Indian stock market indices experienced a significant decline on Friday due to uncertainty surrounding a potential US-Iran agreement, leading to heavy selling towards the end of the trading day. The Sensex closed at 74,775.74, down by 1,092.06 points, while the Nifty settled at 23,547.75, marking a decline of 359.40 points.
During the trading session, the Nifty saw notable fluctuations, reaching an intraday high of 24,002.80 before dropping to a low of 23,484.75. Similarly, the Sensex rose to 76,220.02 but later fell to an intraday low of 74,589.11 as selling pressure intensified in the final hours.
Experts analyzing the Nifty’s technical outlook cautioned that a sustained drop below the 23,500 level could weaken the short-term structure, potentially pushing the index towards the 23,300–23,200 range if selling continues. They also noted that the 23,750–23,800 zone is likely to act as an immediate resistance area, with stronger resistance expected near the 24,000 mark.
In the broader market, the Nifty MidCap 100 index declined by 1.33%, and the Nifty SmallCap index slipped by 0.85%. Heavyweight stocks like Reliance Industries and ITC contributed to the downward trend, with shares falling by over 2.18% and 1.71%, respectively, offsetting gains in the technology sector.
Despite the overall market decline, IT stocks showed resilience, with the Nifty IT index recording a gain of more than 0.60%. Market participants favored technology stocks due to a surge in US tech stocks and the weakening Indian rupee, which is expected to benefit export-oriented IT firms by improving their margins.
Analysts highlighted the fragile market sentiment near higher resistance levels, attributing the widespread selling pressure to concerns raised by the IMD’s monsoon forecast of 90% of the long period average (LPA).
