Markets Plunge As Investors Fear Aggressive US Fed Stance Going Ahead

Benchmark indices dropped sharply in trade, erasing a significant portion of Wednesday’s gains, as investors across the globe, continue to remain worried over an aggressive US Fed, which essentially means rising interest rates. A sharp increase in interest rates is likely to pull down growth, which is the big worry for the markets right now.

The Sensex ended the day lower by a whopping 770 points, while the Nifty dived 216 points in trade. Leading the set of losers in trade were stocks from the metal and IT Space. Shares in Hindalco lost 4%, while ONGC dived 3%, Tech Mahindra 3%. Reliance and TCS were among the other losers in trade today from the Nifty space.

Among the gainers in trade were Tata Consumer Products, Bajaj Finserv and Asian Paints. Shares in Maruti Suzuki India hit a 52-week high in trade today. The company sold a total of 165,173 units in August 2022. Total sales in the month include domestic sales of 137,537 units, sales to other OEM of 6,155 units and exports of 21,481 units.

Mahindra & Mahindra shares gained marginally after the company announced that its overall auto sales for the month of August 2022 stood at 59,049 vehicles.

Shares in Biocon hit 52-week low at Rs 297 per share after the pharma major received 11 observations from the US heath regulator. Meanwhile, European markets were trading with sharp losses as investors continued to worry over rising interest rates.