Mumbai — The Sensex and Nifty ended lower Thursday as investors weighed rising crude oil prices, inflation risks and movements in bond yields that raised concerns about interest rates remaining elevated.
The Sensex fell 417.49 points, or 0.55%, to close at 76,152.86, while the Nifty declined 41 points, or 0.17%, to settle at 23,873.45.
Market analysts said the 24,000 level remains a key resistance point for the Nifty, while 23,800 is an important near-term support level.
“The index has so far managed to hold above this region, but a decisive break below 23,800 could intensify selling pressure and drag Nifty towards the 23,600 level,” a market expert said.
Investor sentiment remained cautious as higher crude oil prices fueled concerns about inflation, while bond yield movements added to expectations that interest rates could stay higher for longer.
Bajaj Auto, Tech Mahindra and Trent were among the biggest laggards on the Nifty.
Broader markets performed better than the benchmark indices. The Nifty MidCap index rose 0.37%, while the Nifty SmallCap index gained 1.2%.
Sectoral performance was mixed. The Nifty Realty index fell more than 2%, while the Media, Private Bank, PSU Bank and Bank indices also ended lower. Information technology, auto, FMCG and healthcare stocks also lagged the broader market.
Meanwhile, the Indian rupee strengthened to 94.48 against the U.S. dollar, supported by improved dollar liquidity. Analysts said foreign currency non-resident deposits of about $127 billion were providing an additional buffer against sharp currency movements.
The rupee is expected to maintain a positive bias and trade between 94.25 and 95.00 against the dollar, according to an analyst. (Source: IANS)
