Sensex Drops 345 Points as Profit Booking, Lack of Triggers Weigh on Market

Sensex lost 345.91 points or 0.41% to settle at 84,695.54 while Nifty ended 100.20 points or 0.38% lower at 25,942.10.

The Nifty 50 index opened at 26,063.35, registering a gain of 21.05 points or 0.08%, while the BSE Sensex began the session at 85,004.75, down 36.70 points or 0.04%.

Only three sectors witnessed buying in trade including Nifty Media (up 0.93%), Nifty FMCG (up 0.11%) and Nifty PSU Bank (up 0.05%). Nifty IT (0.75%) and Nifty Bank (0.53%) were the key losers.

Shrikant Chouhan, Head - Equity Research, Kotak Securities said, "The benchmark indices continued profit booking at higher levels. The Nifty ended 100 points lower, while the Sensex was down by 345 points. Among sectors, the Media Index gained 0.75%, whereas the Consumer Index lost the most, shedding nearly 1%."

"Technically, after a muted open, the market slipped below the 26,000/85,000 mark, and post-breakdown, intraday selling pressure increased," he added.

Vinod Nair, Head of Research, Geojit Investments Limited, "The market appears short on catalysts for further upside, with investors largely in holiday mode, signalling a potential consolidation phase in the near term. While the outlook for 2026 remains constructive, attention is expected to shift toward upcoming Q3 earnings and clarity on the U.S. trade agreement."

"In an environment of global trade anxiety and a weakening rupee, investors are likely to favour large-cap stocks for their relative safety and stronger earnings visibility," he said.

Jateen Trivedi, VP Research Analyst - Commodity and Currency, LKP Securities said, "The rupee traded in a weak range near the 90 mark as the U.S. holiday season kept the dollar index subdued. Near-term movement will largely depend on commodity prices and FII activity. Fed meeting minutes later this week will be closely watched for directional cues. The rupee is expected to trade in a 89.45-90.40 range."

- ANI