MARKET CLOSING UPDATES: On Wednesday, the benchmark Sensex lost 224 points, ending a four-session winning streak. This fall was mostly caused by a sell-off in IT and pharmaceutical stocks amid growing worries about potential aggressive interest rate hikes to control soaring inflation.

At the intraday session, the 30-share index gained more than 1,200 points from the lows in the early going before bouncing back to finish at 60,346.97 points, a total loss of 224.11 points or 0.37 percent from Tuesday's closing level.
The broader NSE Nifty ended the day at 18,003.75 points, down 66.30 points or 0.37 percent.

As the U.S. Federal Reserve is expected to proceed with aggressive rate hikes, there are now worries that the higher-than-expected inflation recorded in the U.S. in August may cause the global markets to decline.

Following significant losses in U.S. markets, the Sensex had fallen 1,150 points to a low of 59,417.12 points and the Nifty had fallen to a low of 17,771.15 points in early trade on Wednesday.

Advances in the banking sector contributed to the indices' recovery from their early lows, but losses in the IT, energy, and pharmaceutical sectors curbed those gains.

Of the Sensex scrips, Infosys experienced the most decline, down 4.53 percent. Among the biggest losers were TCS, Tech Mahindra, HCL Tech, L&T, Wipro, and Reliance. PowerGrid, NTPC, SBI, Kotak Bank, IndusInd, and the HDFC Finance, HDC bank all made gains.

Domestically, the wholesale price-based inflation decreased to 12.41 percent in August for the third consecutive month due to a decline in the cost of manufactured goods. However, August marked the 17th month in a row with double-digit price inflation for wholesale goods.

International Markets: Following overnight losses on Wall Street, global stock markets also fell as concerns about rate hikes were stoked by higher-than-expected inflation. While Asian markets saw more significant losses, European indexes were slightly lower. Instead of slowing to the experts' predicted 8.1 percent in August, U.S. inflation only slowed to 8.3 percent.  The DAX in Germany fell by 0.2 percent, the CAC 40 in France fell by 0.3 percent, and the FTSE 10 in the UK fell by 0.7 percent.

The benchmark Nikkei 225 index in Tokyo plummeted 2.8 percent, the Hang Seng index in Hong Kong dropped 2.3 percent, and the Shanghai Composite index slid 0.8 percent.

Rupee Versus Dollar: On Wednesday, the rupee lost 30 paise to close at 79.47 (provisional) against the dollar as investors' perception of risk decreased as a result of a higher-than-anticipated U.S. CPI reading.

The local currency's opening rate on the interbank foreign exchange market was 79.58 per dollar. It lingered between 79.38 and 79.60 during the session.

According to statistics available with the BSE, foreign institutional investors invested USD 1,956.98 crore in domestic shares on Tuesday.

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