Indian stock markets plunge down sharply over fear of new 'Cold War'

CHENNAI:

Indian stock markets closed in red on Wednesday, with the Sensex of the BSE going down by 927.74 points and the Nifty of the NSE by 272.40 points.

The markets reacted adversely following Russian President Vladimir Putin's statements and the threat of war escalation, said Mitul Shah, Head of Research at Reliance Securities.

Shah added the crisis in Adani Group stocks worsened as all 10 stocks faced selling pressure. Since the release of the Hindenburg report on January 25, Adani group stocks have lost 60 per cent of their value.

Globally, geopolitical instability persists as Russian President Putin asserted that his war against Ukraine will not end any time soon. Russia also suspended its nuclear treaty with the US.

The Nifty plunged 1.53 per cent to close at 17,554 points the lowest since October 21, 2022, said Devarsh Vakil, Deputy Head of Retail Research, HDFC Securities.

"Nifty continued its southward journey for the fourth day in the row on the back of weak global cues and plunged more than 1.5 per cent on Wednesday to close at 17,554, lowest close since October 21, 2022," Vakil said.

According to him, BankNifty fell for the fifth consecutive session to close at 39,996 points. All sectoral Indices ended in the red. Nifty Metal, Media and PSU banks fell the most.

At the BSE, the Sensex opened at 60,391.86 points and touched a high of 60,462.90 points and a low of 59,681.55 points to close at 59,774.98 points.


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