The Sensex fell by 937 points and the Nifty by 271 points. The stock market fell for the fourth day in a row. The Sensex finally closed at 47409.93 and the Nifty closed at 13967.50 on selling pressure.
The market has undergone a sharp correction ahead of the announcement of the Union Budget on February 1. For the first time since last September, the market has fallen for four consecutive days.
The stock market is up more than 5 per cent from its highest level ever. The Nifty, which touched an all-time high of 14,750 last Thursday, has since fallen nearly 800 points.
The gains in the stock market in January were completely offset by this correction. The Nifty closed at 13,967, up from 13,981 points on December 31. The important support at 14,000 has been breached. The Sensex closed below 47,500.
Thirty-eight out of 50 stocks in the Nifty traded lower. All sectors except FMCG Index lost ground. The Nifty Bank Index fell by 900 points. Nifty metal, pharma, auto and real estate indices fell more than 2 per cent.
The biggest losers were Tata Group stocks such as Tata Motors, Tata Steel and Titan. These fell by more than four per cent.
Tech Mahindra was the biggest gainer among Nifty stocks. Tech Mahindra shares rose 2.62 per cent.
