Indian equity markets posted their biggest single-day drop since May after a global selloff in risk assets, sparked by surging U.S. bond yields, marred sentiment.
The Sensex ended 3.8% lower at 49,099 on Friday. The 30-stock index fell more than 2,000 points intra-day and eventually ended with losses of 1,939 points. The Nifty 50, too, lost more than 550 points, ending the day 3.8% lower at 14,529.
This is also the second straight weekly decline for the benchmarks.
“What we are seeing in the global markets is a knee-jerk reaction to the rise in global bond yields,” Rusmik Oza, executive vice-president and head of fundamental research at Kotak Securities, said in an emailed statement to BloombergQuint.
Sector-Wise Snapshot
All the sectoral indices ended with losses on Friday.
Nifty Bank was the biggest loser, ending 1,745 points down. That was the biggest single-day drop for the gauge since May last year.
Nifty Auto posted its biggest intra-day fall in two months.
