Stock Market India: Sensex, Nifty end in the red in a volatile trading sessionIndian equity benchmarks reversed gains from earlier in the day to extend losses for the third straight session on Thursday, even as global equities rose for the third day and the dollar slipped after data showed US consumer confidence at an eight-month high.The hawkish tone from the minutes of the Reserve Bank of India’s (RBI) latest policy meeting also weighed on domestic equities.Both Indian benchmarks had stalled a two-day losing streak to rise sharply in early trade on Thursday but ended a volatile session in the red.The 30-share BSE Sensex index plunged 241.02 points, or 0.39 per cent, to close at 60,826.22, and the broader NSE Nifty-50 index declined 71.75 points, or 0.39 per cent, to end at 18,127.35.The rupee, though, rose slightly against a retreating dollar.A surge in crude prices hurt domestic equity markets as India imports over 85 per cent of its oil needs.The hawkish comments from the RBI’s December policy meeting minutes may also hurt domestic shares.A majority of the Monetary Policy Committee (MPC) members agreed that the RBI cannot “afford to prematurely pause its rate tightening cycle” with inflation remaining “unconscionably elevated.”Globally though, Wall Street stocks surged after data revealed that consumer confidence in the largest economy in the world hit an eight-month high in December.Asian stocks climbed, cheered by Wall Street’s gains, extending to other global risk assets.”Confidence returned to markets as Christmas came early in the form of an unexpected and broad-based surge in US consumer confidence,” Vishnu Varathan, Head of Economics and Strategy at Mizuho Bank, told Reuters.The Stoxx 600 equity index for Europe opened higher. US futures contracts climbed after Wednesday’s data showing US consumer sentiment at an eight-month high helped the underlying S&P 500 and the Nasdaq 100 index advance 1.5 per cent.”The resilience of the US economy thus continues to impress, and the probability is turned up a mini step for a soft landing,” Analysts at SEB in Stockholm told clients, noting recent selloffs had left global investors with plenty of “dry powder” to buy equities whenever opportunities arose, according to Bloomberg. They noted the S&P 500 had fallen almost 5 per cent this month, contrasting with an average 1.5 per cent December gain since 1950.But concerns remain that Japanese investors may decide to withdraw some of the trillions of dollars they have parked in foreign stocks and bonds, despite a global decline in yields on Treasuries and euro zone bonds.That might increase borrowing prices globally and slow down sluggish economic development.Featured Video Of The DaySnapdeal Calls Off IPO Plans As Tech Stocks Reel From Meltdown
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