Indian Markets Dip: Sensex, Nifty Fall Amid IT Sell-off & Liquidity Fears
Indian financial professional observes market data
Key Highlights
Indian markets, including Sensex and Nifty, opened lower, extending losses due to IT sell-off and concerns over narrowing banking system liquidity. FIIs turned net sellers.
Indian markets kicked off Friday with a significant gap-down, ending a five-session winning streak. Both the Sensex and Nifty traded under pressure, primarily driven by weak global cues and widespread profit-taking.
Key Market Movements
- The Sensex dropped by 0.91%, settling at 76708.50.
- The Nifty saw a decline of 0.79%, trading at 23977.45.
- Selling pressure was notably concentrated in IT and Teck stocks, causing both indices to dip around a percent each in early deals.
Investor Sentiment & Liquidity Concerns
Further caution in the market stemmed from foreign institutional investors (FIIs) turning net sellers. They offloaded equities worth ₹1,025.20 crore on June 18.
Traders also noted concerns over the Reserve Bank of India (RBI) data, which indicated a sharp narrowing of surplus liquidity in the banking system. This metric reached its lowest level in nearly three months, adding to market jitters.