Indian Stock Market Experiences Significant Decline Amid Global Weakness

Market Overview

The Indian stock market faced a downturn, erasing its early gains and closing significantly lower. The Sensex dropped by over 500 points during the trading session, while the Nifty index fell below the 24,400 threshold. This decline was attributed to factors such as profit-taking and unfavorable global market signals. By the end of the trading day, the Sensex had decreased by 104.35 points, or 0.13%, settling at 78,180.72. Similarly, the Nifty index closed at 24,398.70, down 31.65 points, also reflecting a 0.13% loss. However, IT stocks saw a rise of up to 4% due to strong buying activity as investors prepared for the upcoming June quarter earnings reports.

On the international front, South Korea's stock market experienced a significant drop of over 8%, primarily driven by renewed selling pressure in the Information Technology sector. Investors continued to reduce their stakes in AI-related stocks, leading to a notable decline in major chip manufacturers like Samsung Electronics and SK Hynix. The Kospi index fell by 8.18% to reach 7,392.04, heavily impacted by these losses.