Indian stock markets closed lower on Thursday due to significant selling pressure in major IT stocks, causing the benchmark indices to slip. Despite some gains in select banking and finance stocks, the overall sentiment was weak. The Sensex ended at 83,674.92, down 558.72 points, or 0.66%, while the Nifty settled at 25,807.2, a decrease of 146.65 points, or 0.57%, from the previous close.
“As long as Nifty trades below the 25,840–25,900 resistance band and remains within the downward sloping channel, the short-term bias stays negative, with immediate downside risk toward 25,750 and possible extension toward 25,700,” noted an analyst. Only a strong reclaim above 25,950 would neutralize the prevailing bearish structure, according to the expert’s analysis.
IT stocks were the primary drag on the market, with Tech Mahindra, Infosys, TCS, and HCL Tech experiencing significant selling pressure and ranking among the top losers on the BSE. Auto major Mahindra & Mahindra also closed in the red, while a few stocks managed to register gains despite the overall market weakness.
Bajaj Finance, ICICI Bank, Bharat Electronics (BEL), and Trent emerged as the top gainers, offering some support to the indices. The Nifty IT index was the worst performer of the day, plunging 5.51% as investors aggressively sold technology stocks. Realty stocks and the Nifty Realty index fell by 1.45%, while the Nifty Oil & Gas index declined by 1.19%.
Despite the negative trend, financial stocks showed relative strength, with the Nifty Financial Services index ending the day with a gain of 0.38%. The broader markets reflected the weak sentiment, with the Nifty MidCap index closing 0.47% lower and the Nifty SmallCap index slipping 0.64%. Analysts attributed the negative market close to sharp losses in IT heavyweights and weakness in broader market segments, leading to cautious investor sentiment.
