Weak global cues drag Sensex, Nifty lower in opening trade

Mumbai (Maharashtra) [India], February 9 (ANI): The domestic equity market on Thursday opened with losses, tracking weak global cues. Though the repo rate hike decision taken by the Reserve Bank of India’s Monetary Policy Committee met the majority of market participants’ expectations, investors are still in the cautious mode today.

Key indices of the domestic market Sensex lost 120.88 points to 60,542.91 while Nifty declined 52 points to 17,817.65. Gainers on Sensex were Bajaj Finance, Larsen and Toubro, Infosys, TCS and Power Grid while Tata Motors, UltraTech Cement, Bharti Airtel and Maruti were some of the laggards.

In Asian markets, Japan’s Nikkei was down 126 points, Hong Kong’s Hang Seng was up 50 points, China’s Shanghai surged 20 points while S and P went down to 38 points.

In American markets, Dow Jones declined 207 points, Nasdaq lost 203 points, NYSE Composite declined 86 points while S and P went down 210 points.

In European markets, CAC 40 and Deutsche Borse were trading in the green, FTSE 100 was trading up 20 points while Ibex 35 surged 54 points.

Adani Group firms continue to make losses on Thursday. Shares of Adani Enterprises dropped 15 per cent to Rs 1,839.65 apiece on Thursday morning. Adani Wilmar gained Rs 4.15 or 0.64 per cent to Rs 421. Adani Ports was down 6.40 per cent to Rs 560.90 while Adani Green declined 4.80 per cent to Rs 770.05. Adani Transmission shares also lost 5 per cent to Rs 1,249.10 apiece at 9.36 am on Thursday.

On Wednesday, Sensex closed at 60,663.79 points, up 377.75 points or 0.63 per cent, whereas Nifty closed at 17,871.70 points, up 150.20 points or 0.85 per cent.

RBI’s monetary policy meeting on Wednesday decided to raise repo rate by 25 basis points to 6.50 per cent. Repo rate is the rate at which the RBI lends money to all commercial banks.

Since May last year, the RBI has increased the short-term lending rate by 250 basis points, including that done today to contain inflation. India’s retail inflation was above RBI’s six per cent target for three consecutive quarters and had managed to fall back to the RBI’s comfort zone in November 2022. (ANI)