Markets: Amid global uncertainties, Indian bourses fall over 1 %
Virendra Pandit
New Delhi: With no positive sentiments emerging in a fluctuating global scenario, Indian markets fell over 1 per cent on Friday with both benchmarks, Sensex and Nifty, losing significantly, the media reported.
In Friday’s sell-off, investors lost around Rs. 6 trillion, as the total market capitalisation of all BSE-listed companies slipped to Rs. 460 trillion, compared with the previous session’s all-India market capitalisation of Rs. 466.10 trillion.
Extending the losses of third consecutive sessions, Indian benchmark indices — the BSE Sensex and NSE Nifty — traded sharply lower on Friday with a negative bias in on Friday, as persistent global and geopolitical concerns weighed on investor sentiment.
While Sensex fell 982.71 points (minus 1.27 percent) to close at 76681.29, Nifty lost 275.10 points (minus 1.14 percent) to close at 23897.95.
Analysts attributed the cautious mood to ongoing tensions in West Asia, crude oil prices hovering above USD 100 per barrel, and stalled US–Iran negotiations, all of which continue to keep markets on edge.
Global cues remained mixed, with US equities reversing early gains amid weakness in technology stocks, while Asian markets also traded under pressure.
Back home, sentiment stayed fragile as foreign institutional investors (FIIs) remained cautious due to valuation concerns and currency volatility. However, defensive pockets such as FMCG and pharma showed relative resilience.
Markets are likely to remain range-bound in the near term, with direction hinging largely on geopolitical developments and crude price trends.
On the sectoral front, all indices were trading in red. The Nifty IT was the top laggard, down nearly 5 per cent, followed by Nifty Metal, Pharma, Realty, Healthcare, and Consumer Durables falling over 1 per cent each. Among others, Nifty Auto, Bank, Financial Services, FMCG, Oil & Gas, and Chemicals slipped up to 1 per cent.
In the broader markets, Nifty Midcap 100 and Nifty Smallcap 100 were down by 1.35 per cent each.
However, the IDBI Bank shares jumped 8 per cent after officials said that its disinvestment process will continue.
Meanwhile, India VIX rose to 19.32 levels, up by nearly 4 per cent, indicating heightened volatility and caution in the near term.
IT stocks came under sharp selling pressure, with the Nifty IT index falling nearly 4 per cent as heavyweights like LTIMindtree, Infosys, Coforge and Mphasis dropped up to 6 per cent. Weak guidance from Infosys, concerns over AI-led disruption, and persistent global uncertainty weighed on sentiment, making the sector the top drag on markets.
Brent crude is trading near the USD 106 per barrel level, supported by persistent supply concerns amid escalating US–Iran tensions around the Strait of Hormuz.
Investors are cautious amid the lack of clear progress toward a peace deal between Washington and Tehran. Despite the ceasefire, tensions remain.
According to reports, US President Donald Trump on Thursday directed the military to “shoot and kill” Iranian boats laying mines in the Strait of Hormuz.
Meanwhile, Iranian President Masoud Pezeshkian said his country remains united against external aggression and warned that any aggressor would face consequences.
