India’s BSE index closes at lowest in 15 months

The Sensex decreased 1.3% to 24,877.72, the lowest close since June 2014, according to provisional closing prices.

Market analysts said a strong non-farm payrolls data is expected to allow the US Federal Reserve to consider a September rate hike.

The barometer 30-scrip sensitive index (Sensex) of the Bombay Stock Exchange (BSE) receded by 107.10 points or 0.42 percent. Foreign investors have sold Indian stocks worth almost Rs 4,000 crore in the past four sessions on sustained global risk-off trend along with some domestic concerns like monsoon deficit, slow pace of reforms and economic slowdown.

Furthermore, a flat trajectory was witnessed at the wider 50-scrip Nifty of the National Stock Exchange (NSE).

Gaurav Jain Director of Hem Securities blamed continued selling pressure by the foreign investors, weakness in rupee and global jitters for the sell-off.

The gauge had gained 311.22 points in yesterday’s trade.

The benchmark BSESensex rebounded over 148 points and the NSE Nifty regained the 7,700-mark in early trade on Monday on value-buying by investors in select blue-chips.

The broader indices too suffered sharp cuts; the BSE Mid cap index was down by 2.19%, while Small cap index lost 1.76%.

Vedanta was the top Sensex loser, tumbling 4.84 per cent, followed by GAIL 4.73 per cent.

Natco Pharma is gaining 1 percent after the RBI hiked the FII investment limit in the company.

Sector-wise, only banking and realty indices remained afloat, while the rest of the 10 sub-indices were trading in the red.

Among other Asian markets, Japan’s Nikkei fell 2.15 per cent and Hong Kong’s Hang Seng shed 0.45 per cent, while Chinese financial markets remained closed today.

Agam Gupta of StanChart Bank feels the USD-INR should open slightly higher near 66.60-66.65/dollar due to the negative sentiment in European and United States stock markets.