Markets decline in early trade on weak global peers, foreign fund outflows

Mumbai: Stock market indexes dropped in the beginning of the trading day on Monday due to negative movements in worldwide markets and the withdrawal of foreign investments. The BSE Sensex, with 30 shares, fell by 281.74 points to reach 80,902.19. The NSE Nifty dropped by 81.45 points, reaching 24,770.70.

Adani Ports, Tata Steel, NTPC, Power Grid, Mahindra & Mahindra, and Tata Motors were the top underperformers in the group of 30 Sensex companies. Hindustan Unilever, Asian Paints, Infosys and Tata Consultancy Services experienced gains. Seoul, Tokyo, Shanghai, and Hong Kong were experiencing a decline in trading in Asian markets.
The markets in the US closed with a notable decrease on Friday.

The stock markets have suddenly become bearish, changing from optimism over decreasing US inflation to worries about a possible US economic slowdown. Prashanth Tapse, Senior VP (Research) at Mehta Equities Ltd, stated that Friday's disappointing employment numbers have sparked renewed concerns about a possible recession, which have been worsened by lackluster manufacturing reports.

According to data from the exchange, Foreign Institutional Investors (FIIs) sold off shares worth Rs 620.95 crore on Friday. V K Vijayakumar, Chief Investment Strategist at Geojit Financial Services, stated that markets are expected to be influenced by two main factors: the results of the US presidential elections and the Fed's choice on cutting rates. Brent crude, the global oil benchmark, rose by 1.24 per cent to reach USD 71.94 per barrel. On Friday, the BSE index dropped 1,017.23 points, equivalent to 1.24 percent, finishing at 81,183.93. The NSE Nifty's value decreased by 292.95 points, which is equivalent to a 1.17 pc drop, to reach 24,852.15.