Indian stock markets closed lower on Friday, capping a week marked by sustained selling from foreign institutional investors (FIIs). The BSE Sensex declined by 55.47 points (0.07%) to settle at 79,486.322, while the Nifty 50 declined 51.15 points (0.21%), closing at 24,148.20.

Among the sectoral indices, Public Sector Undertaking (PSU) Banks, Media, Realty, and Oil & Gas emerged as the biggest losers, according to NSE data.

FII outflows continued to impact the markets, as foreign investors sold Rs 94,017 crore worth of stocks in October, marking the highest monthly sell-off recorded to date, according to data from the National Securities Depository Limited. This shift ended a four-month period of net buying by FIIs. Early November has seen additional outflows of Rs 14,358 crore, intensifying concerns about market stability.

“Consolidation continued in the market as investors remained cautious due to disappointing earnings and the ongoing flight of FPIs. The US Fed has continued its rate-cutting cycle to stimulate the economy, and a similar 25-bps rate cut is expected in the December policy meeting amid moderating inflation,” said Vinod Nair, Head of Research at Geojit Financial Services.

“In India, however, inflation is expected to have risen in October, and the strengthening USD would likely prompt the RBI to hold rates in the near term,” Nair added.

The rupee also reached a new low, declining by 5 paise to close at 84.37 against the dollar. Vishnu Kant Upadhyay, AVP of Research and Advisory at Master Capital Services Ltd, attributed the rupee’s decline to a strong dollar index and sustained FII outflows.

Meanwhile, the State Bank of India (SBI) reported a strong performance for the July-September quarter, with net profit rising 27.92 percent to Rs 18,331 crore. For the first half of the fiscal year, the bank’s combined net profit grew 13.30 percent to Rs 36,367 crore. (ANI)