Equity markets saw a slight decline in midday trading on Thursday amid cautious investor sentiment due to F&O expiry volatility and ongoing worries about US tariffs. The Sensex was down 22.92 points or 0.03 per cent at 74,579.20, while the Nifty dropped 27.65 points or 0.12 per cent to 22,519.90.
Market breadth remained negative, with 2,866 stocks declining compared to 917 advances on the BSE. The number of stocks hitting 52-week lows was significantly higher than those reaching 52-week highs, with 344 scrips touching yearly lows and only 44 reaching new highs.
Circuit filters were triggered for several stocks, with 318 companies hitting lower circuit limits and 116 reaching upper circuits, indicating increased volatility in the broader market.
Banking and financial services sectors showed resilience, with the Nifty Bank index up 262.25 points or 0.54 per cent at 48,870.60, and the Nifty Financial Services index rising 176.75 points or 0.77 per cent to 23,212.80. However, midcap stocks faced selling pressure, with the Nifty Midcap Select index falling 147.55 points or 1.33 per cent to 10,907.80.
Shriram Finance was the top gainer on the NSE, jumping 4.71 per cent to ₹601.30, with high trading volume of over 93 lakh shares. Other notable gainers included Bajaj Finance, Bajaj Finserv, IndusInd Bank, and Axis Bank.
On the downside, UltraTech Cement saw the biggest decline, dropping 4.92 per cent to ₹10,424.35. Other major losers included Hero MotoCorp, Trent, BPCL, and M&M.
Technical analysts mentioned that the Nifty is testing crucial support around the 22,500 level, while investors are closely monitoring global cues, especially crude oil prices and ongoing foreign institutional investor (FII) selling.
Trading is expected to remain choppy as February derivatives contracts expire today. Investors are also watching pharma stocks following recent USFDA approvals and oil marketing companies benefiting from falling crude prices.
The article was published on February 27, 2025.
