Market Overview
- Sensex and Nifty Performance
- Sensex dropped 824 points.
- Nifty 50 fell by 263 points.
Market Participants’ Sentiment and FPIs
- FPIs
- Foreign Portfolio Investors (FPIs) continued their selling spree, contributing to the market downturn, driven by concerns about an impending slowdown in earnings growth.
- Market Capitalisation
- The overall market capitalization of companies listed on the Bombay Stock Exchange (BSE) declined to ₹410 trillion, losing ₹9.2 trillion.
Global Developments Influencing the Market
- Global Volatility
- Global market concerns were heightened by uncertainty surrounding U.S. policies.
- The emergence of “DeepSeek,” a Chinese alternative to ChatGPT, further deteriorated the mood of investors, particularly affecting technology stocks in the U.S.
- Tech Stocks
- Tech stocks, including Nvidia and Oracle, faced significant losses early in the U.S. trading session, due to fears that DeepSeek’s low-cost AI model could threaten Western tech companies’ dominance.
