Equity benchmarks close week in red on weak global cues

New Delhi, May 6 (IANS) Continuing with the opening session losses, Indian equity benchmarks settled sharply lower on Friday, in line with the weakness in global markets.

Asian stocks fell over concerns that the US central bank and some other major central banks will have to raise interest rates even more aggressively to check inflation.

In India, the benchmark Sensex fell 866 points, or 1.6 per cent, to close the day at 54,836, and Nifty declined 271 points, or 1.6 per cent, to 16,411 points.

Among sectors, IT, metal, and realty indices fell 2-3 per cent.

“Markets managed to rebound amid the weak global setup which shows that bulls are not in the mood to surrender easily,” said Ajit Mishra, VP, Research, Religare Broking.

However, the real test would be to handle the volatility post the US Fed meeting, he said.

Meanwhile, the domestic factors like earnings and macroeconomic data would further add to the choppiness and it’s prudent to limit positions and continue with stock-specific trading approach.