sensex down today: ET Market Watch: Sensex down over 800 points. Key factors in today’s sell-off
1) Middle East conflict
Iran launched a drone missile attack on Israel on Saturday night. This was in response to the Israeli attack on the consulate in Damascus on April 1, which is believed to have killed seven Iranian Revolutionary Guard members, including two generals.
This led to sharp declines in Sensex and Nifty on Monday.
2) Global market
Asian markets started the week on a cautious note.
Japan’s Nikkei index fell 0.9%, while Australia’s S&P/ASX 200 index fell 0.46%. Korea’s Rothschild Index fell 0.4%.
The Israeli shekel rose 1% and the pan-European STOXX 600 index rose 0.3%, led by defense stocks.
3) Rising government bond yields
U.S. Treasury yields remained near recent highs as traders lowered expectations about the speed and size of interest rate cuts by the Federal Reserve this year.
The benchmark 10-year yield rose 0.068% to 4.567%, and the 2-year yield remained in the 5% range, closing at 4.935%.
4) Rupee closing price lowest
The Indian rupee fell to its lowest close on record as heightened tensions in the Middle East weighed on Asian currencies.
The rupee closed at 83.4500 per US dollar.
5) Oil influence
Brent crude was down 1% at $89.46 a barrel, while U.S. West Texas Intermediate crude futures were down about 1.2% at $84.61 a barrel.
