Sensex pulls back, trades 500 points down after Donald Trump becomes President of United States
The SGX India Nifty futures contract fell 1.7 percent in early trade in Singapore on Wednesday, indicating losses for stock markets after a surprise move by Prime Minister Narendra Modi to abolish the Rs 500 and Rs 1,000 notes on Tuesday. Nearly 40 percent of the economy is driven by small- and medium-sized enterprises that largely run on cash transactions. Economists said the move could impact these businesses, and in turn have a knock-on effect on economic growth.
“This will have a massive impact on the economy and crimp spending across-the-board,” said one Mumbai-based broker. On Tuesday, BSE Sensex ended higher for a second consecutive session as investors were cautiously optimistic that Democrat Hillary Clinton would win the U.S. elections. U.S. stock index futures tumbled in choppy trade on Tuesday as tight races in key states including Florida and Ohio stoked bets that Republican Donald Trump could win the U.S. presidential election, spooking investors who have been counting on a victory by Democrat Hillary Clinton.
On Tuesday, BSE Sensex closed over 132 points higher at 27,591.14 and Nifty reclaimed the 8,500-mark. The 30-share Sensex after shuttling between 27,646.84 and 27,406.76, settled 132.15 points, or 0.48 per cent, higher at 27,591.14. The gauge had gained 184.84 points. The NSE Nifty ended 46.50 points, or 0.55 per cent, higher at 8,543.55 after moving between 8,559.40 and 8,480.10.
The crackdown on black money by the central government by banning the use of Rs 500 and Rs 100 notes and the possibility of a Donald Trump win in the US Presidential elections has largely affected the market in the pre-opening session.
The market closed with the Nifty dropped 112 points to end below the 8,450-mark in volatile trade.
03:40 pm: BSE Sensex closes at 27,252.53 after trading 338.61 points down. Nifty trades 111.55 down to close at 8,432.00 points
03:25 pm: Nifty trades down 87.25 to sit at 8,456.30 points
03:16 pm: Sensex remains stable following recovery from morning’s low, trades down 331. 2 points
02:28 pm: Sensex pulls back after initial low, trades down by 294.78 points, sits at 27,296.36 points
01:36 pm: Sensex recovers, trades down by 534 points after Donald Trump wins US elections to become President
11:08 pm: Sensex steady after falling by 1000 points, stays at 26,614.88 points
10:28 am : Sensex falls by 1000 points again. Sits at 26,581.59 points
10:10 am: Sensex steady at 26,745. 59 points.
09:42: Nifty sits at 8,316.55 points after going down by 227 points.
09:36 am: Sensex recovers by nearly a 1000 points and sits at 26,848.46 points, as Hillary Clinton takes a lead in the US elections
09:23 am : Nifty falls by 346. 90 points on Trump’s lead in US elections
09:22 am: Rupee nosedives 23 paise against US dollar to 66.85 in early trade on black money crackdown.
09:15 am: BSE Sensex pre-opens with a 900 point nose dive. Nifty starts with 8067.50 points. This is the biggest fall for Sensex since January 2009.