Rupee crashes, Sensex plunges | Factors that are spooking investors
India Today
The Sensex and Nifty fell to the red and the rupee slid to a record low against the US dollar.
The Sensex and Nifty fell and the rupee dropped to a record low against the US dollar on Wednesday. The NSE Nifty 50 index fell 0.53 per cent to 15,766.25, and the S&P BSE Sensex slipped 0.5 per cent to 52,910.42.
The rupee dropped 0.25 per cent to a record low of 78.97 per US dollar.
The share market fell after a four-session rally, as worries about high oil prices and inflation returned to the forefront, while Reliance gained after announcing a leadership change at its telecom unit.
Dampening sentiment further across Asian equities was overnight data that showed US consumer confidence dropped to a 16-month low in June, which had sent Wall Street sharply lower.
"Worries about crude prices, inflation, rate hikes and accompanying recession fears are coming back to the market after a few days of respite," said Ajit Mishra, vice president, research at Religare Broking, Reuters reported.
"It's still too early to say if the market has reached the bottom, the overall trend is still downwards with the negative flow of news."
Interest rate and inflation worries have kept the Nifty and Sensex on course for their worst month since the pandemic-hit March of 2020. The blue-chip indexes had lost nearly 9 per cent this year, as of Tuesday's close.
