Choppy Session: Sensex Ends 400 Pts Lower After Late-Day Recovery
Sensex and Nifty plunged over 1 percent each as US oil prices dropped below $28 a barrel and Asian markets struggled.
- Sensex ends 400 points lower just above 24,000; Nifty above 7,300.
- European markets see heavy selling pressure, down to Oct 2014 lows.
- Asian shares hit a 4-year trough on the relentless slide in oil prices.
- Chinese stock markets end a volatile session with 1-percent loss.
- US oil falls deepens losses, head towards $27/bbl.
Volatile Session Comes to a Close
A volatile session finally wrapped up on Dalal Street, in which markets saw an 800-point movement in either direction. The Sensex fell almost 650 points at the lowest point of the day to breach 24,000 for the first time since May 2014. The Nifty fell almost 200 points during the session to fall below 7,300.
In the last half an hour of trade, however, the markets staged a sudden recovery. The Sensex rose almost 200 points and finlly ended the session 400 points lower at just above 24,000 and the Nifty reclaimed 7,350.
Shankar Sharma of First Global tweeted, “Time to cut shorts.”
The trigger for today’s mayhem could be traced back to the relentless slide in oil prices. Overnight US oil prices fell below $28 a barrel and the losses were extended in Wednesday’s session with crude falling almost 3 percent.
The panic spread to Asian markets which opened weak and then extended losses to end at a 4-year low. China opened steady but soon reversed course and ended the session a percent lower.
The panic selling hit Europe too; markets after opening 2 percent lower slid to their lowest levels since October 2014.
Will the recovery seen in the last half an hour continue into Thursday’s session or will we see more selling? Wall Street and the movement of oil prices overnight should give us some indication.
That’s all on today’s live coverage of the Indian stock market.
Also read on The Quint: Markets in Bear Grip: Should India Panic About Further Downturn?
Markets Recover From Day’s Low
Dalal Street sees a heavy bout of volatility. The Sensex, after plunging over 600 points, has now recovered more than 200 points from the day’s low, down 430.98 points or 1.76 percent to 24,050. The Nifty reclaimed the 7,300 mark, now down 130 points or 1.76 percent to just over 7,300.
Markets Spooked Amid Global Selloff
The bloodbath on Dalal Street continues. The Sensex crashed over 600 points or 2.57 percent to 23,860 and the 50-share Nifty cracked nearly 200 points or 2.55 percent to 7,245.70.
More than seven shares declined for every share advancing on the Bombay Stock Exchange. More than 400 BSE stocks hit lower circuit.
European markets see heavy selling pressure. Major indices – CAC, DAX, and FTSE – extend losses and are currently down between 2.5-3.5 percent.
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