The Indian stock market witnessed its worst weekly loss in eight months as Sensex and Nifty logged their biggest weekly decline since October 2018. The benchmark indices Sensex and Nifty ended the week with losses of 3.2 percent and 3.3 percent respectively.
The sell-off in the Indian stock market was triggered by a combination of factors including weak global cues, the ongoing trade war between the US and China, rising crude oil prices, and concerns over the state of the Indian economy.
The Sensex ended the week at 35,634.14, down 1,169.02 points, or 3.2 percent, while the Nifty closed at 10,741.45, down 365.75 points, or 3.3 percent. The S&P BSE MidCap index was down 4.3 percent and the S&P BSE SmallCap index was down 5.3 percent.
The sell-off was broad-based with all the sectoral indices except FMCG ending in the red. Among the major losers were metal, auto, banking, and IT stocks.
The decline in the Indian stock market was in line with the global markets which ended the week in the red. The Dow Jones Industrial Average and the S&P 500 both ended the week down 1.1 percent and 0.9 percent respectively.
The Indian rupee also weakened against the US dollar, ending the week at 69.52, down 0.4 percent.
The Indian stock market is likely to remain under pressure in the near-term due to the ongoing trade war between the US and China, rising crude oil prices, and concerns over the state of the Indian economy. Investors are advised to remain cautious and invest only in quality stocks.