Benchmark indices Sensex and Nifty continued their downward trajectory in early trading on Friday, driven by a sell-off in metal stocks, foreign fund outflows, and weak global cues. By 10:46 AM, the BSE Sensex had dropped 1,079.44 points to 80,210.52, while the NSE Nifty fell by 330.55 points to 24,218.15.
Tata Steel, JSW Steel, IndusInd Bank, Axis Bank, Mahindra & Mahindra, Larsen & Toubro, State Bank of India, and Reliance Industries were among the major laggards in the Sensex index. Conversely, Bharti Airtel, Nestle, Adani Ports, and Hindustan Unilever saw positive movement.
Foreign Institutional Investors (FIIs) sold equities worth ₹3,560.01 crore on Thursday, according to stock exchange data, exacerbating the market decline.
Market experts noted that Indian equities were under pressure due to weak global trends and the looming uncertainty over the US Federal Reserve’s policy decisions. However, analysts remain optimistic that a rally could emerge in sectors like railways, defence, and other stocks as the budget approaches.
Ajay Bagga, a noted market expert, remarked, “Weak global cues are casting a shadow on Indian markets today. The repeated Chinese stimulus announcements have not had the expected impact, and this continues to weigh on investor sentiment. Indian markets are likely to remain in a consolidation phase until the Federal Reserve’s decision on rates is clear. After that, we could see a pre-budget rally, particularly in Railways, Defence, IT, Financials, and Industrials.”
Sector-wise, most indices on the NSE were in the red, with the Nifty Oil & Gas and Nifty Realty indices managing to post modest gains in the early session.
Out of the 50 stocks in the Nifty index, 14 advanced, while 36 declined. Eicher Motors, BPCL, Adani Enterprises, Nestle India, and ICICI Bank were among the top gainers, while Tata Steel, JSW Steel, and Hindalco led the losers.
Akshay Chinchalkar, Head of Research at Axis Securities, explained the technical outlook: “The index is hovering between the 50- and 100-day moving averages. Support is expected around the 24,430 level, with critical support zones extending from 24,360 to 24,445. Immediate support at 24,500 is crucial for bulls to protect, especially on a closing basis.”
In other Asian markets, Japan’s Nikkei 225 slipped by 1.24%, Hong Kong’s Hang Seng lost 1.46%, while Taiwan’s Weighted Index saw a slight uptick of 0.18%. South Korea’s market remained positive, reflecting mixed trends across the region.