Markets begin with a volatile note amid the outflow of foreign funds, weak global signals
MUMBAI: National equity indices opened on Wednesday with a highly volatile note that tracks the strong outflow of foreign funds and mixed signals from world markets amid growing fears of an impending recession and escalating trade war. between the United States and China.
After swinging more than 200 points in the first 15 minutes of the session, the 30-share index traded 11.13 points, or 0.03 percent, at 36,551.78 at 0930 hours, while the broader Nifty fell 4.50 points, or 0.04 percent, to 10,793.40.
In the previous session on Tuesday, the BSE barometer ended with 769.88 points, or 2.06 percent, lower at 36,562.91, while the Nifty sank 225.35 points, or 2.04 percent, to settle at 10,797.90.
The main losers in the sensex package in Wednesday's first operations included Sun Pharma, IndusInd Bank, Asian Paints, RIL, Maruti and Tata Motors, which fell to 4 percent.
On the other hand, ITC, Bharti Airtel, SBI, PowerGrid, Hero MotoCorp, Vedanta and Lu0026T rose to 1.23 percent.
On Tuesday, foreign portfolio investors sold shares worth a net value of Rs 2,016.20 million, while domestic institutional investors bought shares worth Rs 1,251.35 million, according to provisional data.
According to the operators, in addition to the strong outflow of foreign funds, the continuously growing fears of a global recession and the escalating trade war between the United States and China kept market participants nervous.
In other parts of Asia, stock exchanges in Shanghai, Hong Kong and Korea were traded on a positive note in their respective morning sessions, while those in Japan were in red.
On Wall Street, the stock exchanges ended significantly down on Tuesday.
Investor sentiment was also weak amid the slowdown in economic growth due to the decline in consumption and moderate manufacturing activity decreased the scope of a short-term change, said Vinod Nair, Head of Research, Geojit Financial Services.
The rupee, meanwhile, recovered 11 countries against its pre-trade close at 72.28 at the beginning of the session.
The world benchmark for Brent crude oil was trading at 0.17 percent higher at $ 58.36 per barrel.