Markets fell sharply through the morning session on Monday, with the BSE Sensex and NSE Nifty 50 sinking well below their opening levels by midday, as losses in private banks and IT stocks overwhelmed gains in metals and public-sector lenders.
At 12.51 pm, the Sensex stood at 73,973.22, down 756.05 points or 1.01 per cent from its previous close of 74,729.27, having opened at 74,849.30. The Nifty 50 was at 22,930.15, shedding 216.00 points or 0.93 per cent from Friday’s close of 23,146.15, which had opened at 23,150.85. Both indices had shed their opening gains and slipped steadily through the session.
Market breadth turned decisively negative. Of 3,202 stocks traded on BSE, 1,743 declined against 1,236 advances, with 223 unchanged. Ninety-seven stocks hit lower circuits while 85 triggered upper circuits. Sixty-three stocks touched 52-week highs and 61 hit fresh 52-week lows.
Axis Bank was the biggest drag on the Nifty 50, tumbling 4.20 per cent to ₹1,235.80 on heavy volumes of over 87 lakh shares. HDFC Bank fell 2.47 per cent to ₹710.85, with nearly 1.85 crore shares changing hands worth ₹1,31,981 lakh. The losses came despite the banking sector entering the week with strong Q2 results from major private lenders.
IT stocks reversed last week’s sharp rally. Infosys dropped 2.54 per cent to ₹1,131.75 on volumes of over 82 lakh shares. Trent declined 2.34 per cent to ₹2,889.40, while TMPV fell 2.42 per cent to ₹279.90. Shriram Finance eased 0.62 per cent to ₹934.15 in the financial services space.
Against the tide, metal and infrastructure stocks held firm. JSW Steel was the top Nifty gainer, advancing 2.18 per cent to ₹1,242.80. L&T added 0.68 per cent to ₹3,651.80, while Eicher Motors gained 1.24 per cent to ₹7,374.50. In the public-sector banking space, State Bank of India rose 0.74 per cent to ₹969.70 and ONGC gained 0.73 per cent to ₹223.61, supported by elevated crude prices.
Crude oil continued to shape the broader market mood. WTI pulled back to around $97.40 a barrel after stalling near $99–$100, while Brent remained above $108. The retreat in WTI came after a near-10 per cent surge last week driven by Strait of Hormuz concerns and disruptions to Russian fuel supplies. Ponmudi R, CEO of Enrich Money, noted that while public-sector banks gained more than 2 per cent at the open, private-sector banking stocks fell over 1 per cent, underlining “a divergence in performance across the banking sector” as the Q2 earnings season keeps investors focused on individual stock results rather than broad directional bets.
Dr. V K Vijayakumar, Chief Investment Strategist at Geojit Investments, warned that the crude surge remains the key overhang, saying that even FII interest returning on the back of rupee strength “is unlikely to sustain, given the high crude price.” He added that with the market likely to remain “stock-specific in response to Q2 results,” investors should expect large-caps to continue “outperforming the mid- and small-caps.”
The rupee, however, offered a measure of relief, firming to around ₹94.70–94.85 against the dollar, its strongest level in about six weeks. A stronger currency lowers the rupee cost of crude imports, providing a partial offset to high global energy prices.
In commodities, COMEX Gold traded around $4,185–$4,200, up 0.50 per cent, with MCX Gold at approximately ₹1,48,300, up 0.25 per cent, though a firmer rupee capped domestic gains. COMEX Silver outperformed at $57.80, up 0.89 per cent, with MCX Silver at ₹2,12,400, up 0.57 per cent. MCX Crude eased to ₹9,530, down 0.45 per cent, consolidating after last week’s breakout.
Hitesh Tailor of Choice Broking said the market’s near-term direction hinges on “movements in foreign fund flows and developments around the Strait of Hormuz,” with the holiday-shortened week likely to keep activity concentrated in earnings-driven names rather than broader index plays.
Technically, the Nifty has now breached the 23,000 level and is approaching the 22,900 support zone, which analysts flagged as critical to the near-term recovery structure.