Sensex ends flat as war weighs on sentiment; broader market under pressure

Indian equity benchmarks ended almost unchanged on Thursday as escalating tensions in West Asia and weak global cues kept investors cautious. While the benchmark indices held steady, selling in mid cap and small cap stocks reflected a risk-off mood. Elevated crude oil prices and uncertainty over the US-Iran conflict also dampened market sentiment.

Market at close

• Sensex edged up just 1 point to close at 77,186.87.

• Nifty 50 slipped 6 points to end at 24,072.75.

• Nifty Midcap 100 declined 0.41 percent.

• Nifty Smallcap 100 fell 0.10 percent.

What weighed on market?

• Profit booking erased early gains during the second half of the session.

• Escalating US-Iran tensions and continued military action in the Middle East kept global investors on edge.

• Brent crude remained close to $85 a barrel, raising concerns over inflation and higher interest rates.

• Major European indices, including the FTSE, DAX and CAC 40, traded lower during Indian market hours.

• The rupee weakened by 11 paise to close at ₹96.36 against the US dollar.

Stocks that supported market

Buying in a few heavyweight stocks prevented a sharper fall.

Key gainers included:

• Bajaj Finance

• Mahindra & Mahindra

• ITC

• HCL Technologies

• InterGlobe Aviation (IndiGo)

• Wipro

Stocks that dragged indices

Major losers included:

• HDFC Bank

• Reliance Industries

• Eternal

• SBI Life Insurance

• Bajaj Finserv

Sector watch

Top-performing sectors:

• Consumer Durables: +1.48 percent

• Media: +1.18 percent

• IT: +0.67 percent

• Auto: +0.46 percent

• FMCG: +0.25 percent

Weakest sectors:

• Realty: -1.00 percent

• Financial Services: -0.51 percent

• Bank Nifty: -0.30 percent

What analysts expect

Market experts believe domestic fundamentals remain supportive, but global developments continue to dominate investor sentiment.

Key factors to watch:

• Corporate earnings and management commentary

• Progress of the southwest monsoon

• Crude oil prices

• Developments in the US-Iran conflict

• Global inflation and interest rate expectations

Technical outlook

• Nifty is expected to remain range-bound between 24,000 and 24,200.

• A sustained move above 24,200 could take the index towards 24,300-24,350.

• A break below 24,000 may trigger further selling.

• Immediate support lies in the 23,930-23,960 zone, followed by 23,800-23,750.