The Indian stock market suffered strong losses on Tuesday, 23 June, as a fresh wave of selloff engulfed across segments, driving the benchmarks down by more than 1% each.
The Sensex lost 893 points, or 1.16%, to end at 76,200.68, while the Nifty 50 shed 279 points, or 1.16%, to settle at 23,824.10.
The mid and small-cap segments also witnessed selling pressure. While the Nifty Midcap 100 dropped 1.05%, the Nifty Smallcap 100 suffered a relatively smaller loss of 0.48%.
A sharp selloff dragged the overall market capitalisation of BSE-listed firms below ₹475 lakh crore, from ₹480.6 lakh crore in the previous session, making investors poorer by nearly ₹6 lakh crore in a single day.
What drove the stock market down today?
The stock market declined amid profit-taking, triggered by concerns about a poor monsoon and weak business data.
India’s services activity fell to a 17-month low, while manufacturing growth slowed to a three-month low in June.
The HSBC Flash India Manufacturing PMI Output Index fell to 57.4 in June from 58.0 in May. The Flash Services Business Activity Index fell to 57.3 in June from the revised reading of 59.8 in May.
Meanwhile, the monsoon has started on a weak note, raising concerns about stress on rural incomes and overall demand. As per Mint, over 450 districts have received deficient rainfall so far, raising concerns over farming, water supplies, and the broader economy in an El Niño year.
(This is a developing story. Please check back for fresh updates.)
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