The BSE Sensex fell sharply by 604 points to close at 25,653 on Friday, while the NSE Nifty 50 slipped below the 25,700 mark, ending at 25,692. The declines marked the fifth consecutive session of losses for Indian equity markets, as investors remained cautious amid global uncertainties and continued foreign fund outflows.
Broader markets traded mostly in the red, with private banks, financial services, ports, realty, and media stocks under pressure. ICICI Bank and Adani Ports were the top losers, each declining around 2%, reflecting widespread risk-off sentiment.
On the upside, select oil and gas, IT, and some public sector banking stocks showed modest gains, helping to limit overall market losses. Analysts noted that defensive buying in these sectors provided some support amid a predominantly negative trading session.
Early optimism in trade was short-lived as global developments, including potential changes in U.S. tariffs and subdued international economic indicators, weighed on investor sentiment. Domestic factors such as muted corporate earnings guidance and cautious investor behavior further compounded selling pressure.
Over the past five trading sessions, the Sensex has lost over 2,180 points, while the Nifty has declined around 2.5%, erasing a significant portion of market capitalization. The ongoing sell-off highlights the cautious stance of traders ahead of corporate earnings releases and key economic announcements.
The Indian rupee also weakened slightly against the U.S. dollar, mirroring the risk-averse mood in equities. Commodity trading was mixed, with zinc and copper futures showing minor gains, while other base metals declined.
Investors are expected to closely track domestic corporate earnings, global economic developments, and foreign fund flows in the coming days for fresh cues on market direction.
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