The domestic equity indices--Sensex and Nifty--are trading significantly lower in early trade on Monday. Last seen, BSE's 30-share index--Sensex-- was trading at 76,911.45, down 0.46 per cent or 353.05 points, while Nifty 50 was quoted at 24,027.35, down 148.30 points or 0.61 per cent.
Earlier, in the opening trade, Sensex started the session slightly lower at 77,130.73, down from last day's closing of 77,264.51. However, it plunged 402 points to hit an early low of 76,861.98.
How Jackson Hole, Hawkish Fed Statement Impact Markets: Expert Take
According to Dr V K Vijayakumar, Chief Investment Strategist, Geojit Investments Limited, this week’s trading begins with the market facing a few headwinds.
"From the global equity market perspective, the sentiments have turned slightly negative following the Fed chief Kevin Warsh’s statement that if inflation persists at rates higher than the Fed’s long-term target, “we have work to do”. The market has taken this as an indication of a rate hike in the FOMC meeting scheduled for September 15-16," said Vijaykumar
Asian Markets Trade Lower
Key Asian markets were trading lower in early hours, including South Korea's Kospi, Japan's Nikkei 225 index, Shanghai's SSE Composite index and Hong Kong's Hang Seng index. US markets closed in the red on Friday.
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"Indian equity markets are expected to trade with a cautious bias as renewed US-Iran military escalation revives concerns over global energy supplies, triggering a rebound in crude oil prices and prompting a broader risk-off tone across Asian markets. Japan's Nikkei and South Korea's Kospi were both down more than 1 per cent in early trade, reflecting investors' renewed focus on geopolitical risks," Ponmudi R, CEO of Enrich Money, an online trading and wealth-tech firm, said.
Top Gainers And Losers
In early trade, Infosys, Tata Steel, Indigo, Bajaj Finance, TCS and Titan were top losers from the Sensex basket. On the other hand, HDFC Bank, Kotak Mahindra Bank and Bharti Airtel were trading higher.
Meanwhile, Crude prices escalated in the global market. Last seen, Brent crude, the global oil benchmark, was trading 2.33 per cent higher at above $90 per barrel.