Sensex, Nifty end lower as IT, auto stocks drag markets

Mumbai, Dec 26 (IANS) Indian stock markets ended lower on Thursday as investors stayed cautious during the holiday-shortened week and refrained from taking fresh positions due to the absence of strong triggers.

Selling pressure in information technology and automobile stocks, along with the expiry of Sensex derivatives, weighed on overall market sentiment.

The Sensex closed at 85,041.45, slipping 367.25 points or 0.43 per cent. The Nifty also ended in the red, falling 99.80 points or 0.38 per cent to settle at 26,042.30.

“The 26,000 support zone remains technically significant, coinciding with the 20-day EMA, heavy Put OI accumulation, and the classic Pivot S1 level near 26,009,” analysts said.

“This confluence has helped arrest deeper declines so far. However, a sustained breakdown below 26,000 could expose the index to further downside toward the 25,900–25,800 zone,” experts said.

“On the upside, resistance remains firmly clustered between 26,200 and 26,330, where repeated rejection suggests strong supply,” they added.

Despite the weak broader trend, a few stocks managed to post gains. Titan, NTPC and Hindustan Unilever emerged as the top gainers on the BSE.

However, losses in heavyweight stocks such as Bajaj Finance, Asian Paints and HCL Technologies dragged the index lower.

On the NSE, Titan led the gainers, followed by Hindalco and Nestle India. On the losing side, Asian Paints, Shriram Finance and Bajaj Finance ended the session with notable declines.

The broader market also reflected cautious sentiment, with both midcap and smallcap stocks closing lower.

The Nifty Midcap 100 index ended down 0.23 per cent, while the Nifty SmallCap 100 index slipped 0.08 per cent.

Among sectors, information technology stocks witnessed the sharpest selling, as the Nifty IT index declined 1.03 per cent.

Auto stocks also came under pressure, with the sector ending 0.52 per cent lower. In contrast, metal stocks outperformed the market, with the Nifty Metal index rising 0.59 per cent by the close of trade.

–IANS

pk