Nifty, Sensex Record Longest Weekly Losing Streak In Over 14 Months: Market Wrap

The benchmark equity indices fell for the fourth consecutive week, the longest streak in since five weeks ended Aug. 24. On a daily basis, they continued their downtrend for the fifth session.

The NSE Nifty 50 ended 218.60 points or 0.90% down at 24,180.80 and the BSE Sensex fell 662.87 points or 0.83% to close at 79,402.29. During the day, the Nifty fell as much as 1.3% and the Sensex fell as much as 1.2%.

The sentiment was dampened amid quarterly earnings announcements and continued selling by the foreign institutional investors.

"Investors should avoid overexposure to high P/E stocks, as earnings miss or lack of positive surprises could trigger further corrections," Krishna Appala, senior research analyst at Capitalmind Research, said.

"This ongoing selling pressure, combined with earnings downgrades, is cooling off market valuations," he said. "For investors, this may present an opportunity to gradually accumulate high-conviction stocks as the market works through this correction phase."

On Friday, the Nifty's fall was led by the fall in IndusInd Bank's share price, which saw biggest fall since March 2020 after reporting weaker-than-expected results.

Shares of IndusInd Bank, Larsen & Toubro Ltd., Mahindra & Mahindra Ltd., Reliance Industries Ltd. and NTPC Ltd. contributed the most to the fall.

ITC Ltd., Axis Bank Ltd., ICICI Bank Ltd., Hindustan Unilever Ltd. and Bharat Electronics Ltd. capped the downside.

The broader markets underperformed the benchmark indices as the BSE MidCap and the SmallCap ended 1.48% and 2.44% lower respectively.

On the BSE, 19 sectors declined and one advanced out of 20. Services was the worst performing sector and Fast-Moving Consumer Goods was the top performing sector.

The market breadth was skewed in favour of the sellers as 3,087 stocks declined, 856 advanced and 78 remained unchanged on the BSE.

On a weekly basis, the Nifty ended 2.7% lower and the Sensex lost 2.2%. All sectoral indices on the NSE ended lower, with the Realty and Metal losing the most.