Indian equity benchmarks faced a fifth consecutive session of losses on Friday, the longest since January, as worries about inflation and growth persisted alongside high crude oil prices. The Sensex dropped by 332 points to close at 76,059.77, while the Nifty fell by 102.15 points to settle at 23,767.45. Analysts noted that the immediate resistance for Nifty is at 23,800–24,000, with a need for sustained movement above this level to improve the near-term outlook.
The 23,700–23,600 zone has emerged as immediate support, according to market experts, cushioning the recent decline. Notably, Eternal, Bajaj Finance, and Mahindra & Mahindra were among the biggest losers among Nifty constituents, impacting the benchmark index. The broader market exhibited a mixed trend, with the Nifty Midcap 100 index showing a marginal gain of 0.10% and the Nifty Smallcap 100 index advancing by 0.32%.
Sectoral performance varied, with the Nifty Auto index being the worst-performing sector, declining by 1.1%. Realty and pharma stocks faced pressure, while the Nifty Media and Nifty IT indices outperformed, offering some support amidst the overall weakness. Market sentiment remained cautious as investors evaluated the potential impact of high oil prices on inflation and economic growth, leading to subdued trading.
Analysts highlighted that the ongoing losses over five sessions indicate a prevailing risk-off sentiment in the market, with investors awaiting new cues. The market is likely to face pressure in the near term due to sustained high oil prices, which could negatively affect key macroeconomic indicators and growth dynamics, as per analysts.
