Sensex falls 600 points, Nifty drops 1% as IT stocks slide

Indian equities declined on Tuesday as Sensex fell about 600 points and Nifty slipped nearly 1%, tracking a global technology selloff, weakness in IT heavyweights and a softer rupee.

Market overview

Index	Close (approx.)	Move & % Change	Comments
Sensex	approx. 76,400	about -600 pts (around -0.8%)	Fell over 700 points at day’s low before partial recovery.
Nifty 50	23,878.65	-224.25 pts (-0.9%)	Closed below 23,900 after intraday breach of 24,000.
Nifty Midcap 150	NA	about -1.07%	Midcaps under pressure, underperformed headline indices.
Nifty Smallcap 250	NA	about -0.82%	Smallcaps also declined, but fall was shallower than midcaps.

Note: figures are approximate; final exchange data not available at time of publication.

• Market capitalisation of BSE-listed firms fell by about ₹4.57 lakh crore.
• Selling pressure intensified after weak cues from Asian and US technology stocks.
• Broader markets mirrored the decline, with both midcap and smallcap indices in the red.

Key movers

Top losers

Stock	Sector	Notable Factor
Infosys	IT services	Fell up to about 3.5% amid global tech weakness.
TCS	IT services	Declined around 3% as IT selling resumed.
Tech Mahindra	IT services	Dropped sharply with sector-wide pressure.
Wipro	IT services	Slid over 2% in line with peers.
Adani Ports	Ports & logistics	Among major Nifty laggards during the session.
Tata Steel	Metals	Featured in the list of key index losers.

Note: figures are approximate; final exchange data not available at time of publication.

• IT heavyweights contributed most to index losses.
• Profit booking was visible in recent outperformers after Nifty gains in six of last eight sessions.

Selected gainers (intraday reference)

Stock	Sector	Notable Factor
Bharat Electronics (BEL)	Defence electronics	Gained nearly 1% on the Sensex.
Bajaj Finserv	Financials	Rose about 1%, supporting the benchmark.
Trent	Retail	Advanced close to 1%.
ICICI Bank	Banking	Added nearly 1%, partly offsetting IT drag.
Titan	Consumer discretionary	Climbed around 1% among Sensex gainers.

Note: figures are approximate; final exchange data not available at time of publication.

• Gains in select financials and consumer names limited the downside.
• Market breadth on NSE was earlier positive, but later sessions saw broader selling.

Sectoral action

Sector / Index	Direction (approx.)	Key Drivers
Nifty IT	down about 1–3%	Global tech weakness and cautious outlook on discretionary IT spending.
Nifty Metal	down about 1%	Tracked risk-off sentiment and global growth concerns.
Nifty Pharma	up 0.4%	Defensive buying interest supported the index.

Note: figures are approximate; final exchange data not available at time of publication.

• IT and metal indices led sectoral losses on the NSE.
• Pharma outperformed as investors rotated into defensives.
• Broader participation remained mixed, with stock-specific moves dominating.

Global cues and macro drivers

Market / Asset	Movement	Notes
Kospi (South Korea)	down as much as 10%	Semiconductor profit booking after record highs triggered circuit breakers.
US tech stocks	lower in prior session	Losses weighed on sentiment for global IT names.
Brent crude	+0.38% at $78.15	Rebounded above $78 per barrel.
US WTI crude	higher at $74.19	Tracked Brent gains on supply and geopolitical concerns.
USD/INR (index reference)	rupee down 0.16%	Rupee weakened amid firm dollar and Asian equity slump.

Note: figures are approximate; final exchange data not available at time of publication.

• Kospi’s sharp fall and a halt in trading hurt risk appetite across Asia.
• Higher crude prices revived concerns on imported inflation and policy rates.
• Traders priced a higher probability of a future US Federal Reserve rate hike.
• Rising US yields raised the risk of foreign portfolio outflows from Indian assets.

• “Rising yields are negative for equity markets” said V K Vijayakumar, Chief Investment Strategist at Geojit Investments.

Domestic macro and rupee

Statistic	Value / Change	Context
Rupee vs USD	down 0.16% to about 94.83	Weakness tracked Asian peers and higher US rate expectations.
Monsoon deficit	about 42.2%	Poor rainfall raised concerns for growth and rural demand.
BSE market cap	approx. ₹475 lakh crore	Nearly ₹4.57 lakh crore of equity wealth erased.

Note: figures are approximate; final exchange data not available at time of publication.

• Analysts flagged the large monsoon deficit as a key domestic risk.
• Stability in the rupee and tapering foreign selling were cited as medium-term positives.

Technical outlook on Nifty

• A recent doji pattern with an upper wick below Friday’s peak signalled loss of momentum.
• The pattern did not yet confirm an outright sell signal on the index.
• A move above last week’s high of 24,189 is seen as crucial to reignite upside momentum.
• Bajaj Broking expects a breakout above 24,189 to open room towards 24,300.
• Failure to clear 24,189 could keep Nifty consolidating between 23,900 and 24,189.
• Immediate support lies in the 23,900 to 23,800 band, coinciding with the 50-day EMA.
• Key short-term support is pegged at 23,500 to 23,600, the recent breakout zone.
• Major resistance is identified near 24,600, aligning with the April high and 200-day EMA.

Momentum pockets in Nifty stocks

• Five Nifty stocks showed a bullish Relative Strength Index upswing on June 22.
• Cipla: RSI rose to 60.96 from 43.59, indicating strengthening momentum.
• Dr Reddy’s Laboratories: RSI climbed to 53.01 from 45.29.
• Bajaj Auto: RSI moved to 51.04 from 45.78.
• Reliance Industries: RSI increased to 50.91 from 46.15.
• SBI Life Insurance: RSI edged up to 50.61 from 49.55.
• Rising RSI values suggest potential buying interest in these counters despite index weakness.

Opening cues from GIFT Nifty

• GIFT Nifty traded around 24,183, above Monday’s Nifty close of 24,102.90.
• The derivative signal had indicated a positive to tepid open for the cash market.
• Subsequent global risk-off moves and IT selling reversed early optimism.

Outlook for investors

• Improving West Asian peace prospects and Brent’s earlier correction below $80 support the FY27 growth outlook.
• Nifty has rallied about 1,800 points from March lows, leaving room for intermittent profit booking.
• Analysts suggest using dips towards key support zones for staggered accumulation.
• Market participants will track the US Federal Reserve’s late-July FOMC commentary and evolving monsoon trends.

Frequently Asked Questions

Why did IT stocks fall and drag the market lower?

IT stocks declined after a global technology selloff, weak US tech cues and cautious commentary on discretionary IT spending, which hurt sentiment in Indian IT majors like Infosys, TCS, Wipro and HCLTech.

What are the key support and resistance levels for Nifty now?

Immediate support is in the 23,900 to 23,800 zone, with key short-term support at 23,500 to 23,600. Resistance is seen near 24,189 initially and then around 24,600, which aligns with the April high and 200-day EMA.

How did global markets influence today’s Sensex and Nifty moves?

A sharp fall in South Korea’s Kospi, earlier losses in US tech stocks, firmer crude prices and rising US rate expectations triggered risk-off sentiment, leading to selling in Indian equities and a weaker rupee.