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[Sensex Today] Share Market Highlights: Sensex closes 382 points higher, Nifty settles green; TCS, Infosys emerge as top gainers

[Sensex Today] Share Market Highlights: Sensex closes 382 points higher, Nifty settles green; TCS, Infosys emerge as top gainers

News24 Online 3 days ago

Share Market Highlights: The Indian stock market remained under pressure on Tuesday, extending Monday's losses. Escalating tensions between the United States and Iran, with no signs of peace in sight, have raised concerns about the global economy.

Rising crude oil prices and growing uncertainty in global markets have also hurt investor sentiment. Reflecting these worries, the Sensex opened 255.38 points lower at 74,011.96. Meanwhile, the Nifty also started the day in the red, falling 94.90 points. The weak trend had already been signalled by the GIFT Nifty ahead of the opening bell.

Why Share Market is Falling Today

Crude oil prices jump 7%

Oil prices surged sharply on Monday after the reports of Teran suspending diplomatic engagement with Washington and was moving to fully block the strategic Strait of Hormuz. The developments heightened fears of a major disruption to global oil supplies and triggered a strong reaction in energy markets. As geopolitical tensions escalated, U.S. benchmark WTI crude jumped 7.69% to near USD 93 per barrel, while Brent crude gained 6.62% to trade above USD 95 per barrel. The sharp rise reflected growing concerns among investors over the potential impact of the conflict on global energy flows.

FII's on selling spree

Foreign Institutional Investors (FIIs) remain a major concern for Indian markets. They pulled out a massive Rs 55,963 crore in May alone. The selling has been driven by higher U.S. bond yields, a stronger dollar, and geopolitical tensions in West Asia. This has put pressure on frontline stocks, especially banking and financial shares where foreign ownership is high. While strong buying by Domestic Institutional Investors (DIIs) and retail investors has limited the damage, heavy FII selling has capped market gains and kept benchmark indices volatile ahead of key events such as the RBI's monetary policy decision.

Weaker Monsoon Predictions are adding to worries

Monsoon-related stocks could remain in focus after the IMD forecast a slightly below-normal monsoon this year. Rainfall is expected to be around 90% of the Long Period Average (LPA). A weaker monsoon could affect farm output and rural incomes. This may hurt demand in rural areas. Sectors such as FMCG, automobiles, and consumer durables could face pressure if rainfall remains below normal.

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