• Source:JND

Stock Market Today: The domestic stock market traded sharply down during the intraday trade amid broad-based selling sentiment. The 30-share BSE Index--Sensex-- settled 719.08 points or 0.97 per cent lower at 73,524.26, while NSE's Nifty50 ended the session at 23,123, down 1.04 per cent or 243.70 points.

Meanwhile, Indian currency--the rupee-- depreciated 56 paise to settle at 95.74 (provisional) against the US dollar.

Earlier, in the morning, the BSE index opened with a huge gap down at 73,421.61, down 822 points from the previous day's closing of 74,243.34. The index fell further, touching an early low of 73,318.94. Nifty 50 started the session at 23,080, down against last day's closing of 23,366.70. The Nifty's 50-share index fell further to a low of 23,070.15.

What Creates Fear Among Investors?

According to analysts, the domestic market reacted to a sharp rise in crude prices due to renewed tension in the Middle East, selling pressure in global tech stocks and weak global cues.

"Indian equities witnessed another volatile session today, with global risk-off sentiment dictating market direction for most of the day. The Nifty 50 closed lower at 23,123, after recovering a bit from its intraday lows of 23,070 range but failing to sustain momentum in the second half," said Hariprasad K, SEBI-registered Research Analyst and Founder, Livelong Wealth.

"Markets opened sharply lower as investors reacted to the deep sell-off in global technology stocks, weakness across Asian markets, and renewed geopolitical concerns in the Middle East. The sharp correction in the Nasdaq, coupled with rising crude oil prices, triggered broad-based risk aversion at the opening bell, pushing the Nifty towards the 23,070 zone," he added.

According to Vinod Nair, Head of Research, Geojit Investments Limited, domestic equities outperformed global peers despite ongoing consolidation, reflecting underlying structural resilience.

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"Global sentiment has weakened amid a flare-up of tensions in the Middle East, pushing crude towards $100/bbl. Simultaneously, global technology stocks have witnessed a sell-off, as investors begin to question the sustainability of the AI-led rally," Nair noted.

"Selling pressure was also seen in semiconductor-heavy indices, showing early signs of valuation fatigue and positioning unwind, although it is premature to classify this as a trend reversal. Strong US labour data and sticky inflation have increased the risk of further monetary tightening, driving higher bond yields and a stronger USD," he added.

Rupee Sees Decline

Rupee traded weaker by around 0.69% near 95.70. The decline was driven by renewed cross-border attacks between Israel and Iran, escalating geopolitical tensions and pushed crude oil prices sharply higher.

"Brent crude surged more than 4%–5% towards the $97 zone, reviving concerns over India's import bill and inflation outlook. The combination of rising crude prices, continued FII outflows, and risk-off sentiment in global markets kept pressure on the rupee despite RBI efforts to maintain orderly market conditions," said Jateen Trivedi, VP Research Analyst - Commodity and Currency, LKP Securities.


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