Bloodbath in stock market, Sensex, Nifty drop by over 1 pc amid strengthening of USD

Mumbai (Maharashtra) [India], January 13 (ANI): Stock market witnessed a dramatic sell-off today with benchmark indices ending the session in deep red.
The Sensex plummeted by 1,048.90 points to close at 76,330.01, while the Nifty dropped 345.55 points, finishing at 23,085.95.
Out of the 50 Nifty firms, 46 ended in decline while only four managed to stay in the green. One stock remained unchanged.
Among the gainers, TCS, IndusInd Bank, Axis Bank, and Hindustan Unilever emerged as the top performers. On the losing side, Adani Enterprises, Trent, BPCL, BEL, and Power Grid recorded steep losses.
The sharp decline was largely attributed to unfavourable global cues. Vinod Nair, Head of Research at Geojit Financial Services, said the global markets witnessed a significant sell-off, prompting a similar response in domestic markets due to strong US payroll data suggesting fewer rate cuts in 2025.
"This has strengthened the dollar, driven up bond yields, and made emerging markets less attractive. Recent GDP downgrades and slowing earnings amidst higher valuations are weighing heavily on market sentiment. Expect volatility in the near term, with the 2025 budget, Q3 results, RBI policy, and Trump's policies are key factors to define the trend in the short-term," he said.
Investors are expected to remain cautious as they await upcoming economic data and corporate earnings reports, which could provide further direction to the market.
With geopolitical tensions and global economic conditions adding to the uncertainty, analysts predict choppy trading sessions in the days ahead.
The sell-off was broad-based, with most sectors witnessing significant declines. Market participants remain on edge as they brace for heightened volatility driven by both domestic and international factors.
While a few heavyweights managed to weather the storm, the overall sentiment remains bearish, signalling challenging times ahead for the equity markets.
On Monday, the Nifty 50 index opened under pressure, declining by over 1 per cent or 236.10 points to start at 23,195.40. Similarly, the BSE Sensex witnessed a drop of 749.01 points or 0.97 per cent, opening at 76,629.90. (ANI)