The Indian stock market witnessed a sharp broad-based sell-off in Monday’s trade, 8 June, as escalating tensions in the Middle East kept crude oil prices elevated, while weak global cues and the unwinding of the global AI-led rally weighed heavily on investor sentiment, dragging benchmark indices down by over 1%.
A strengthening US dollar index and a decline in global base metal prices further pressured metal stocks, with the Nifty 50 ending 1.05% lower at 23,124. The S&P BSE Sensex settled at 73,535, down 0.95% from Friday’s close.
The broader markets also witnessed heavy losses, as both the Nifty Midcap 100 and Nifty Smallcap 100 indices ended with cuts of 1.40% and 2%, respectively, indicating widespread weakness across the market.
All sectoral indices closed sharply lower, led by Nifty Realty, Nifty Metal, and Nifty Auto, each falling over 2%. Other indices, including Nifty Chemicals, Nifty Media, Nifty Cement, Nifty Consumer Durables, and Nifty IT, also shed more than 1%.
In the commodity market, Brent crude rose 3.5% to around $96.5 per barrel after Iran launched missiles at Israel following Israeli strikes on Beirut, reducing hopes for a near-term resolution to the broader conflict and raising fears of continued disruption to oil supplies.
Domestically, the RBI’s latest measures to defend the weakening rupee and India’s stronger-than-expected March quarter GDP growth were overshadowed by mounting concerns over the Middle East conflict.
Tech, metal stocks lead market rout amid weak global cues
Tech and metal stocks were among the top laggards in trade, with Netweb Technologies and Wipro plunging 8.6% and 8.4%, respectively. Wipro also slipped to its lowest level since April 2023.
Other technology stocks such as Firstsource Solutions, Tata Consultancy Services, and Oracle Financial Services also declined by 6%, 2%, and 1.8%, respectively.
Metal stocks, too, witnessed sharp selling pressure, led by NALCO, Hindustan Copper, Lloyds Metals & Energy, Jindal Stainless, Vedanta, NMDC, SAIL, and Welspun Corp, all of which fell between 3% and 4.4%.
Extending its losing streak to the second straight session, Tejas Networks tumbled another 6% to ₹542 apiece. Anant Raj also remained under pressure for the second consecutive day, shedding another 6% to settle at ₹537 apiece.
Meanwhile, capital goods stocks also witnessed heavy selling, with GE Vernova T&D India, Hitachi Energy India, Apar Industries, Siemens Energy India, Jyoti CNC Automation, CG Power and Industrial Solutions, Zen Technologies, Kirloskar Oil Engines, and Supreme Industries closing lower by 3% to 6.5%.
Other top losers in the pack were Reliance Power, Swiggy, HPCL and GMDC.
Select pharma, healthcare stocks defy weak market trend
Amid the broad-based sell-off, a few stocks managed to end in the green, led by CCL Products India, which jumped 8.7% to ₹1,173 apiece. It was followed by CarTrade Tech and Caplin Point Laboratories, which surged 5.7% and 3.8%, respectively.
Other gainers included Zydus Wellness, Syngene International, Balrampur Chini Mills, Max Healthcare Institute, PhysicsWallah, Fortis Healthcare, and Alkem Laboratories, all of which closed with gains of over 2%.
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