Sensex, Nifty end lower as auto stocks drive market correction

The S&P BSE Sensex was down 494.75 points to close at 81,006.61, while the NSE Nifty50 lost 221.45 points to end at 24,749.85.  

Benchmark stock market indices closed in red on Thursday dragged by a decline in stocks of major auto companies.

The S&P BSE Sensex was down 494.75 points to close at 81,006.61, while the NSE Nifty50 lost 221.45 points to end at 24,749.85.

Aditya Gaggar Director of Progressive Shares said that finally, the Index broke its range of 24,920-25,200.

"After a muted opening, Auto stocks led correction dragged the Index lower and in the second half of the trading session, another round of selling pulled the Index further lower to end the session at 24,749.85 with a loss of 221.45 points. Barring IT, all the other sectors ended the session in red with Realty and Auto being the major laggards. Broader markets underperformed the Frontline Index as Mid and Smallcaps tanked by 1.66% & 1.24% respectively. A bearish marubozu open candle on the daily chart depicts a strong domination of bears but the Index stands at a strong support level of 24,750 (tested on 9th September and 7th October). A break below the mentioned level will drag the Index towards 24,430; and in the case of a reversal, 24,950 will be considered as immediate support," he added.