Indian stock indices extend losses over profit booking, Sensex, Nifty down 0.3 pc each

NEW DELHI: Indian stock indices kicked off the new week negatively, with benchmark Sensex and Nifty settling 0.3 per cent lower from their previous closing. On Friday, too, the indices traded in the red. The declines are possibly due to the profit-booking following the latest rally.

The Sensex is now some 4,000 points below its all-time high of 85,978 points. NSE data showed that among the sectoral indices, Nifty IT and Nifty Media were the top losers, while Nifty PSU Bank, Nifty Realty, and Nifty Pharma were the top gainers.

Prashanth Tapse, senior vice president (Research) at Mehta Equities Ltd, said, “Markets languished in negative territory for major part of the trading session as weak Asian and European indices resulted in investors resorting to profit-taking in IT, capital goods and oil & gas shares. Also Moody’s downgrading US credit rating by a notch over the weekend created some sort of uncertainty amongst investors”.

Indian stock indices soared early last week, supported by the news that the conflict between India and Pakistan had de-escalated after the two Armed forces reached an understanding to stop the military actions.

Another shot in the arm came from the easing of trade wars between the US and China. They had agreed to withdraw their previously announced reciprocal tariffs and counter tariffs for an initial period of 90 days.

For Indian stock markets, key monitorables going ahead are Q4 GDP numbers and global cues. The official GDP data for Q4 2024-25 is scheduled to be released on May 30 by the National Statistics Office, along with the annual GDP for 2024-25.

During the April-June, July-September, and October-December 2024 quarters, the country’s economy, in real terms, observed a growth rate of 6.7 per cent, 5.6 per cent, and 6.2 per cent, respectively. As per the second advance estimates of NSO, the country’s economy is projected to grow at 6.5 per cent in 2024-25. (ANI)