Benchmark stock market indices closed lower on a volatile trading day, with Dalal Street experiencing extended losses. The IT and banking sectors were the main underperformers.
The S&P BSE Sensex concluded at 84,391.27, down by 275.01 points, while the NSE Nifty50 ended at 25,758.00, marking a decline of 81.65 points.
Vinod Nair, Head of Research at Geojit Investments Limited, highlighted that global equity markets faced ongoing volatility due to the rise in Japanese bond yields and signs of monetary tightening by the BOJ. These factors have led to a risk-off sentiment in emerging markets.
Nair stated, “Attention now turns to the upcoming U.S. Fed meeting, where a 25-bps rate cut is widely anticipated. However, internal disagreements and mixed economic indicators may moderate expectations for additional rate cuts in 2026. Indian markets mirrored global caution, impacted by continued FII outflows, INR depreciation, and uncertainty surrounding U.S.–India trade talks despite ongoing dialogues.”
Tata Steel emerged as the top gainer, rising by 1.00%, followed by Sun Pharmaceutical Industries, which saw a 0.75% increase. Other gainers included ITC at 0.56%, NTPC at 0.48%, and Reliance Industries at 0.43%, providing some support to the index.
On the downside, selling pressure was pronounced, with Eternal being the biggest loser, dropping by 2.86%. Trent fell by 1.66%, Bharti Airtel slipped by 1.10%, Infosys declined by 0.92%, and UltraTech Cement decreased by 0.83%, reflecting the cautious sentiment and significant declines in several heavyweight stocks by the session’s close.
Rupak De, Senior Technical Analyst at LKP Securities, noted that bearish sentiment persisted as the Nifty revisited the previous day’s low, reinforcing a negative bias.
De added, “The index found support near the 50 EMA once again. The RSI on the daily timeframe moved out of its recent consolidation phase. Additionally, the index broke below the 50 percent retracement level of the prior rise from 25,318 to 26,325, indicating weakness. In the short term, the index is expected to remain under pressure, with immediate support at 25,700. A clear breakdown below this level could trigger a correction towards 25,610 and 25,530. Resistance levels are seen at 25,870 and 25,960-26,000.”
(Note: The opinions and views expressed by experts/brokerages in this article are their own and should not be considered as the views of the India Today Group. It is recommended to consult a qualified broker or financial advisor before making any investment decisions.)