Sensex extends losing streak, investors lose nearly Rs 21 lakh cr in four sessions

• Sensex falls for a fourth straight session, shedding 2.15 per cent over the week as investors’ wealth declines by nearly Rs 21 lakh crore.

• Brent crude climbs to US$116.73 a barrel amid escalating West Asia tensions, fuelling inflation concerns and broad-based selling.

• Investors track Jio Platforms’ planned 28 October listing, the US Federal Reserve meeting and the next round of corporate earnings.

Indian equities extended their losing streak to four sessions on Friday, 23 October, eroding nearly Rs 21 lakh crore in investors’ wealth as surging crude oil prices and escalating geopolitical tensions in West Asia fuelled selling pressure.

The 30-share BSE Sensex fell 125.56 points, or 0.17 per cent, to close at 73,123.83 on Friday. Over the holiday-shortened week, the benchmark shed 1,605.44 points, or 2.15 per cent.

The market capitalisation of BSE-listed companies plunged by Rs 20,78,774.28 crore over the four sessions to Rs 4,51,83,393.14 crore on Friday, down from Rs 4,72,62,167.42 crore on 16 October.

“Indian markets are likely to remain weak amid heightened geopolitical tensions and rising crude oil prices, which are fuelling inflation concerns. Crude oil prices rose above US$115 per barrel and hit a five-month high amid fears of West Asia supply disruptions and concerns over Saudi oil facilities,” said Siddhartha Khemka, head of research, wealth management, at Motilal Oswal Financial Services.

Escalating US-Iran tensions, stalled diplomatic talks and reports of possible renewed US-Israeli strikes on Iranian nuclear and military assets have heightened geopolitical risks, he added.

Tata Steel and Adani Ports fell more than 3 per cent each, emerging as the biggest laggards among Sensex constituents.

Trent, Tech Mahindra, Bharat Electronics Ltd, IndiGo, Bajaj Finserv, Kotak Mahindra Bank, Titan, Bajaj Finance, NTPC, State Bank of India and Hindustan Unilever also ended lower.

Among the gainers were Eternal, Larsen & Toubro, Reliance Industries, Tata Consultancy Services, UltraTech Cement, Asian Paints, Maruti Suzuki India, Infosys and ICICI Bank.

Brent crude, the global oil benchmark, surged nearly 3 per cent to US$116.73 per barrel, breaching the US$116 mark and adding to concerns over inflation and corporate costs.

“Markets extended their losing streak as an overnight fall in US benchmarks cautioned local investors, with renewed uptick in global crude oil prices and decline in rupee fuelling broad-based selling pressure,” said Ankur Punj, managing director of Equirus Wealth.

“Most Asian gauges recovered; however, domestic markets fell sharply over concerns of higher inflation ahead due to volatile crude oil prices and rising US bond yields,” he added.

Meanwhile, Jio Platforms’ initial public offering, worth a record Rs 30,213 crore, was subscribed 22.19 times, with strong participation across investor categories, Khemka said. The company’s shares are scheduled to list on 28 October, making the debut a key event for the primary market next week.

Investors will also be watching the US Federal Reserve’s monetary policy meeting on 27–28 October, along with key economic indicators, including US initial jobless claims and GDP growth, and the Bank of Japan’s interest rate decision.

The second-quarter earnings season will remain in focus, with Paytm, Tata Consumer Products, Larsen & Toubro, Maruti Suzuki, Hindustan Unilever, Adani Ports, Trent, Sun Pharma and Bharat Electronics among the companies scheduled to announce results next week.

“Overall, crude prices, geopolitical developments, foreign flows and earnings will remain the key drivers of market direction,” Khemka said.

With PTI inputs