Bourses dip for the 7th straight day
The equity markets ended the day lower for the seventh consecutive day, their longest losing streak in last eighteen months.
MUMBAI: The equity markets ended the day lower for the seventh consecutive day, their longest losing streak in last eighteen months as growing concern regarding the corporate earnings growth amidst a slowdown in broader economic activity post demonetisation has caused serious risk aversion among investors.
Global markets too remained weak ahead of the release of GDP data in the United States. Market participants pointed out that lack of any positive triggers and persistent selling by foreign portfolio investors (FPI) has also led to a subdued sentiment on the local bourses.
The Nifty fell below its crucial support of 8,000 level mark on Thursday and closed at 7,979.10, losing 82.20 points or 1.02 per cent. The Sensex slumped 262.78 points or 1 per cent to end the day at 25,979.60. According to the provisional data released by the stock exchanges, FPI’s offloaded shares worth Rs 614.40 crore. The total selling by overseas investors in the current quarter (October – December till date) has crossed Rs 25,000 crore, worst since September 2015.
“Friday’s session would be quite crucial for the market as we would get the weekly closing, which may dictate the near term direction for the market. For the coming session, 8046 level would be seen as an important resistance, whereas, 7964 – 7952 are likely to act as intra-day supports,” said Sameet Chavan, chief analyst, Angel Broking.