanks with more than 350 points; Ingenious below 10,900

NEW DELHI: Equity indices began on a lower note on Friday with the benchmark BSE sensex diving more than 350 points amid a weak spectacle of metal and real estate stocks. Sensex fell 369 points or 1 percent to 36,650; while the broadest NSE Nifty collapsed 100 points or 0.91 percent to 10,880.

Investor sentiment also became cautious after mediocre macroeconomic data and hawkish comments from the US Federal Reserve. UU.

Global stocks received another beating with investors accumulating safe haven assets after US President Donald Trump said he would apply a 10 percent tariff on the remaining $ 300 billion of Chinese imports from 1 of September.

The main laggards in the BSE index of 30 shares include Hero MotorCorp, ONGC, Bajaj Finance, Vedanta, Tata Steel and HDFC with a drop in their shares of up to 2.76 percent. In NSE, all subscripts were traded in red with Nifty Metal and Realty down to 2.15 percent.

Weak economic data, unceasingly outflows of foreign funds and disappointing quarterly earnings influenced market sentiment, operators said.

On the global front, the U.S. Federal Reserve had reduced the loan reference rate by 25 basis points to 2.0-2.25 percent on Wednesday for the first time in more than a decade.

However, Fed Chairman Jerome Powell said the move was not the beginning of a cycle of rate reduction, which caused world markets to fall.

Official data published on Wednesday showed that the growth of eight central industries declined to 0.2 percent in June, mainly due to the contraction in the oil-related sectors, as well as cement production.

In addition, the government fiscal deficit touched Rs 4.32 lakh crore for the June quarter, which is 61.4 percent of the estimated budget for the 2019-20 fiscal period.

Major automakers reported disappointing July sales data on Thursday, indicating that consumer sentiment recovery is still far away.

(With PTI tickets)

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