ended a volatile Monday session marginally lower, with the marking its seventh consecutive day of decline as investors exercised caution ahead of monetary policy outcome due on October 1.
The settled 61.52 points or 0.08 per cent lower at 80,364.94 after soaring to an intraday high of 80,851.38, while the Nifty 50 dipped by 19.80 points or 0.08 per cent to 24,634.90.
“Indian markets opened on a positive note, reflecting upbeat global cues, but traded in a volatile manner throughout the session. The benchmark Nifty oscillated within a narrow range of 24,800 to 24,600 (rounded levels) before settling near the day’s close,” said Ashika Institutional Equities in its markets commentary.
The session witnessed mixed sectoral performance, with PSU Banks emerging as the top gainers, rallying 1.89 per cent, followed by Oil & Gas at 1.4 per cent, energy and realty sectors gaining around 1 per cent each.
Nifty Bank advanced 71.65 points or 0.13 per cent to 54,461.00, while Nifty Financial Services closed at 26,007.00, up 21.75 points or 0.08 per cent.
The midcap segment showed resilience with Nifty Midcap 100 gaining 154.60 points or 0.27 per cent to 56,533.15, while Nifty Next 50 surged 690.15 points or 1.03 per cent to 67,835.10. However, the Defence index emerged as the top loser, shedding 1.20 per cent.
Market breadth on the BSE remained negative, with 2,389 stocks declining against 1,822 advances out of 4,377 traded stocks. Notably, 146 stocks hit their 52-week highs while 166 touched 52-week lows. Five stocks ended in the lower circuit, while none hit the upper circuit.
IndusInd Bank led the Nifty gainers, surging 3.07 per cent to ₹734.60, followed by Titan Company which gained 2.70 per cent to ₹3,417.00. Hindalco Industries added 1.65 per cent to ₹756.10, while State Bank of India and Wipro rose 1.55 per cent each to ₹870.25 and ₹239.40 respectively.
On the losing side, Maruti Suzuki India topped the decliners, falling 1.76 per cent to ₹16,000.00, followed by Axis Bank which declined 1.73 per cent to ₹1,134.00. Dr. Reddy’s Laboratories shed 1.13 per cent to ₹1,238.90, HDFC Life Insurance Company dropped 1.07 per cent to ₹756.25, and Eicher Motors fell 1.04 per cent to ₹6,973.50.
“The domestic market concluded a volatile session on a flat note as investors turned more cautious ahead of a holiday-led truncated week and continued FII selling. Lack of clarity in the US-India trade deal and prolonging pressure on IT & pharma indices are near-term concerns for the market,” said Vinod Nair, Head of Research, Geojit Investments Limited.
On the derivatives front, significant open interest build-up was observed in Samman Cap, Dixon, Hindustan Petroleum, Nestle India, and Power Grid, indicating active positioning in these counters. F&O data highlighted sustained pressure from the call side, with total call OI at 26.78 crore versus put OI at 16.57 crore, while put writing at 24,600 and 24,500 strikes highlighted immediate support zones.
“Markets remained range-bound and traded cautiously ahead of the RBI’s monetary policy decision. That said, sector rotation provided selective support, with metals rising on stronger copper demand, while IT and pharma stocks witnessed mixed trends,” said Ponmudi R, CEO of Enrich Money, a SEBI-registered online trading and wealth tech firm.
Ajit Mishra, SVP Research at Religare Broking Ltd, added, “On one hand, the overhang of recent U.S. policy actions has eased slightly; however, persistent foreign fund outflows and caution ahead of the MPC meeting continue to weigh on sentiment. We believe oversold positions may now lead to some consolidation in the Nifty, with strong support around the 24,400–24,500 zone and resistance placed at 24,800–25,000.”
The rupee traded slightly weak near 88.73, down 0.06 per cent, as focus shifts to a crucial data-heavy week. “The rise in gold prices has added further pressure, given India’s import dependency, while prolonged delays in the US–India trade deal and the existing 50 per cent tariffs continue to hurt export sentiment. The rupee is expected to remain under a weak bias, with the range seen between 88.55–89.25,” said Jateen Trivedi, VP Research Analyst – Commodity and Currency at LKP Securities.
Gold prices surged to fresh lifetime highs, with MCX price rising ₹1,100 to ₹1,15,000 and Comex Gold up 1.20 per cent at $3,814. “The rally was supported by the US PCE Price Index coming in line last Friday, fueling expectations of another Fed rate cut in the upcoming meet. Outlook remains bullish with a trading range of ₹1,13,500–₹1,16,500,” Trivedi added.
Looking ahead, Vatsal Bhuva, Technical Analyst at LKP Securities, noted, “Based on these technical and derivative cues, the index is likely to trade in a short-term range of 24,500–24,850 with volatility and a sideways-to-bearish undertone. A sustained move above its 50-day EMA is needed to turn bullish.” The RBI’s monetary policy decision on Wednesday is expected to be the next key trigger for market direction, with the central bank widely anticipated to keep rates unchanged to contain volatility in the rupee.