Markets extend losses: NIFTY50 traded below 23550, SENSEX falls 440 points, LT, HDFC Bank and ONGC among top losers

Domestic equity indices added more losses in the mid-market session as market participants reduced their positions. Selling in Larsen & Toubro, Tata Steel, Tata Motors, HDFC Bank, and Ultratech Cement stocks dragged the Sensex and Nifty below their psychological 77,800 and 23,600 levels, respectively.

Market participants were cautious as the 10-year U.S. Treasury yield rose to its highest since April after the latest Federal Reserve meeting minutes indicated greater concern over inflation. The yield on the benchmark 10-year Treasury was nearly one basis point lower at 4.677%, after earlier topping 4.7% to reach its highest level since late April.

On the BSE sectoral front, traders were seen piling up positions only in FMCG and Basic Materials, while selling was witnessed in Oil and gas, Energy, PSU, Metal, and Real Estate.

On the global front, Asian markets were trading mostly in red as investors fretted the Federal Reserve could delay policy easing due to inflation worries, while China’s entrenched consumer disinflation further dented sentiment.

The SENSEX traded at 77758.40, down 390.09 points or 0.50% after trading in a range of 77668.72 and 78206.21. Nine stocks advanced on the index, while 21 stocks declined.

The NIFTY50 traded at 23560.10, down 128.85 points or 0.54% after trading in a range of 23537.95 and 23689.50. The index had 16 advancing stocks and 34 declining stocks.

Asian markets traded mostly in red; the Shanghai Composite weakened 7.34 points or 0.23% to 3,222.83. Straits Times fell 17.41 points or 0.45% to 3,869.57, Nikkei 225 slipped 456.89 points or 1.16% to 39,524.17, and Taiwan Weighted lost 260.13 points or 1.12% to 23,147.20. However, Hang Seng advanced 6.81 points or 0.04% to 19,286.65, Jakarta Composite gained 3.02 points or 0.04% to 7,083.37, and KOSPI increased 2.81 points or 0.11% to 2,523.86.