Stories
Small and Mid-Cap Indices Crash Up to 2.5 Percent Amid Heavy Selling
- •The Nifty Smallcap 100 dropped 2.34 percent while the Nifty Midcap 100 declined 2.53 percent in a broad-based equity market correction.
- •Stocks like Inox Wind, Amber Enterprises, Ola Electric Mobility, One 97 Communications, and Jubilant FoodWorks led the losses.
- •Analysts recommend staying selective, focusing on fundamentally strong companies, and waiting for attractive valuations before making fresh investments.
- •Benchmark indices also suffered, with the Sensex slumping to its lowest level in 32 months due to surging oil prices, rising global bond yields, and a weaker rupee.
Key Questions Answered
The broader equity market experienced heavy selling pressure as investors turned cautious amid a broad-based correction, driven largely by broad-based FII selling, market reactions to repo-rate expectations, surging oil prices, rising global bond yields, a weaker rupee, and the central bank's hawkish rate increase.
In the Nifty Smallcap 100 index, Inox Wind fell 7 percent to emerge as the top loser, while Amber Enterprises India and Ola Electric Mobility declined up to 5 percent. In the Nifty Midcap 100 segment, One 97 Communications and Jubilant FoodWorks dropped up to 7 percent.
The 18,800-19,000 zone has emerged as a crucial support area for the Nifty Smallcap 100 index following the correction. On the upside, 19,600 remains the immediate resistance level, and a decisive breakout above it could improve momentum and trigger further gains.
