Indian equity benchmarks extended losses for a second straight session on Friday, with banking and financial stocks leading the decline amid continued concerns over the Middle East conflict and elevated crude oil prices.
The Sensex closed 516 points, or 0.66 percent, lower at 77,328.19, while the Nifty 50 settled at 24,176.15, down 151 points, or 0.62 percent.
However, broader markets showed resilience. The BSE Midcap index slipped marginally by 0.05 percent, while the BSE Smallcap index edged up 0.15 percent. The overall market capitalisation of BSE-listed firms remained largely steady at ₹473 lakh-crore.
Sensex fell 516 points to close at 77,328.19
Nifty 50 declined 151 points to settle at 24,176.15
SBI shares plunged nearly 7 percent after Q4 results
PSU Bank index crashed over 3 percent
IT and consumer durable stocks bucked the weak trend
Brent crude remained near the $100-per-barrel mark
Rupee weakened to 94.47 against the US dollar
Banking and financial counters emerged as the biggest laggards of the session.
SBI shares tumbled nearly 7 percent after the bank’s March-quarter results showed pressure on net interest margins. HDFC Bank, ICICI Bank and Axis Bank also weighed heavily on the benchmarks.
Sectoral performance remained weak across financial stocks:
Nifty PSU Bank index fell 3.06 percent
Bank Nifty declined 1.31 percent
Nifty Financial Services index slipped 1.66 percent
Nifty Private Bank index lost 0.82 percent
Nifty Metal index dropped 0.87 percent
Despite the broader market weakness, select sectors attracted buying interest.
Nifty IT index rose 1.21 percent
Consumer Durables index gained 0.69 percent
Midcap and smallcap stocks continued to show resilience
Analysts said investors continued to selectively accumulate stocks where valuations remained attractive, particularly in the broader market segment.
Market sentiment remained fragile due to uncertainty surrounding the Middle East conflict and rising crude oil prices.
Ajit Mishra, SVP-Research at Religare Broking, said the latest spike in crude oil prices following renewed military exchanges between the US and Iran dampened hopes of a near-term peace agreement.
Other factors that affected sentiment included:
Brent crude hovering near $100 per barrel
Weakness in the Indian rupee
Cautious institutional positioning ahead of the weekend
Mixed reactions to corporate earnings
The rupee weakened by 25 paise to close at 94.47 against the US dollar.
Vinod Nair, Head of Research at Geojit Investments, said markets witnessed a risk-off session following fresh military developments near the Strait of Hormuz.
Analysts expect the 24,000 level to remain a crucial support zone for the Nifty in the near term.
Immediate support: 24,000-23,950
Next downside targets: 23,800 and 23,650
Immediate resistance: 24,330-24,350
Recovery zone: 24,350-24,400
According to technical analysts, a sustained move below 24,000 could trigger further correction, while a recovery above 24,200 may support a short-term rebound.