Closing bell: Sensex, Nifty plunge nearly 1% as IndusInd Bank nosedives amid heavy foreign fund outflows

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The BSE Sensex declined for a fifth consecutive session on Friday, tumbling by nearly 660 points to drop below the 80,000 level, driven by extensive selling pressure, significant foreign capital outflows, and muted earnings growth. According to PTI, the Sensex fell 662.87 points, or 0.83 per cent, closing at 79,402.29. During the day, it reached an intraday low of 79,137.98, reflecting a deeper plunge of 927.18 points, or 1.15 per cent.

Meanwhile, the NSE Nifty mirrored this downward trend, sinking 218.60 points, or 0.90 per cent, to close at 24,180.80. Among the Sensex 30 stocks, IndusInd Bank suffered the most significant hit, plummeting by over 18.5 per cent following its report of a substantial 40 per cent decline in net profit for the September quarter, down to Rs 1,331 crore. This was largely attributed to concerns over the bank's asset quality, dampening investor sentiment. Other major stocks experiencing declines included Mahindra & Mahindra, Larsen & Toubro, NTPC, Adani Ports, Tata Steel, Maruti, Bajaj Finance, and Titan.

On the other hand, some blue-chip stocks managed to close on a positive note. ITC gained more than 2 per cent, bolstered by an announcement of a 1.8 per cent rise in its consolidated net profit, reaching Rs 5,054.43 crore for the second quarter ending September 2024. Alongside ITC, Axis Bank, Hindustan Unilever, Sun Pharma, and ICICI Bank also registered gains in Friday's trade.

In terms of trading flows, Foreign Institutional Investors (FIIs) offloaded equities worth Rs 5,062.45 crore on Thursday, reflecting a significant outflow of foreign capital, while Domestic Institutional Investors (DIIs) countered with net purchases totalling Rs 3,620.47 crore, according to exchange data.

Market trends in Asia were mixed, with indices in Seoul, Shanghai, and Hong Kong closing higher, while Tokyo ended the day with losses. European equity markets, however, traded in positive territory, and US markets closed mostly higher on Thursday.

Oil prices rose slightly, with the global benchmark Brent crude up by 0.42 per cent, trading at USD 74.69 per barrel. The Indian market remained under pressure as investors exercised caution due to mixed global trends and concerns over domestic earnings.

In the previous session on Thursday, the Sensex experienced a modest dip, losing 16.82 points, or 0.02 per cent, to close at 80,065.16, while the Nifty also fell by 36.10 points, or 0.15 per cent, closing at 24,399.40. The session was marked by volatility as investors navigated through various economic signals and corporate earnings results.

(With inputs from PTI)