Stock Market Ends In The Red: Sensex Dips 116 Points; Nifty Around 17,300. Metals Lead

Stock update: On the 30-share Sensex platform, JSW Steel, Tata Steel, HCL Tech, Axis Bank, M&M, Power Grid were among the gainers

The two key equity benchmarks, Sensex and Nifty, on Monday extended their loss as investors chose to stay on the sidelines amid geopolitical conflict between Israel and Hamas. The S&P BSE Sensex closed at 66,167, down 116 points. On the other hand, the NSE Nifty50 settled at 19,732, down 19 points.

On the 30-share Sensex platform, JSW Steel, Tata Steel, HCL Tech, Axis Bank, M&M, Power Grid were among the gainers. On the downside, Nestle India, TCS, Asian Paints, IndusInd Bank, Sun Pharma, Airtel emerged losers.

In the broader markets, the BSE Midcap index rose 0.25 per cent and Smallcap index added 0.34 per cent.

On the sectoral front, Metal index went up 1.3 per cent, PSU Bank index up 0.7 per cent, and Auto index rose 0.4 per cent, while realty and healthcare indices ended in the red.

In the previous session on Friday, the BSE Sensex ended at 66,283, down 126 points, while the NSE Nifty50 settled at 19,751, down 43 points.

"Persistent geopolitical tensions continue to weigh down the sentiment on equity, yet the mid and smallcap index witnessed bargain hunting ahead of festival-driven demand and optimistic Q2 results. If oil price moves higher in a sustained manner, it may elevate yields and operation cost, potentially straining margins in H2 FY24," said Vinod Nair, Head of Research at Geojit Financial Services.

In Asian markets, Seoul, Tokyo, Shanghai, and Hong Kong ended lower. European markets were trading mostly in the negative territory. The US markets ended on a mixed note on Friday.

Global oil benchmark Brent crude declined 0.39 per cent to $90.54 a barrel.

Foreign Institutional Investors (FIIs) were buyers on Friday as they bought equities worth Rs 317.01 crore, according to exchange data.

Meanwhile, the rupee consolidated in a narrow range and settled for the day higher by 2 paise at 83.28 (provisional) against the US dollar on Monday. Forex traders said positive macroeconomic data supported the rupee, while geopolitical tensions, particularly the Israel-Hamas conflict, dented investor sentiments.

At the interbank foreign exchange market, the local unit opened at 83.25 against the US dollar and moved in a range of 83.24 to 83.28 in the day trade. The rupee finally settled 2 paise higher at 83.28 (provisional) against the previous close. On Friday, the rupee fell 6 paise to settle at 83.30 against the US dollar.