The Indian benchmark indices experienced a sell-off, with Sensex and Nifty falling by nearly half a per cent on Friday. This decline came after a two-day rally, as market sentiment turned cautious, leading to a pullback in stock prices following a period of upward movement.
The indices experienced significant volatility throughout the day, with the BSE benchmark Sensex dropping 304.89 points, or 0.40 per cent, to close at 76,215.49. Similarly, the broader Nifty index fell below the crucial 23,100 mark, settling at 23,092.20, down 113.15 points, or 0.49 per cent. It also hit an intraday low of 23,050 as market volatility rattled investors.
HUL, Tech M, Nestle, ICICI Bank and Infosys were among the top Nifty gainers in today's trading session, while, M&M, Zomato, Tata Motors, IndusInd Bank and Reliance Industries were among the top losers on the Nifty.
Broader Market
While the IT and FMCG sectors remained in positive territory, the broader market came under significant pressure on Friday. The Nifty Smallcap 100 dropped by 2.63 per cent, while the Nifty Midcap 100 fell by up to 1.8 per cent, wiping out a significant portion of the gains made in previous sessions.
Market analysts attributed the sell-off in the broader indices to increased volatility, concerns over upcoming quarterly earnings, and continued selling by foreign institutional investors (FIIs), all of which contributed to the downward movement.
Sectorial Update
The Nifty IT index closed in the green for the third consecutive session, driven by strong performances from stocks like MphasiS, Wipro, and Persistent Systems, which rose by as much as 4 per cent. Analysts credited the rally to robust quarterly earnings and appealing valuations in the tech sector, which have continued to attract investor interest.
The FMCG index also performed well, supported by gains in stocks like Hindustan Unilever, Britannia Industries, and Tata Consumer Products, which collectively rose by more than 2 per cent.