Indian equities started the trading week under pressure, ending Monday sharply lower as weak international cues overshadowed domestic resilience. Fueled by ongoing West Asia strife and failed US-Iran negotiations, benchmark indices recorded their biggest single-day drop in weeks.
BSE Sensex closed at 76,847.57, down 702.68 points or 0.91%. NSE Nifty50 mirrored the slide, settling 207.95 points or 0.86% lower at 23,842.65. Intraday lows were brutal: Sensex hit 75,868.32 (down 2.1%), and Nifty touched 23,555.60 (down 2%).
Mid and small-cap indices offered little relief, with Nifty Midcap 100 off 0.57% and Smallcap 100 down 0.46%. Across sectors, autos bore the brunt at -2.09%, trailed by FMCG (-1.29%) and IT (-1.16%). PSU banks (-0.73%), regular banks (-0.55%), financial services (-0.63%), media (-0.35%), pharma (-0.29%), and metals (-0.22%) all posted declines.
Top losers in Nifty50 included Eicher Motors, Maruti Suzuki, Bajaj Finance, Reliance Industries, IndiGo, Jio Financial, HDFC Bank, TCS, and Shriram Finance, shedding up to 5%. Gains were spotted in HDFC Life, Adani Enterprises, ICICI Bank, NTPC, TMPV, Coal India, and ONGC.
The catalyst? Weekend talks in Islamabad between the US and Iran yielded no breakthrough, jeopardizing a tenuous ceasefire. Crude oil prices spiked, stoking inflation fears and margin squeezes for Indian firms already grappling with a softer rupee and geopolitical jitters.
Analysts warn of a pivot to risk-off mode. ‘Volatility is spiking across sectors, signaling macro concerns are front and center,’ observed a strategist. From a technical standpoint, Nifty gapped down near 23,500 support, clawed back to 23,900 resistance, but couldn’t sustain, inviting fresh selling.
Key levels: Resistance at 23,900-24,000; support at 23,500-23,600. A breach below could target 23,300/23,000. RSI around 52 hints at neutral-to-bullish momentum with dip buying, but bulls need 24,000 closure for conviction.
With markets closed Tuesday for Ambedkar Jayanti, Wednesday’s open will be pivotal, driven by oil dynamics, regional stability, and quarterly results. Expect range-bound action until clarity emerges.
