Business · Markets · 9 hrs ago

Sensex and Nifty fall as inflation concerns prompt profit-taking

Sensex and Nifty fall as inflation concerns prompt profit-taking

India’s Sensex and Nifty fell on Friday as investors became more cautious.

The drop came after a recent market rally, and investors sold shares to lock in profits.

October retail inflation reached 6.09%, above the RBI’s 6% limit, raising concerns about the outlook for interest rates.

Despite Friday’s losses, both indexes finished the week higher, while foreign investors continued buying Indian shares.

Higher inflation and energy prices could weigh on company profits and household spending, and may delay interest-rate cuts.

Crude prices, currency stability and foreign investor flows are among the factors that analysts say could shape the market’s next moves.

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What people are saying

Hariselvan RadhakrishnanFounder and CEO of HST Wealth
the reading weighed particularly on rate-sensitive sectors, where investors booked profits following the sharp gains in recent sessions, reflecting a more guarded approach towards equities amid growing macroeconomic and geopolitical risks
via Hindu BusinessLine
Vikram KasatChief Business Officer – Advisory and Dealing at PL Capital
We believe this phase calls for greater selectivity rather than a broad-based defensive approach.
via Hindu BusinessLine