The Indian stock market faced a decline on Friday, March 28, primarily due to profit-taking activities amid unfavorable global signals. The uncertainty surrounding US President Donald Trump’s tariff strategies contributed to a fragile market sentiment. The Sensex dropped by 192 points, settling at 77,414.92, while the Nifty 50 fell by 73 points, concluding at 23,519.35. This downward shift resulted in a staggering ₹2 lakh crore loss for investors as the market capitalization of BSE-listed companies shrank from ₹415 lakh crore to about ₹413 lakh crore.
Factors Influencing Market Sentiment
The downturn in the Indian stock market was largely attributed to profit booking, with concerns about global market performance weighing heavily. Key Asian and European markets reported notable losses, influenced by Trump’s aggressive tariff policies that raised fears of an escalating global trade war.
- Major Stocks Impacted: Industry giants such as Infosys, Mahindra and Mahindra, TCS, HCL Tech, and Maruti were among those dragging the Sensex lower.
Vinod Nair, Head of Research at Geojit Investments, remarked, “Asian markets are currently in a consolidation phase, as the latest tariffs from the US are set to significantly affect major manufacturing economies. Furthermore, the increase in Japan’s Consumer Price Index (CPI) has added to the current market weakness.”
Notable Performers in the Market
Top Gainers on Nifty 50
Despite the overall market decline, a few companies managed to shine:
- Tata Consumer Products: Up by 2.91%
- Kotak Mahindra Bank: Up by 2.13%
- Apollo Hospitals Enterprise: Up by 1.88%
Top Losers on Nifty 50
Conversely, many stocks struggled:
- IndusInd Bank: Down by 3.64%
- Wipro: Down by 3.56%
- Shriram Finance: Down by 3.28%
Sector Performance Overview
In sectoral performance, the following indices experienced significant declines:
- Nifty Media: Down 2.29%
- IT Sector: Down 1.76%
- Realty Sector: Down 1.42%
- Auto Sector: Down 1.03%
Interestingly, the Nifty Bank index remained relatively stable, while the Financial Services sector saw a modest rise of 0.25%.
Trading Activity Highlights
- Most Active Stocks: In terms of volume, Vodafone Idea (81.77 crore shares), YES Bank (9.81 crore shares), and Reliance Power (8.5 crore shares) were the most traded stocks.
- 52-Week Highs: A total of 62 stocks reached their 52-week highs, including SBI Cards and Payment Services, Navin Fluorine International, and JK Cement.
- 52-Week Lows: Meanwhile, 428 stocks, such as Happiest Minds Technologies and Indian Overseas Bank, hit fresh 52-week lows.
Market Outlook
The advance-decline ratio reflected a challenging day, with 1,099 stocks advancing against 1,807 that declined, leaving 70 unchanged. According to Ajit Mishra, Senior Vice President of Research at Religare Broking, investors are on the lookout for new catalysts for movement, while ongoing tariff negotiations inject uncertainty into the market.
Rupak De, a Senior Technical Analyst at LKP Securities, suggested that 23,400 could serve as immediate support for the Nifty. A drop below this level could push it down to 23,200, whereas maintaining above 24,200 might signal potential gains.
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