Stock market tanks after Russia announces military operation in Ukraine; Nifty gives up 16,500, Sensex drops 2000 points
The Indian markets tanked on Thursday after Russian President Vladimir Putin on Thursday announced a military operation in Ukraine, claiming its intended to protect civilians.
The domestic equity benchmarks slid further after tanking in the opening trade as Nifty 50 gave up 16,500 and the Sensex dipped by 2000 points tracking Russia-Ukraine development
Earlier, the Indian markets tanked in the opening trade on Thursday after Russian President Vladimir Putin on Thursday announced a military operation in Ukraine, claiming it's intended to protect civilians. Benchmarks Nifty and the Sensex dropped nearly 2.5% to open at 16,574.15 and 55,418.45 respectively as all stocks on the two indices turn negative
Signals came from SGX Nifty, where in Futures index on the Singaporean Exchange dropped by massive 458.50 points or 2.69% to 16,604.50 at 9 am on Thursday.
See Zee Business Live TV Streaming Below:
In the pre-open, the Sensex slumped more than 1800 points or 3.17% to 55,418.45 as all shares turned negative on Thursday.
"The growing concern surrounding the deteriorating Ukraine crisis has pushed global stock markets into correction mode. The near 20% decline from the peak in NASDAQ is a clear indication of the correction that has set in. Also, the safe haven gold shooting to $1913 is a reflection of the risks arising from the crisis. Investors should wait and watch the unfolding situation before taking any major commitments. Buying should be confined to stocks/ segments which are fairly valued or have good earnings visibility," said V K Vijayakumar, Chief Investment Strategist at Geojit Financial Services.
He said IT, though highly valued, is a sector whose prospects are steadily improving. "There are instances of promoters buying stocks of IT companies. This is an indication of better-than-expected results from the sector. Investors can use sharp market corrections to slowly accumulate high quality stocks in IT," he added.
Earlier, Mohit Nigam, Head - PMS, Hem Securities, said Indian markets are expected to open on flattish to negative note as suggested by SGX Nifty.
"Textile industry’s stocks may remain in focus with a report that India's annual textiles exports can rise to $100 billion in the next five years from the current $40 billion. Besides, microfinance sector stocks may also remain in action as India Ratings and Research in its latest report has revised upwards its outlook on the microfinance sector to 'neutral' from 'negative' for the next financial year (FY23)," he said.
On technical front today Nifty50 may take immediate support and resistance at 16,850 level and 17,300 level respectively. In the case of Bank Nifty 36,900 and 37,600 levels will act as immediate support and resistance.
(Disclaimer: The views/suggestions/advice expressed here in this article are solely by investment experts. Zee Business suggests its readers to consult with their investment advisers before making any financial decision.)
Get Latest Business News, Stock Market Updates and Videos; Check your tax outgo through Income Tax Calculator and save money through our Personal Finance coverage. Check Business Breaking News Live on Zee Business Twitter and Facebook. Subscribe on YouTube.