Did Sensex and Nifty Close Lower After a Volatile Trade?
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Synopsis
In a day marked by volatility, Indian stock indices Sensex and Nifty closed lower, with early gains wiped out by profit-taking. The IT sector saw gains, led by major players, while broader markets faced selling pressure. As global uncertainties loom, investors remain cautious ahead of upcoming earnings reports.
Key Takeaways
- Sensex fell 153 points, closing at 81,773.66.
- Nifty dropped 62 points, settling at 25,046.15.
- Profit booking affected key sectors such as banking and auto.
- IT sector saw a gain of 1.51 percent.
- Market volatility expected to continue amidst global uncertainties.
Mumbai, Oct 8 (NationPress) Following a tumultuous trading day on Wednesday, Indian stock markets finished lower as early gains were erased amid cautious investor sentiment and mixed global indicators. The Sensex dropped by 153 points, or 0.19 percent, ending at 81,773.66, while the Nifty declined by 62 points, or 0.25 percent, closing at 25,046.15.
“The Nifty started positively but could not maintain its momentum beyond the immediate resistance area near 25,200, leading to broad-based profit booking and selling pressure across major sectors including banking, auto, FMCG, and real estate,” stated market analysts.
“Ultimately, the index fell to a weekly low of 25,008, where buying interest surfaced around the psychological support level of 25,000,” they noted.
“Despite attempts to recover mid-session, the index encountered renewed selling pressure near the 25,130–25,150 range, creating a series of lower highs and lower lows on the intraday chart,” experts remarked.
Broader markets also experienced selling pressures, with the Nifty Midcap 100 index decreasing by 0.73 percent and the Smallcap 100 index dropping by 0.52 percent.
In terms of sectoral performance, most indices closed in the red except for IT and Consumer Durables.
The Nifty IT index climbed 1.51 percent, bolstered by robust buying in major companies such as Infosys, TCS, Coforge, LTIMindtree, HCL Tech, and Tech Mahindra.
Conversely, sectors like Realty, Media, Auto, and Energy fell by over 1 percent each.
The Nifty Bank, FMCG, Financial Services, Pharma, Metal, and Oil & Gas sectors also closed lower by up to 1 percent.
Market experts indicated that investor caution arose amid global uncertainties and profit booking after recent gains.
"The indices experienced a volatile session, influenced by profit booking following a sharp rally. Investor caution prevailed ahead of the Q2 earnings season, as participants reassessed valuations and growth prospects,” market analysts added.
“Rising global uncertainties and the ongoing US government shutdown propelled gold to a record high, reflecting increased risk aversion. Attention now shifts to the September FOMC minutes for insights on the Fed’s policy direction,” they noted.
Analysts expressed that “Looking ahead, while global events remain important, market attention is likely to pivot towards domestic earnings, macroeconomic data, and the upcoming festive season.”
Point of View
It’s crucial to approach the market fluctuations with a balanced perspective. The recent volatility reflects broader economic uncertainties, yet it also presents opportunities for informed investors. Our commitment is to provide insights that empower our readers to navigate these complexities with confidence.
NationPress
09/10/2025
Frequently Asked Questions
What caused the decline in Sensex and Nifty?
The decline was primarily driven by cautious investor sentiment and profit booking after recent gains, amid mixed global cues.
Which sectors performed well during this trading session?
The IT sector performed notably well, with the Nifty IT index gaining 1.51 percent, supported by strong buying in major companies.
What are the implications of global uncertainties on the market?
Global uncertainties, including geopolitical tensions and economic changes, have led to increased investor caution, impacting stock market performance.
