Markets decline in initial trade amid soaring inflation, foreign fund exodus

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| Photo Credit: Reuters

Equity benchmark indices declined in early trade on Wednesday (November 13, 2024) amid retail inflation soaring to a 14-month high of 6.21% in October and unabated foreign fund outflows.

Muted quarterly earnings and weak trends in global markets were also the spoilsport for the markets, traders said.

The BSE benchmark Sensex declined 239.69 points to 78,435.49 in early trade. The NSE Nifty went down 103.15 points to 23,780.30.

From the 30-share Sensex pack, Mahindra & Mahindra, Maruti, Tata Steel, Sun Pharma, Nestle, and ITC were the biggest laggards.

Titan, HDFC Bank, Bharti Airtel, and NTPC were among the gainers.

Retail inflation breached the Reserve Bank’s upper tolerance level, soaring to a 14-month high of 6.21% in October mainly on account of rising food prices.

Foreign Institutional Investors (FIIs) offloaded equities worth ₹3,024.31 crore on Tuesday, according to exchange data.

In Asian markets, Seoul, Tokyo, Shanghai and Hong Kong were trading lower.

The U.S. markets ended in the negative territory on Tuesday.

Global oil benchmark Brent crude climbed 0.35% to USD 72.14 a barrel. The BSE benchmark tumbled 820.97 points or 1.03% to settle at 78,675.18 on Tuesday. The Nifty tanked 257.85 points or 1.07% to 23,883.45.