Sensex, Nifty end lower as Iran-Hormuz tensions weigh

Sensex, Nifty end lower as Iran-Hormuz tensions weigh on investor sentiment

Mumbai, Aug 24

The Sensex declined 171.72 points, or 0.22 per cent, to settle at 77,369.11, while the Nifty fell 32.95 points, or 0.14 per cent, to close at 24,219.05.

Commenting on Nifty technical outlook, experts said the 24300 region remains the crucial resistance band.

"A decisive and sustained breakout above 24,300 would be important to improve the technical setup and could pave the way towards 24,400-24,500," an analyst stated.

"On the downside, 24,145, which closely corresponds with the session low, remains the immediate support," the analyst stated.

Selling pressure was visible among several heavyweight stocks, with SBI Life Insurance Company and Special Economic Zone, and Bajaj Finance emerging as the top losers on the Nifty.

The cautious mood reflected concerns over the potential impact of heightened tensions in the strategically important Strait of Hormuz, a key route for global energy shipments.

The broader market performance remained mixed. The Nifty MidCap index edged up 0.13 per cent, while the Nifty SmallCap index declined 0.26 per cent.

Among sectors, the Nifty PSU Bank index witnessed the sharpest decline, indicating pressure on banking stocks. In contrast, the Nifty Metal index outperformed other sectoral indices and provided some support to the broader market.

Market experts said that investors remained cautious amid heightened geopolitical uncertainty, with concerns over possible disruptions to global trade and energy supplies weighing on market sentiment.

"Tracking weak Asian markets, Indian equities drifted lower through the day, with large caps underperforming broader markets," as per the expert.

"Going into Tuesday, the market is likely to remain highly volatile as traders adjust their positions based on new US sanctions measures on Iran and Iran's possible response," the expert mentioned.

— IANS