Market Wrap: Nifty and Sensex Tumble as Bearish Sentiment Grips Dalal Street
Indian stock markets closed lower on August 28, with Nifty 50 down 0.69% and BSE Sensex falling 0.87%. Most sectors ended in the red, led by Cables (-3.77%) and Engineering Services (-3.17%). Diamond, Gems and Jewellery sector bucked the trend, gaining 1.65%. Vodafone Idea shares plunged 11.3% over two sessions. Market breadth was negative with 2,811 declining stocks versus 1,599 advancing.
*this image is generated using AI for illustrative purposes only.
Market Overview
The Indian stock markets closed in the red on August 28, as both benchmark indices, Nifty 50 and BSE Sensex, witnessed significant declines. The bearish sentiment was evident across most sectors, with only a handful managing to buck the trend.
The Nifty 50 index closed at 24,541.20, down 170.85 points or 0.69% from its previous close. Meanwhile, the BSE Sensex experienced a steeper fall, closing at 80,080.57, shedding 705.97 points or 0.87%.
Sectoral Performance
The market witnessed a broad-based selloff, with most sectors ending in negative territory.
Top Losing Sectors:
| Sector | Average % Change |
|---|---|
| Cables | -3.77 |
| Engineering Services | -3.17 |
| Aviation | -2.55 |
| Transport | -1.78 |
Top Performing Sectors:
| Sector | Average % Change |
|---|---|
| Diamond, Gems and Jewellery | 1.65 |
| Printing & Stationery | 0.70 |
| Media | 0.18 |
Despite the overall negative trend, a few sectors managed to stay afloat, with Diamond, Gems and Jewellery leading the gainers.
Buzzing Stocks
Several stocks made headlines during the trading session:
Vodafone Idea: Shares plummeted 11.3% over two sessions following the government's confirmation of no additional relief for AGR dues.
InterGlobe Aviation: The stock fell as much as 5% after a large block deal involving 2.35% of total equity.
Maruti Suzuki: The Co-Chairman expressed optimism about potential reduction in small car tax rates to 18%.
HCLTech: Launched ARISE FOR YOU™, a national student entrepreneurship initiative, in collaboration with Pearson India and MeitY Startup Hub.
Power Grid Corporation: Declared successful bidder for a transmission system strengthening project in Davanagere, Karnataka.
Market Breadth
The market breadth was decisively negative, indicating widespread selling pressure:
| Category | Number of Scrips |
|---|---|
| Positive | 1,599 |
| Negative | 2,811 |
| Total | 4,410 |
Conclusion
The Indian stock markets ended the day on a somber note, with both Nifty and Sensex recording significant losses. The negative market breadth and underperformance across multiple sectors reflect the cautious sentiment among investors. As the markets continue to navigate through various domestic and global factors, investors will be closely watching for any signs of reversal in the coming sessions.
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