Benchmark equity indices closed lower on Monday, with the Sensex dropping 443 points to 77,708.52 and the Nifty falling 96 points to 24,238.50. Market experts highlighted the 24,300–24,400 zone as a key resistance level for the Nifty, emphasizing the significance of the 200-day Exponential Moving Average in this range. Analysts suggested that breaching this zone could strengthen bullish momentum, potentially leading to an advance towards the 24,500–24,600 region.
Selling pressure primarily impacted banking and financial stocks, with Axis Bank, HDFC Bank, and Maruti Suzuki India emerging as top losers on the Nifty index. Despite the decline in benchmark indices, the broader market outperformed, as reflected in the Nifty MidCap index gaining 0.6% and the Nifty SmallCap index ending 0.16% higher. Sectoral indices such as Nifty Private Bank and Nifty Financial Services experienced notable declines, while Nifty Pharma and Nifty PSU Bank indices closed with gains.
Market participants maintained caution amid escalating tensions between the US and Iran, with geopolitical uncertainties dampening investor sentiment. The conflict between the two nations extended into a ninth day, with a focus on the Strait of Hormuz intensifying, according to market experts.
