Markets decline in early trade on foreign fund outflows, weak US peers

Mumbai, Feb 21 (PTI) Equity benchmark indices Sensex and Nifty declined in early trade on Friday amid foreign fund outflows, weak US markets and tariff threats.

The 30-share BSE benchmark Sensex declined 202.21 points to 75,533.75 in early trade. The NSE Nifty dipped 63.5 points to 22,849.65.

From the Sensex pack, Mahindra & Mahindra, Kotak Mahindra Bank, UltraTech Cement, Tata Motors, ICICI Bank, Infosys, Maruti and Sun Pharma were among the biggest laggards.

Zomato, Tata Steel, NTPC and Larsen & Toubro were among the gainers.

Foreign Institutional Investors (FIIs) offloaded equities worth Rs 3,311.55 crore on Thursday, according to exchange data.

In Asian markets, Seoul and Tokyo were trading lower while Shanghai and Hong Kong quoted in the positive territory.

US markets ended lower on Thursday.

"In the context of Trump’s tariff threats the market is negatively responding to potential tariff targets like autos and pharmaceuticals and looking for opportunities in domestic consumption plays which will not be impacted by tariff threats. The FII selling in India is likely to continue, particularly in the context of renewed interest in Chinese stocks which are cheap and are staging a smart recovery. FII selling will continue to put pressure on largecaps," V K Vijayakumar, Chief Investment Strategist, Geojit Financial Services, said.

Global oil benchmark Brent crude dipped 0.04 per cent to USD 76.45 a barrel.

"Market concerns include Wall Street's overnight drop, looming Trump tariffs disrupting trade, persistent US inflation, and a cautious Fed approach on rate cuts," Prashanth Tapse, Senior VP (Research), Mehta Equities Ltd, said.

The Sensex dropped 203.22 points or 0.27 per cent to settle at 75,735.96 on Thursday. The Nifty dipped 19.75 points or 0.09 per cent to 22,913.15. PTI SUM DR

Source: PTI