Market commentary: Indian markets fell sharply in the last two hours of trading today

Indian equity markets saw sharp selling pressure in the last two hours of trading today. Nifty 50 ended the day, down by 253.20 points or 1.01%. Sensex ended the day, down by 823.16 points or 1%. General sentiments also got a jolt by the news that an Air India plane from Ahmedabad to London has crashed just after taking off in Ahmedabad.

Indian markets weighed down by negative global cues

Indian markets ended the day in red today, in line with most other major Asian markets. The escalation of tensions in Middle East may cause oil prices to increase sharply. This will be unfavorable for Indian economy. India is one of the biggest importers of crude oil in the world. US is withdrawing all non-essential staff from its embassies in Middle East. Iran has said that it will strike US bases in Middle East if it is attacked.

US President Trump also added to the worries by saying that even after the approval of latest trade framework between the two countries, tariffs as high a 55% will remain on some Chinese goods coming to USA.

Top gainers & losers

Just 7 out of 50 stocks at Nifty 50 ended the day in green today. Top 3 gainers at Nifty 50 today were Apollo Hospitals, Asian Paints and Bajaj Finserv. Top 3 losers were Tata Motors, Titan and Trent.

Among broad market indices, Nifty Smallcap 50 index was the top loser today. It ended the day, down by 1.93%. All the broad market indices ended the day in red today at NSE.

Among sectoral indices, Nifty Realty index was the top loser today. It ended the day, down by 2.02%. Nifty Healthcare index was the top gainer. It ended the day, up by 0.05%.

Market volatility jumps

Nifty VIX index jumped by 2.54% today. This means that markets are expecting volatility to increase over the near term.

Market breadth was sharply negative today. 783 stocks advanced during the day. 2112 stocks declined.

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Source: NSE