Markets stumble: Nifty, Sensex register biggest weekly fall since 2022

The domestic share market indices Sensex and Nifty closed lower for the fifth straight day on Friday weighed down by rising tensions in the Middle East. Banking, FMCG, and auto sectors saw significant declines, though IT stocks showed brief resilience amidst the broader sell-off.
At close, the Sensex was down 808.65 points or 0.98 percent at 81,688.45, and the Nifty was down 235.50 points or 0.93 percent at 25,014.60.
Market This Week
●Market records biggest weekly fall since June 2022,
●Market snaps 3-week gaining streak, nifty down nearly 5 percent,
●BSE-listed companies erase market cap of nearly Rs 18 lakh crore this week,
●All sectoral indices ex-nifty metal end lower, Nifty realty slips 8 percent
Heightened concerns about the Middle East conflict have stoked fears of oil supply disruptions, driving up crude prices, which is detrimental for major importers like India. Brent Crude futures have surged by more than 9% this month, crossing $78 per barrel. Meanwhile, FIIs are redirecting investments towards China following its new stimulus measures. According to information, FIIs have sold Rs 30,614 crores in India's cash market in the last three days while China-focused funds gained over $13 billion in a week, dwarfing India-dedicated fund inflows of $107 million.
Infosys, ONGC, Tata Motors, Wipro, HDFC Life were the top gainers on the Nifty while losers included M&M, Bajaj Finance, Nestle India, BPCL,Asian Paints.
On the sectoral front,except PSU Bank and IT, all other sectoral indices ended in the red with auto, FMCG, realty, power, media, telecom, oil & gas index down 1-2 percent.BSE Midcap and Smallcap indices lost nearly a percent each.
Rupee Close:
On 04 Oct'24,the Indian rupee traded on a flat note and settled at 83.96  against the US dollar on Friday as surging crude oil prices amid volatile geopolitics weighed on the local unit, while the Reserve Bank intervened to prevent the domestic currency from touching its lowest level.
Forex traders reportedly stated, a weak American currency against major Asian rivals as well as the RBI's move to sell dollars supported the local unit. However, it was weighed down by weak domestic equity markets and unabated outflow of foreign funds.
Trading Guide:
Vinod Nair, Head of Research, Geojit Financial Services reportedly quoted as saying,the bearish sentiment continued as investors are monitoring the escalating conflict in the Middle East and have adopted a sell-on recovery strategy. Crude prices have moved up sharply but may be restricted due to an increase in production from OPEC+. The drag was across sectors led by realty, auto, and FMCG except IT stocks, which gained due to expected benefits from US rate cuts and defensive nature. The pessimism on the market is expected to continue in the near term amidst rising crude prices and fund flows to cheaper markets like China.
Market experts have  recommended three stocks to buy — Bombay Dyeing, GAIL, and BSE.

(Business Correspondent)