Sensex tanks nearly 700 pts on sell-off in HDFC twins
Mumbai, May 5
Benchmark indices Sensex and Nifty declined more than 1% at close on Friday due to a heavy sell-off in index major HDFC twins after reports their merger could lead to outflows of $150-200 million.
The Sensex tanked 694.96 points to settle at 61,054.29 as 20 of its components declined and 10 advanced. During the day, it plunged 747.08 points to 61,002.17. The broader NSE Nifty fell 186.80 points to end at 18,069 with 30 of its constituents declining and 19 closing with gains.
Nifty falls 186 points
- Among the Sensex firms, HDFC Bank tumbled 5.8% followed by HDFC which plummeted 5.57%. Both the stocks fell sharply amid reports that the merged HDFC entity could see significant outflows
- IndusInd Bank, Tata Steel, Kotak Mahindra Bank, Mahindra & Mahindra, Bajaj Finserv, HCL Technologies, Infosys, Wipro and NTPC were the other major laggards
- Titan, UltraTech Cement, Maruti, Nestle, ITC and Larsen & Toubro were among the gainers
Among the Sensex firms, HDFC Bank tumbled 5.8% followed by HDFC which plummeted 5.57%. Both the stocks fell sharply amid reports that the merged HDFC entity could see significant outflows.
“The Indian market was dragged down by heavy selling in HDFC twins on fears of post-merger fund outflow. In addition, the cues from global peers were lacklustre as the ECB raised rates by 25 bps and signalled the need for further rate hikes.
“Wall Street has witnessed prolonged selling pressure due to apprehensions in the banking sector about the strength of regional banks,” said Vinod Nair, Head of Research at Geojit Financial Services.
IndusInd Bank, Tata Steel, Kotak Mahindra Bank, Mahindra & Mahindra, Bajaj Finserv, HCL Technologies, Infosys, Wipro and NTPC were the other major laggards.
Titan, UltraTech Cement, Maruti, Nestle, ITC and Larsen & Toubro were among the gainers.
