Why Nifty50, BSE Sensex Have Closed in Red for 5th Week in a Row

Indian stock markets indices, Nifty50 and BSE Sensex, ended the week down over 1%, marking their fifth consecutive week of closing in red. Nifty50 has dropped over 270 points this week, while BSE Sensex plunged over 860 points.

1) Unrelenting FII selloff
Foreign Institutional Investors (FIIs) continue their selling trend, with a substantial Rs 5,588.91 crore worth of shares sold on Thursday. FIIs have consistently sold Indian stocks during the past 9 trading sessions, with the selloff reaching Rs 27,000 crore.

2) Donald Trump’s 25% Tariff on India
Market confidence deteriorated after US President Donald Trump signed an executive order that imposed a higher-than-anticipated 25% tariff on India.

3) Underwhelming Q1 results
India Inc’s first quarter earnings have seen muted and underwhelming results. Over the last 30 days, the IIT index has declined by 10%, whilst the Nifty Bank is flat.

4) Global Markets Hit
Asian markets saw big losses on Friday as traders evaluated new US tariff implications whilst awaiting US employment statistics.

5) Strong US Dollar
The US dollar index has seen a big 2.5% increase over the week, going beyond 100 and achieving its highest level in two months.