In a volatile trading session on Tuesday, October 22, the Indian stock market saw a significant decline. The BSE Sensex dropped 930 points, closing at 80,220.72, while the NSE Nifty fell by 308.96 points, ending at 24,472.10. This sharp fall was due to ongoing concerns over foreign investors pulling out of Indian markets in favor of cheaper options in China and Hong Kong. Additionally, weak quarterly earnings from major companies added to the market’s downward pressure.
Among the biggest contributors to the Sensex decline were Reliance Industries, Mahindra & Mahindra, Larsen & Toubro, State Bank of India, and HDFC Bank. In fact, 27 out of the 30 companies on the index ended the day in the red. Mahindra & Mahindra was the biggest loser, with its stock dropping as much as 3% during the day.
All sectors saw losses, with PSU banks like Punjab National Bank, Central Bank, and Canara Bank suffering the most. The Nifty PSU Bank index fell up to 4% in intraday trading, while Nifty Realty and Nifty Metal also saw declines of more than 3%.
Experts point to foreign institutional investors (FIIs) selling Indian stocks aggressively, with a record Rs 88,244 crore sold by FIIs by October 21. However, domestic investors continue to buy shares, balancing some of the losses.
Globally, while most Asian markets were also down, China and Hong Kong saw slight gains, offering some contrast to the negative trends elsewhere.
