On 26 September, India’s benchmark index closed down in the seventh consecutive trading session and the Nifty slipped below 24,700. The Sensex lost 733.22 points or 0.90 per cent to close at 80,426.46 and the Nifty closed at 24,654.70 with 236.15 points or 0.95 per cent. Today around 912 shares rose, 2828 shares declined and 106 shares were unchanged.
IndusInd Bank, Sun Pharma, Mahindra & Mahindra, Eternal and Tata Steel were among the most fallen shares of Nifty, while L&T, Tata Motors, Eicher Motors, Reliance Industries and ITC were among the most growing stocks.
All the regional indices including banks, capital goods, durable consumer goods, metals, IT, telecommunications, pharma, PSU bank closed in red mark. BSE midcap and smallcap index remained 2–2 percent below.
On a weekly basis, the market has recorded the biggest weekly decline in about 6 months. The Sensex and Nifty declined by about 3 percent. At the same time, the Nifty Bank has seen a decline of 2 percent. All regional indexes are closed in red mark on a weekly basis. The Nifty IT has seen a decline of 8 percent.
How can the market move forward?
Investors are marginalized before the September quarter results. Trustline Holdings founder and CEO N Arunagiri says that there is no expectation of no significant improvement in income before FY 2027. Because of this, the benchmark index is in the era of “time improvement”. In such a situation, evaluation stops and wait for improvement in income. The market is currently in this period.
Ajit Mishra of Railways Broking says that the declaration of tariffs on branded drugs has weakened the perception in the market. This has increased recent concerns about changes in visa policy. Weak signals from global companies pushed the IT shares down further. At the same time, the frequent withdrawal and weak rupee of foreign institutional investors (FIIs) increased the pressure.
Technically, in the last two sessions, veteran shares have seen continuous weakness. This has led to a decline in the index. The Nifty has now reached its major support level 24,400 near 200 Dema. Meanwhile, the heavy decline in midcap and smallcap stocks has further weakened the market notion. Keeping these things in mind, it will be advisable to take a cautious stance. Avoid making very aggressive bets by focusing on basicly strong shares.