PSU shares, RVNL shares, SAIL shares
Rail Vikas Nigam (RVNL), RITES, SJVN and several other public sector companies fell 8 percent in intraday trade on Monday, October 7. The segment’s market, the BSE PSU index, fell 3.3 percent on the day. time.
Around 2 p.m., shares of RVNL fell over 7 percent, while shares of RITES, SJVN and The New India Assurance Company fell 6 percent each. At the same time, shares of KIOCL, MRPL, Hindustan Copper, GMDC, Engineers India, HUDCO, IRCON, Bharat Dynamics, ITI, RCF and Indian Overseas Bank fell by more than 5 percent each at the time.
Similarly, shares of General Insurance Corporation, MMTC, PFC, Cochin Shipyard, IRFC, REC, UCO Bank, SAIL, NCL India and NTPC fell over 4 percent each, while Oil India and Central Bank fell over 3 percent each fell. On the other hand, NBCC shares rose more than 2 percent today.
According to independent market analyst Ambareesh Baliga, railway shares were overvalued. “So in a weak market, of course they would fall,” he said.
The benchmark index BSE Sensex also fell 0.86 percent to 80,991.13 around the same time. After starting Monday’s trading session in positive territory, the Indian benchmark stock indices have entered negative territory. The BSE Sensex fell over 962 points to record an intraday low of 80,726.06.
Similarly, the National Stock Exchange’s (NSE) Nifty 50 fell 320 points to hit the day’s low of 24,694.35. Among the reasons for the fall in the frontline indices were Foreign Institutional Investors (FII) selling Rs 9,896.95 crore worth of shares in the Indian markets on Friday (October 4), apart from the intensification of the war between Iran and Israel, and a sharp decline in stock prices. the broader markets, along with a shift of investors to the Chinese markets as valuations there looked cheaper than in India.
“The Indian market has followed a different path, with the Nifty 50 falling 4.5 percent in a week. This sharp correction has been mainly driven by massive FII selling in the cash market, which touched Rs 40,509 crore in the last four days. said Dr. VK Vijayakumar, Chief Investment Strategist, Geojit Financial Services.
Dr. Vijayakumar added that leading large caps such as Reliance Industries (RIL), HDFC Bank and ICICI Bank, which are among the top holdings in FII portfolios, bore the brunt of their selloff. READ MORE
Meanwhile, Asian peers recovered in trading today, with Japan’s Nikkei up 1.80 percent and the broader Topix up 1.68 percent. South Korea’s Kospi also rose 1.58 percent, while Australia’s ASX/200 rose 0.68 percent.
First publication: Oct 07, 2024 | 3:15 PM IST