Sensex drops over 350 pts, Nifty50 slips below 24,700 amid broad-based losses; Middle East remains in focus

Domestic equity benchmarks began Friday's trade in the red amid weakness across most sectors, as nervousness returned to Dalal Street, after some recovery on Thursday that followed losses of around 1-1.5 per cent each on all of the three previous days. The Sensex began the day with a cut of 356.9 points, or 0.5 per cent, at 79,659 while the Nifty50 stood at 24,656.4, down 109.5 points, or 0.4 per cent, from its previous close.

The opening was better than what GIFT Nifty futures had signalled. Early on Friday, the contract tumbled about three-quarters of a percentage point, indicating a fairly negative start to the day.

Broader markets outperform benchmarks

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In the broader markets, indices pared some of their early gains but continued to outperform the benchmark indices. The Nifty MidCap index was trading 0.14 per cent higher, while the Nifty SmallCap index was up 0.28 per cent.

However, at the opening bell, selling pressure was visible across broader market indices on the National Stock Exchange. The Nifty 100 declined 0.41 per cent to 25,316. The Nifty Midcap 100 slipped 0.17 per cent and the Nifty Smallcap 100 fell 0.09 per cent.

IT leads gains; Bank stocks drag

Sectorally, Nifty IT was leading the gains, rising 1.57 per cent. Shares of Infosys and Tata Consultancy Services supported the index.

On the other hand, Nifty Bank was the top losing sector in early trade as ICICI Bank and HDFC Bank shares dragged the index lower.

Other sectoral indices also opened in negative territory. Nifty Auto declined 0.44 per cent and Nifty FMCG slipped 0.31 per cent. Nifty Metal fell 0.30 per cent, while Nifty Consumer Durables declined 0.36 per cent. Nifty Private Bank dropped 0.78 per cent.

Top movers in Nifty 50

Among index stocks, HCLTech, Bharat Electronics, and Infosys were the top gainers in the Nifty 50.

Meanwhile, InterGlobe Aviation, ICICI Bank, and Larsen & Toubro were among the top losers.

Global cues remain mixed

In Asia, market trends were mixed on Friday. Japan’s Nikkei 225 gained 0.19 per cent to 55,390, while Hong Kong’s Hang Seng Index rose 1.70 per cent to 25,751.

However, selling pressure was visible in other regional markets. Singapore’s Straits Times Index declined 0.19 per cent to 4,837. Taiwan’s Taiwan Weighted Index slipped 0.04 per cent to 33,660, while South Korea’s KOSPI dropped 1.56 per cent to 5,497.

US markets end lower

Overnight in the US, equities closed lower. The Dow Jones Industrial Average declined 1.61 per cent to 47,954. The S&P 500 slipped 0.56 per cent to 6,830, while the Nasdaq Composite fell 0.25 per cent to 22,750.

Commodities update

Brent crude was trading at $84.46 per barrel at the time of filing this report. Oil prices have remained firm and have risen nearly 20 per cent this week. During Thursday’s intraday trade, crude touched $86, the highest level since July 2024.

Gold prices remained elevated at Rs 1,60,894 per 10 gm for 24-karat gold. Silver prices surged 2.31 per cent to Rs 2,68,299 per kg in early trade.

FII and DII activity

Foreign institutional investors (FIIs) continued to sell in the cash market. FIIs sold equities worth Rs 3,753 crore on Thursday, marking the fifth straight day of selling.

Across cash, index futures, and stock futures segments, FIIs remained net sellers worth Rs 4,321 crore.

However, domestic institutional investors (DIIs) supported the market. Domestic funds purchased equities worth Rs 5,153 crore, extending their buying streak to the seventh consecutive session.

Currency and bond market

The US dollar index remained slightly higher above the 99 level. US bond yields closed at 4.13 per cent, a three-week high.

Meanwhile, the Indian rupee recovered from its recent lows. After hitting an all-time low of 91.30 per dollar on Wednesday, the rupee strengthened and closed 55 paise higher at 91.60 per dollar in the previous session.