Stock Market Highlights: Nifty, Sensex Snap Three Week Gaining Streak As India-Pakistan Tension Escalates
The Nifty 50 witnessed the worst intraday decline since April 25, while Sensex fell the most since April 15.
The benchmark equity index snapped its three-week gaining streak on Friday, extending its decline for the second day amid rising tensions between India and Pakistan.
The Nifty ended 265.80 points or 1.10%, lower at 24,008, while the BSE Sensex closed 880.34 points or 1.10%, lower at 79,454.47 after witnessing a volatile session on Friday.
The market mood turned risk-averse after Pakistan reportedly launched multiple attacks and violated ceasefire agreements along the Line of Control in Jammu and Kashmir late Thursday night. According to the Additional Directorate General of Public Information, the Indian Army successfully repelled these attempts, which included the use of drones and missiles targeting military installations in Jammu, Pathankot, and Udhampur.
This was in response to Indian forces targeting strikes on terror camps in Pakistan and Pakistan-occupied Kashmir under ‘Operation Sindoor’.
During the day, the Nifty fell 1.39% to 23,935.75, while the Sensex fell 1.70% to 78,968.34.
Shares of HDFC Bank Ltd., ICICI Bank Ltd., Reliance Industries Ltd., Bharti Airtel Ltd. and ITC Ltd. weighed on the Nifty 50. On the other hand, Larsen and Toubro Ltd., Titan Ltd., Tata Motors Ltd., State Bank of India and Bharat Electronics Ltd. were the top gainers for the day.
This week, the Nifty shed 1.4%, dragged down by Asian Paints Ltd. and Sun Pharmaceuticals Ltd. The Sensex lost over 1%.
"During the week, the market consistently faced selling pressure at higher levels. Technically, it has formed a long bearish candle on weekly charts and is also trading near the 200-day SMA (Simple Moving Average) support zone," said Amol Athawale, vice president of Technical Research, Kotak Securities.
On the NSE, 12 out of the 15 sectors fell, with the Nifty Realty and Nifty Finance leading the decline. Nifty Defence, Nifty PSU Bank, and Nifty Media were the only gainers.
For the week, Nifty Realty emerged as the top sector loser, falling nearly 7%. Nifty PSU Bank snaps a three-week gaining streak, while Nifty Media snaps a two-week losing streak. Nifty Pharma, Nifty Realty, and Nifty Bank also snapped their three-week gaining streak. Nifty Oil and Gas also snapped its four-week gaining streak.
Nifty media falls for the second week in a row and Nifty FMCG falls for the third week in a row. Nifty Auto and Nifty IT, on the other hand, rose for the fourth week in a row.
The Nifty Midcap 150 fell 0.8% for the week, while the Nifty Smallcap 250 fell over 2%, outperforming the benchmarks.
The broader markets ended lower on Friday, with the BSE MidCap ending 1.84% higher and the SmallCap rising 3.04%.
On the BSE, 17 of 21 sectors decline, with the BSE Realty and BSE Utilities leading the decline.
The market's breadth was skewed in favour of the sellers, with 1,341 stocks advancing, 2,519 declining, and 150 remaining unchanged on the BSE.
