Indian shares ended the day lower on Monday as IT stocks were the laggards amid renewed trade tensions between the US and China. The Sensex fell 174 points to close at 82,327, while the Nifty 50 fell 58 points to 25,227.
On the Sensex, Tata Motors, Infosys, Hindustan Unilever, Power Grid and BEL were among the biggest decliners, down between 1% and 2.7%. The broader markets were mixed, with the small-cap index down 0.2% and mid-caps up 0.1%.
Experts say the decline reflects caution over escalating trade tensions between the US and China and the ongoing US government shutdown, which have spooked investors across Asia. Vinod Nair of Geojit Investments notes that profit bookings in the consumer and discretionary sectors, combined with mixed Q2 earnings, added to the risk sentiment.
Sector focus
IT shares fell 0.8% faster than HCLTech’s quarterly results, while the financial sector bought selectively following the easing of regulations. Mid- and small-cap stocks maintained a positive undertone.
In the primary markets, Tata Capital made a strong debut, trading 1.23% above its issue price and closing 1.4% higher on the first day.
Global markets, crude oil and rupee
Abroad, shares remained stable after the turbulence of last week’s trade conflict. Gold rose above $4,000 an ounce, reflecting continued uncertainty. European shares opened higher, US futures rose in thin trading and Asian indices remained subdued.
Oil prices recovered after hitting a five-month low on Friday. Brent crude rose 1.5% to $63.67 per barrel, while WTI rose 1.54% to $59.81.
The Indian rupee hovered around a low but ended at 88.67 against the dollar, helped by RBI intervention and optimism following an upcoming visit by an Indian trade delegation to the US.
In summary, Dalal Street started the week cautiously. Global trade tensions, mixed earnings and sector rotation keep investors on edge, while domestic cues such as banking and selective buying provide some support.
That’s all from ET Market Watch for Monday. I am Neha Vashishth and we continue to monitor the market pulse for you.
#Market #Watch #Markets #Slip #USChina #Trade #Tensions #Rock #Dalal #Street #Economic #Times #Podcast