Equity benchmarks ended marginally lower on Thursday as caution prevailed in global markets amid rising geopolitical tensions and the US Federal Reserve’s policy stance. The Sensex slipped by 82.79 points, or 0.10%, to close at 81,361.87, while the Nifty declined by 18.80 points, or 0.08%, to settle at 24,793.25.
The market mood remained subdued as tensions between Iran and Israel escalated, crude oil prices stayed volatile, and global investors reacted to the Fed’s decision to hold interest rates steady between 4.25% and 4.5%.
“The equity index witnessed rangebound trading with a negative bias due to global uncertainty, particularly over possible US involvement in the Middle-East conflict,” said Vinod Nair, Head of Research at Geojit Financial Services. He added that the Fed’s hawkish tone, pointing to persistent inflation and slower growth, also weighed on sentiment, especially for software exporters.
On the Sensex, Bajaj Finance, Tech Mahindra, IndusInd Bank, and Nestle India were among the top losers, shedding between 1.28% and 2.50%. In contrast, Mahindra & Mahindra, Titan, Maruti Suzuki, Bharti Airtel, and Larsen & Toubro posted gains of up to 1.57%.
The broader market bore the brunt of the selling pressure. The Nifty Midcap100 index dropped by 1.63%, and the Nifty Smallcap100 fell 1.99%, reflecting investor risk aversion toward mid- and small-cap segments.
Among sectoral indices, Nifty Auto emerged as the lone gainer, closing up 0.52%. All other major indices ended in the red. Nifty PSU Bank led the decline, slipping 2.04%, followed by losses of over 1% in the Nifty Metal, Media, and Realty indices.
The Indian rupee weakened for the third straight session, pressured by rising geopolitical uncertainty and the Fed’s stance. “The rupee’s downward trend may continue, with the USD/INR pair likely moving toward the 87–87.50 range,” said Dilip Parmar, Research Analyst at HDFC Securities.
Gold prices moved in a volatile range. On Comex, gold traded between $3,347 and $3,375, while on the MCX, prices ranged from ₹98,650 to ₹99,450 per 10 grams.
-IANS