Live: Nifty, Sensex fall 2% this week; All eyes on Aug US CPI data | Closing Bell

Core Development: Live: Nifty, Sensex fall 2% this week; All eyes on Aug US CPI data | Closing Bell

Market & Financial Impact: The Nifty is set for its fifth straight weekly fall, with the Sensex down around 100 points and the Nifty trading below 23,400. Market breadth remained weak, while the India VIX jumped 4%, signalling heightened volatility. The Realty index emerged as the worst-performing sector, while metal and auto stocks remained under pressure. India’s 10-year bond yield crossed the 7% mark, touching a three-month high. Among Nifty 50 stocks, DRL, HCL Tech and Tech Mahindra were the top gainers, while JSW Steel, Hindalco and Tata Steel were among the biggest losers. US futures edged higher ahead of the August CPI data, even as the Dow is set for a 2.5% weekly decline and the Nasdaq is down around 2% for the week. The US 10-year Treasury yield climbed to its highest level since October 2023. Asian markets remained weak, with the Nikkei, Kospi and Hang Seng declining 0.6-2%. All eyes are now on the US CPI data, with estimates pointing to a 0.4% month-on-month rise. Oil prices are set to end the week above $100 a barrel for the first time in four months, with Brent crude cooling to around $106 after touching $109. Meanwhile, Houthi rebels have seized control of Yemen’s Port of Mocha, while Gulf shipping traffic faces restrictions following tanker attacks, adding to concerns over global oil supplies.

Actionable Insight: 🔴 Bearish Risk: Regulatory scrutiny, profit decline, or sell-off risk may create near-term volatility.