The Sensex fell 281.09 points, or 0.36 per cent, to close at 77,728.16 on Monday, while the Nifty settled 78.35 points, or 0.32 per cent, lower at 24,287.65.
Indian benchmarks extended their cautious run from last week, with the Nifty dropping below 24,300 as weakness in IT stocks and elevated crude oil prices weighed on the market.
IT stocks were the largest drag on the indices, with the Nifty IT index sliding nearly 2 per cent over 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 and the Nifty Smallcap index rose 0.36 per cent in broader market trade.
Monday’s session reflected ongoing investor caution linked to geopolitical tensions and elevated oil prices over the past week.
Persistent concerns over elevated crude oil prices, hovering near $89 a barrel, weighed on investor sentiment throughout Monday’s session.
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.
Photo by Kumar Appaiah, Wikimedia Commons, CC BY-SA 3.0
