Market fall continues in second week led by mixed earnings, FII selling

The Indian equity market extended losses in the truncated week ended January 25 amid mixed earnings from India Inc, possible delay in the US Fed rate cut, Middle East tension, and continued FII selling.

For the week, the BSE Sensex declined 1 percent or 722.98 points to end at 70,700.67, while Nifty50 finished at 21,352.6, falling 219.2 points or 1 percent.

The BSE Small-cap index shed 0.5 percent. Karnataka Bank, Zee Media Corporation, Tanla Platforms, Bliss GVS Pharma, MPS, MSTC, Angel One, Restaurant Brands Asia, Cyient lost between 10-12 percent, while IFCI, Transformers and Rectifiers India, Salasar Techno Engineering, IFB Industries, Visaka Industries, Borosil Renewables, HLV, ALLSEC Technologies, Steel Exchange India and Dhunseri Ventures added between 20-37 percent.

BSE Mid-cap Index erased the previous week’s gains and ended 1.6 percent lower dragged by Zee Entertainment Enterprises, Oberoi Realty, Indraprastha Gas, IDFC First Bank, Balkrishna Industries, and Hindustan Petroleum Corporation.

The BSE Large-cap Index extended the fall this week with a 0.9 percent fall. Losers were Axis Bank, Mankind Pharma, Asian Paints, Adani Energy Solutions, Havells India, Interglobe Aviation, and FSN E-Commerce Ventures (Nykaa), while gainers were Bajaj Auto, The Tata Power Company, Zydus Lifesciences, Indus Towers, Cipla and Dr Reddy’s Laboratories.

In terms of market value, HDFC Bank lost the most in terms of market value, followed by Axis Bank, Tata Consultancy Services, and Asian Paints. On the other hand, Bharti Airtel, Sun Pharmaceutical Industries, and Infosys added most of their market cap.

On the sectoral front, Nifty Media index shed 10 percent, Nifty Realty index down 4.5 percent, Nifty Bank index fell 2.6 percent and Nifty PSU Bank index down 2 percent. On the other hand, Nifty Pharma index up 1.7 percent.

During the week, Foreign institutional investors (FIIs) sold equities worth Rs 12,194.38 crore, while Domestic institutional investors (DIIs) provided some support as they bought equities worth Rs 9,701.96 crore. In January so far, the FIIs sold equities worth Rs 35,778.08 crore, and DIIs purchased equities worth Rs 19,976.66 crore.

This week, the Indian rupee ended marginally lower against the US dollar. The domestic currency shed 5 paise to end at 83.11 in the week ended January 25 against the January 19 closing of 83.06.