Indian stock markets ended on a mixed note on June 10, giving up most of their intraday gains as investors turned cautious amid escalating tensions in the Middle East and ahead of a crucial US inflation reading. While the Sensex managed to close marginally higher, the Nifty slipped into negative territory, reflecting weak broader market sentiment.
Concerns over fresh hostilities between the US and Iran, coupled with rising crude oil prices, prompted profit booking in the latter half of the session. Banking and FMCG stocks provided support, but losses in metals, oil and gas, and broader market segments dragged overall sentiment lower.
Sensex closed at 73,983, up 64 points or 0.09 percent
Nifty 50 ended at 23,215, down 27 points or 0.12 percent
The Sensex finished nearly 625 points below its intraday high
Investors remained cautious as global markets reacted to renewed geopolitical tensions in the Middle East. Iran reportedly launched missile and drone attacks on US military installations in the region following American strikes on Iranian targets near the Strait of Hormuz.
The developments pushed crude oil prices higher, raising concerns for India, which relies heavily on energy imports.
Market participants were also awaiting key US inflation data, which could influence the US Federal Reserve's interest rate decisions in the coming months.
Defensive stocks helped limit losses. Top gainers in the Nifty 50 included:
Nestle India (+1.95 percent)
Hindustan Unilever (+1.85 percent)
Axis Bank
Kotak Mahindra Bank
ICICI Bank
HDFC Bank
FMCG stocks gained on expectations of price increases by major consumer goods companies. Private sector banks advanced after the Reserve Bank of India's recent measures easing FCNR(B) deposit and external commercial borrowing norms.
Among the major losers:
Hindalco (-3.4 percent)
Coal India (-3.3 percent)
ONGC
Eternal
SBI Life Insurance
Weakness in metals and commodity-linked counters weighed on the market.
The broader market saw sharper declines than the benchmark indices.
Nifty Midcap 100 fell 1.49 percent
Nifty Smallcap 100 declined 1.33 percent
The correction suggests investors were reducing exposure to riskier segments amid global uncertainty.
Gainers
Nifty FMCG (+1 percent)
Nifty Private Bank
Nifty Financial Services
Losers
Nifty Media (-2.36 percent)
Nifty PSU Bank
Nifty Metal
Nifty Realty
Nifty Consumer Durables
Nifty Oil & Gas
Most sector indices ended lower, indicating a broad-based weakening of market sentiment despite gains in a few defensive pockets.
Market direction in the near term is likely to depend on developments in the Middle East, movements in crude oil prices and upcoming US inflation data. Any sharp rise in oil prices could increase pressure on Indian equities, while easing geopolitical tensions may help restore investor confidence.
