MUMBAI: Benchmark indices including BSE Sensex, ended marginally lower on Monday after a volatile session, with markets recovering from intraday lows amid global trade concerns and continued foreign investor outflows.
The BSE Sensex closed at 73,085.94, down 112.16 points or 0.15 per cent, while the NSE Nifty 50 settled at 22,119.30, slipping 5.40 points or 0.02 per cent.
The market opened on a positive note, with the Sensex rising over 350 points and the Nifty trading above 22,200, before selling pressure emerged, pushing indices lower.
The Nifty tested the crucial psychological support of 22,000 before rebounding later in the session.
“The market experienced a gradual recovery from its intraday low, driven by improving economic growth, a rebound in consumption expenditure, and healthy expansion in the agricultural sector, which influenced investor sentiment,” said Vinod Nair, Head of Research at Geojit Financial Services. “With valuations approaching oversold levels, domestic indicators suggest potential for a rebound. However, the sustainability of this recovery remains uncertain, contingent on easing global trade uncertainties.”
Sectoral and stock performance
Among sectoral indices, Realty, IT, Metals, and Consumer Durables ended in the green, while Oil & Gas, Banks, and Media indices closed lower. The volatility index, India VIX, eased 1.06 per cent to 13.76, indicating a decline in market volatility.
Among the top gainers on the NSE, Bharat Electronics (BEL) jumped 4.57 per cent, followed by Grasim Industries (3.18 per cent), Eicher Motors (2.94 per cent), JSW Steel (2.68 per cent), and Bharat Petroleum Corporation (BPCL), which rose 2.23 per cent.
Major losers included Bajaj Auto (-2.44 per cent), Coal India (-2.37 per cent), Reliance Industries (-2.17 per cent), Bajaj Finserv (-1.73 per cent), and HDFC Bank (-1.67 per cent).
Broader markets showed mixed trends, with the BSE Midcap index rising 0.25 per cent, while the Smallcap index fell 0.7 per cent. Out of 4,234 stocks traded on the BSE, 2,852 declined while 1,235 advanced, highlighting the overall bearish sentiment.
Indian rupee
The Indian rupee strengthened against the dollar, with the USD-INR pair trading at 87.31. “The rupee gained as the market stabilised following the RBI’s dollar-rupee swap. A rise in foreign exchange reserves and a weaker dollar against major global currencies further supported the rupee’s performance,” said Dilip Parmar, Research Analyst at HDFC Securities.
Persistent foreign investor selling has intensified market pressure, with Foreign Institutional Investors (FIIs) offloading Rs58,988 crore worth of Indian equities in February alone. However, domestic institutional investors have continued to support the market.
Looking ahead, investors will focus on key US economic data releases this week. The next major trigger for the market will be HSBC’s composite and services PMI, while globally, all eyes will be on US jobs data.
“Sentiment remains negative, but given the sharp sell-off, a short-term bounce-back is possible,” said Bhavik Patel, Senior Research Analyst at Tradebulls Securities.
Gold gains
Gold prices continued their upward trend, rising Rs550 to Rs84,775 per 10 grams. The fresh upside comes amid persistent global uncertainty, with tensions between US and Ukraine leaders over deal negotiations. Ongoing tariff concerns and dollar volatility continue to support gold as a safe-haven asset
