The equity markets extended their losses for the fourth consecutive day after the US Fed hinted about a possible interest rate hike by the end of this year, which dented investor sentiments.
The equity markets extended their losses for the fourth consecutive day after the US Fed hinted about a possible interest rate hike by the end of this year, which dented investor sentiments.
The uncertainty about the outcome of the Bihar election and the mixed second quarter results from India Inc have also turned investors sentiment cautious in the near term.
The expiry of October derivative contracts led to high volatility in the domestic bourses. The Sensex fell 201.62 points or 0.75 per cent to close the day at 26,838.14 while the Nifty closed the session at 8,111.75, shedding 59.45 points or 0.73 per cent.
“The hawkish Fed stance was on expected lines, which highlighted the possibility of a rate hike in the near-term. India is also focusing on the Q2FY16 and Bihar elections. Election’s outcome is likely to have only a near-term impact, while a tepid Q2FY16 results may lead to further downgrade in FY16 earnings estimate,” said Vinod Nair, head, fundamental research, Geojit BNP Paribas Financial Services.
