MUMBAI, India — Indian equity markets closed lower on Friday as investors booked profits ahead of the Union Budget 2026 and weakness in metal stocks dragged benchmark indices.
At the close, the Sensex fell 269 points, or 0.36 percent, to end at 82,269, while the Nifty declined 98 points, or 0.39 percent, to settle at 25,320.
Broader markets showed a mixed trend. The Nifty Midcap 100 index slipped 0.17 percent, while the NSE Smallcap 100 index gained 0.32 percent.
Sectoral performance was uneven, with metal stocks recording the sharpest losses. The Nifty Metal index dropped 5.34 percent, while the Nifty IT index fell 1.02 percent. In contrast, the Nifty Media index rose 2.07 percent, consumer durables gained 1.09 percent, and Nifty FMCG advanced 1.41 percent.
Analysts said the IT sector underperformed due to concerns over global growth prospects and higher U.S. bond yields.
Market participants noted that the Bank Nifty has reclaimed its falling trendline breakout zone and is now trading above its short-term 20-day and 50-day moving averages, indicating an improving price structure. Momentum indicators were described as supportive, with immediate support seen near the 59,000 level and resistance around the 60,400 zone.
In the currency market, the rupee recovered from its lowest levels and strengthened by 15 paise to trade at 91.92 against the U.S. dollar, supported by lower international crude oil prices.
With rising geopolitical risks, tariff pressures, and continued foreign institutional investor selling, investors are closely watching the Union Budget for signals on growth support and fiscal discipline.
Markets are also monitoring developments related to the appointment of a new U.S. Federal Reserve chair, as a more hawkish stance by the central bank could tighten global liquidity and weigh on emerging markets.
Indian equity markets will remain open on Budget Day, February 1, despite it being a Sunday. As it is a settlement holiday, shares purchased on January 30 will not be eligible for sale on February 1, and stocks bought on Budget Day cannot be sold the following day. (Source: IANS)
