Benchmark equity indices ended sharply lower on Monday, dragged down by losses in FMCG, PSU banking, auto and realty stocks, even as investors monitored developments surrounding a potential diplomatic breakthrough between the United States and Iran.
The Nifty settled at 23,382.60, declining 165.15 points, or 0.7 per cent, while the Sensex fell 508.40 points, or 0.68 per cent, to close at 74,267.34.
Commenting on Nifty technical outlook, experts said that the 23,500 level is likely to act as immediate resistance after the breakdown, followed by a stronger resistance zone near 23,600–23,750.
“on the downside, the breakdown below 23,500 has weakened the near-term structure and opened the possibility of further downside toward the 23,300–23,250 support zone, which now becomes the next important area to watch,” an analyst stated.
Selling pressure was visible across broader markets as well, with Nifty Midcap 100 dropped 1.45 per cent and Nifty Smallcap ended 0.88 per cent lower.
Among the Nifty constituents, Hindustan Unilever, Shriram Finance and Tata Consumer Products emerged as the biggest losers.
Other major laggards included ITC and NTPC, contributing to the weakness in frontline indices.
Tech Mahindra, Infosys, TCS and HCl Tech was among the top gainer on Sensex stocks. On the downside, Hindustan Unilever, ITC, NTPC, Mahindra and Mahindra, Kotak Mahindra Bank and Bajaj Finance dropped up to 2.83 per cent.
Sectorally, the Nifty FMCG index was the worst performer of the day, followed by the Nifty PSU Bank, Auto and Realty gauges.
In contrast, the Nifty IT, Metal and Media indices outperformed the broader market and helped limit losses.
Market participants remained focused on global developments after US President Donald Trump indicated that Washington was pursuing a deal with Iran aimed at ensuring Tehran never acquires nuclear weapons.
“Looking ahead, upcoming RBI policy decisions and GDP data releases will be key domestic triggers to monitor for further direction,” a market expert mentioned.
(IANS Inputs)
