Stock market today: Nifty 50 records biggest single-day fall in over 4 years; Sensex crashes over 4,000 points

Stock market today: Sensex closed with a massive loss of 4,390 points, or 5.74 per cent, at 72,079.05, while the Nifty 50 ended with a cut of 1,379 points, or 5.93 per cent, at 21,884.50.

Nishant Kumar
Updated4 Jun 2024, 05:19 PM IST
Stock market today: The Sensex closed with a massive loss of 4,390 points, or 5.74 per cent, at 72,079.05, while the Nifty 50 ended with a cut of 1,379 points, or 5.93 per cent, at 21,884.50.
Stock market today: The Sensex closed with a massive loss of 4,390 points, or 5.74 per cent, at 72,079.05, while the Nifty 50 ended with a cut of 1,379 points, or 5.93 per cent, at 21,884.50.(Agencies)

Stock market today: A massive across-the-board selloff engulfed the Indian stock market on Tuesday, June 4, after vote-counting trends indicated that the final results were far disconnected from what the exit polls had predicted.

Vote counting was underway when the Nifty 50 closed. Trends showed the Bharatiya Janata Party (BJP) falling short of securing a clear majority. At the same time, the BJP-led National Democratic Alliance (NDA) was expected to manage only a slim majority to form the government at the Centre.

This seems to have rattled investors as they expected political stability and policy continuity after the elections. While the NDA may still form the government, experts point out that the new government may find it challenging to take bold policy measures confidently. 

Nifty 50 opened at 23,179.50 against its previous close of 23,263.90 and fell 8.5 per cent to hit its intraday low of 21,281.45. The Sensex opened at 76,285.78 against its previous close of 76,468.78 and cracked 8.2 per cent to the level of 70,234.43.

The Sensex finally closed with a massive loss of 4,390 points, or 5.74 per cent, at 72,079.05, while the Nifty 50 ended with a cut of 1,379 points, or 5.93 per cent, at 21,884.50.

Also Read: Election Results 2024 Market Close Highlights: Market ends drastically lower as Sensex down 4,380pts, Nifty at 21,880

It was the biggest percentage-term single-day fall for the Nifty 50 in over four years since early 2020. The index had seen massive losses in early 2020 when the COVID-19 pandemic hit the world. 

Also Read: Stock market today: Nifty 50 falls to near 3-month low as possibility of no majority for BJP haunts investors

Mid and smallcap indices lurched sharply lower. The BSE Midcap index ended with a deep loss of 8.07 per cent after falling as much as 12 per cent during the session. The BSE Smallcap index plunged over 10 per cent in intraday trade; eventually, the index closed with a loss of 6.79 per cent.

Volatility index India VIX surged 24 per cent, indicating the high level of nervousness in the market. 

Investors lost nearly 31 lakh crore in a single day as the overall market capitalisation (mcap) of the BSE-listed firms plunged to nearly 395 lakh crore from nearly 426 lakh crore in the previous session.

Also Read: Stock market today: Investors lose 31 lakh crore as election race gets tighter than what exit polls predicted

Nearly 300 stocks, including Bajaj Finserv, HDFC Life, IDFC First Bank, LTIMindtree, SBI Card, and Zee Entertainment, hit fresh 52-week lows in intraday trade on the BSE.

Top Nifty 50 losers today

As many as 37 stocks ended with losses in the Nifty 50 index and nine stocks suffered losses of more than 10 per cent each.

With a loss of 21.40 per cent, shares of Adani Ports ended as the top losers in the index, followed by those of Adani Enterprises which lost 19.07 per cent.

Share of ONGC (down 16.23 per cent), NTPC (down 14.52 per cent) and Coal India (down 13.54 per cent) also ended significantly.

Top Nifty 50 gainers today

Shares of Hindustan Unilever (up 5.78 per cent), Britannia (up 3.33 per cent) and Nestle (up 3.27 per cent) closed as the top gainers in the Nifty 50 index.

