Stock Market: The Indian stock market witnessed a sharp decline on Friday, and the major market indices witnessed a negative trend. Weak global cues and the fall in the rupee affected the morale of investors. The BSE Sensex closed down 720.60 points (0.90%) at 79,223.11, while the Nifty also fell 183.90 points (0.76%) to 24,004.75.

IT and banking shares became the reason for the decline

Among the major Sensex companies, HDFC Bank, ICICI Bank, Tech Mahindra and TCS saw a huge decline in their shares. Selling in these two sectors-IT and banking-caused the most damage to the market. The continuous decline in these shares dented investor confidence and the market came under pressure.

Some companies took control of the situation

However, some companies maintained a slight balance in the market. Shares of Tata Motors, Nestle, Titan and Reliance Industries saw a rise. These companies were trying to give positive signals to the market, but could not withstand the selling pressure.

Mixed trend in global markets

The trend of global markets was also mixed. South Korea's Kospi and Hong Kong's Hangseng registered gains, while China's Shanghai Composite closed with a decline. Japan's markets were closed due to New Year holidays, and European markets also saw a decline.

Concerns increased due to weakness of rupee

The value of rupee against the dollar fell by three paise to 85.78 on Friday, which is its lowest level ever. The weakness of the rupee affected the interest of foreign investors. However, on Thursday, foreign institutional investors bought shares worth Rs 1,506.75 crore, which brought some relief to the market.

Hope for reduction in oil prices

The price of global oil benchmark Brent crude fell by 0.43% to $75.60 per barrel. This decline can be a matter of relief for the Indian economy, because inflation can be controlled by the fall in oil prices.

Investors eye quarterly results

Analysts believe that investors sold to reduce risk before the quarterly results round begins next week. This is why the downward pressure in the market increased.

Thursday's rally had no effect

A tremendous rally was seen in the last session, in which the Sensex jumped 1,436.30 points and the Nifty rose 445.75 points. But Friday's fall proved this rally to be temporary.