Benchmark stock indexes fell nearly 2% on Thursday amid concerns about the impact of inflation on economies around the world, prompting analysts to mark the possibility of further declines in the coming days.
The S&P BSE Sensex ended 1,158.63 points or 1.89% lower at 59,984.70. Selling pressure was seen across the board and the decline was led by banking stocks.
Top losers on the Sensex include ITC, which fell 5.5%, ICICI Bank, which fell 4.4%, Kotak Bank (4.1%), Axis Bank (3.8%) and Titan (3.7%).
The NSE Nifty 50 index fell 353.70 points, or 1.94%, to end at 17,857.25 amid all-round profit-booking. Analysts said the monthly expiry of derivatives also added to the selling pressure.
Ajit Mishra, VP Research, Religare Broking Ltd, said, “Weak cues from global peers were weighing on sentiment, which worsened with the index’s major fall”.
Earlier, Japan’s Nikkei led losses in Asia, down 0.9%, Reuters reported.
Mr Mishra of Religare Broking said, “Most sectoral indices closed lower… Banking, Metal and Realty were the biggest losers.”
“This fall in the index has derailed the recent recovery and we may see further downside in the following sessions. We reiterate our cautious approach on the markets and suggest restricting leverage positions,” he said.