Sectoral indices today

Nifty PSU Bank lost 15.14 per cent, ending as the top loser among sectoral indices, followed by Nifty Oil & Gas (down 11.80 per cent) and Nifty Metal (down 10.63 per cent).

Nifty Bank plunged 7.95 per cent, while the Financial Services index cracked 7.86 per cent.

On the other hand, Nifty FMCG bucked the trend and closed 0.95 per cent higher.

Expert views on markets

Vinod Nair, the head of research at Geojit Financial Services, pointed out that the unexpected outcome of the General Election sparked a wave of fear and triggered selling in the domestic market, reversing the recent substantial rally.

Despite this, Nair believes the market maintains its expectation of stability within the coalition, led by the BJP as the major election winner, thereby mitigating substantial downside in the medium term.

Nair believes a major shift in political policy could focus on social economics, which will positively affect the rural economy.

Ajit Mishra, SVP of research at Religare Broking, expects continued market choppiness.

"Participants should limit their trades and wait for stability. Investors, however, can use this opportunity to accumulate quality stocks available at good bargains," said Mishra.

Technical views on Nifty 50

Shrikant Chouhan, the head of equity research at Kotak Securities, observed that after an early morning sharp selloff, the market breached the crucial support of the 20-day SMA (simple moving average) of 22,500/74,000. After the breakdown, the selling pressure intensified.

The index formed a long bearish candle on the daily charts and is trading below short-term and medium-term averages, which is largely negative.

"For the traders now, 50-day SMA, or 22,400/73,500- and 22,500/74,000, would be the key resistance areas while 21,600-21,300/71,000-70,200 would act as key intraday support zones. We believe that the current market texture is extremely volatile and uncertain; hence, traders should remain cautious for the next few trading sessions," said Chouhan.

Read all market-related news here

Disclaimer: The views and recommendations above are those of individual analysts, experts, and brokerage firms, not Mint. We advise investors to consult certified experts before making any investment decisions.

Catch all the Business News, Market News, Breaking News Events and Latest News Updates on Live Mint. Download The Mint News App to get Daily Market Updates.MoreLess

News in Numbers

Numbers that help you understand news better
1.4%

₹773 Cr

₹2,705 Cr

₹1 Cr

₹14,370 Cr

₹5.74 T

First Published:4 Jun 2024, 05:19 PM IST
HomeMarketsStock MarketsStock market today: Nifty 50 records biggest single-day fall in over 4 years; Sensex crashes over 4,000 points

Most Active Stocks

Tata Steel

166.30
09:40 AM | 15 JUL 2024
-2.4 (-1.42%)

Bharat Electronics

331.10
09:40 AM | 15 JUL 2024
-2.2 (-0.66%)

Indian Oil Corporation

167.10
09:40 AM | 15 JUL 2024
0.2 (0.12%)

Zee Entertainment Enterprises

155.60
09:40 AM | 15 JUL 2024
0.05 (0.03%)
More Active Stocks

Market Snapshot

  • Top Gainers
  • Top Losers
  • 52 Week High

Godfrey Phillips India

4,428.75
09:36 AM | 15 JUL 2024
367.95 (9.06%)

CE Info Systems

2,616.00
09:36 AM | 15 JUL 2024
195.4 (8.07%)

Route Mobile

1,890.15
09:36 AM | 15 JUL 2024
117.8 (6.65%)

CRISIL

4,537.85
09:36 AM | 15 JUL 2024
226.85 (5.26%)
More from Top Gainers

Recommended For You

    More Recommendations

    Gold Prices

    • 24K
    • 22K
    Bangalore
    74,771.00290.00
    Chennai
    73,827.00-145.00
    Delhi
    73,972.00-799.00
    Kolkata
    74,045.0073.00

    Fuel Price

    • Petrol
    • Diesel
    Bangalore
    102.86/L0.00
    Chennai
    100.75/L-0.01
    Kolkata
    104.95/L0.00
    New Delhi
    94.72/L0.00
    OPEN IN APP
    HomeMarketsPremiumInstant LoanMint Shorts