Indian stock markets fell for the third straight session on Wednesday as investors remained cautious over rising tensions in the Middle East, particularly the growing conflict between the United States and Iran.
The uncertainty kept traders on edge and triggered selling across sectors. The Nifty ended the day 1.6 per cent lower, slipping 385.2 points to close at 24,480.5.
The Sensex also witnessed heavy selling and dropped 1,122.66 points, or 1.40 per cent, to settle at 79,116.19.
"Immediate support is placed around 24,300–24,200, and a decisive breakdown below this region could accelerate the decline toward the 24,000 psychological level," an experts stated.
"On the upside, 24,600 acts as the immediate resistance, followed by a stronger supply zone near 24,900–25,000, which must be reclaimed on a closing basis to restore positive sentiment," an analyst mentioned.
The Sensex closed at a 10-month low, while the Nifty fell to its lowest level in more than six months.
Broader markets performed even worse than the benchmark indices. The Nifty MidCap index declined 2.2 per cent, while the Nifty SmallCap index fell 2.1 per cent.
Among sectoral indices, metal stocks faced the sharpest decline, with the Nifty Metal index emerging as the biggest loser of the day.
It was followed by losses in the Nifty PSU Bank and Nifty Realty indices. In contrast, the Nifty IT index was the only sector that managed to end the session in positive territory, supported by gains in select technology stocks.
In the Sensex pack, Bharti Airtel was the top gainer, followed by Infosys and Tech Mahindra. These were the only three stocks that managed to close in the green amid the broader market weakness.
On the losing side, Tata Steel emerged as the biggest laggard. It was followed by declines in Larsen & Toubro, Bajaj Finance, UltraTech Cement, NTPC, and InterGlobe Aviation, which operates IndiGo airline.
Market experts said investors are closely watching global developments, especially geopolitical tensions, as any further escalation could keep volatility high in the near term.
"The surge in geopolitical uncertainty weighed heavily on investor confidence, leading to aggressive unwinding of positions and a defensive shift in market participation," a market expert noted.
(With inputs from IANS)
