India’s benchmark indices opened in the red on Monday, as investor sentiment remained subdued, leading to broad-based selling across sectors including auto, IT, PSU banks, financial services, FMCG, media, energy, and metals in early trade.
The Sensex dropped 175.82 points, or 0.22 percent, to 78,523.25, while the Nifty fell by 55.20 points, or 0.23 percent, to 23,758.20, as of 9:30 am. Market breadth was negative, with 1,454 stocks trading lower, and 815 stocks gaining on the NSE.
The Nifty Bank index was down 74.80 points, or 0.15 percent, at 51,236.50. The Nifty Midcap 100 index fell by 182.90 points, or 0.32 percent, to 56,796.90, while the Nifty Smallcap 100 index dropped 82.10 points, or 0.44 percent, to 18,673.75.
Sector-wise, buying was seen only in the pharma and healthcare sectors.
Top laggards included Tata Steel, M&M, HCL Tech, Tech Mahindra, Maruti Suzuki, Bajaj Finserv, Titan, Kotak Mahindra Bank, and Reliance, while Adani Ports, Bharti Airtel, ITC, Zomato, Nestle India, ICICI Bank, NTPC, and UltraTech Cement were among the top gainers.
Market experts attributed the weak sentiment to the lack of strong buying, dampening hopes of a year-end rally. Analysts expect markets to remain under pressure, with any sharp movement likely only after policy announcements from Donald Trump in his second term.
Ajay Bagga, a banking and market expert, said, “It looks like a dull week ahead for Indian markets, with the so-called Santa Claus rally failing to materialize. Asian markets are soft, following a slight tech-led dip in US markets on Friday. As Trump takes office on January 20, all eyes will be on his early executive orders. With Trump, every statement seems geared toward creating space for negotiation. At the moment, the outlook is not favorable for global or Indian markets.”
Sunil Gurjar, research analyst and founder of Alphamojo Financial Services, added, “The Nifty 50 is trading around a strong resistance level at 23,800. As we move into 2025, this key level is critical to watch. Resistance levels at 24,650 and 25,300 could trigger a bullish rally if broken. On the downside, 23,300 is a crucial support level, and a breakdown below it could signal a strong downtrend.”
In broader Asian markets, Japan’s Nikkei 225, Hong Kong’s Hang Seng, and Taiwan’s Weighted Index were down at the time of reporting, while South Korea’s KOSPI was marginally higher.
(with inputs from agencies)