The Sensex closed 281.09 points, or 0.36 per cent, lower at 77,728.16 on Monday, while the Nifty ended 78.35 points, or 0.32 per cent, down at 24,287.65.
Indian benchmark indices extended their cautious run from last week, with the Nifty slipping below 24,300 as IT stock weakness and elevated crude oil prices weighed on sentiment.
IT stocks led the decline, with the Nifty IT index falling nearly 2 per cent during the session.
Gains in metal, realty and select financial stocks helped cushion the broader market’s decline.
The Nifty Midcap index closed 0.05 per cent higher while the Nifty Smallcap index rose 0.36 per cent in the broader market.
Monday’s trade reflected continued investor caution linked to geopolitical tensions and elevated oil prices over the past week.
Gains in metal, realty and select financial stocks helped cushion the broader market decline, preventing a steeper fall in the benchmark indices.
Monday’s session extended a cautious tone that has persisted in Indian equity markets since last week, with investors weighing geopolitical tensions alongside domestic earnings signals.
Trading volumes on both the BSE and NSE remained broadly in line with recent averages, even as sector-specific selling in IT names contributed to the overall index decline.
Foreign institutional investor activity remained a key factor watched by traders, alongside crude oil price movements, as both continue to influence near-term market direction.
Analysts said the divergence between the IT-led decline in the headline indices and gains in broader midcap and smallcap stocks pointed to selective, sector-specific selling rather than a broad-based sell-off across the market.
In the broader markets, the Nifty Midcap index ended 0.05 per cent higher while the Nifty Smallcap index gained 0.36 per cent, showing resilience even as the headline indices declined.
Persistent concerns over elevated crude oil prices, hovering near $89 a barrel, weighed on investor sentiment throughout Monday’s session.
Photo by Kumar Appaiah, Wikimedia Commons, CC BY-SA 3.0
