Indian equity benchmarks closed in negative territory on Monday due to weakness in auto, information technology, and public sector banking stocks, which impacted investor sentiment. The Sensex dropped 372.10 points to 76,728.37, while the Nifty fell 109.75 points to 23,946.25. Market experts highlighted that the 24,000 level is a key resistance for the Nifty, with immediate support at 23,900.
Investor sentiment was subdued amidst concerns over rising tensions in West Asia, leading to a cautious approach by market participants. Notably, automobile, IT, and PSU banking stocks faced selling pressure, contributing to the decline in benchmark indices. Mahindra & Mahindra and Tata Motors Passenger Vehicles were among the major losers in the Nifty index.
The broader markets also closed in the red, reflecting an overall cautious sentiment. The Nifty MidCap index slipped by 0.37%, while the Nifty SmallCap index declined by 0.62%. In terms of sectors, pharmaceutical stocks performed well, with the Nifty Pharma index showing strong gains. On the other hand, the Nifty Auto, Nifty Chemical, and Nifty Oil and Gas indices underperformed.
Market experts anticipate that developments in West Asia and other global cues will be closely watched by investors in the upcoming sessions. Profit booking near key psychological levels persisted as investors remained wary about the sustainability of the interim US–Iran peace agreement.
