IT and Realty fared better. Pharma, metal, auto, and FMCG stocks saw weakness
Satish Chandra Aluri,
Lemonn Markets Desk
Mumbai, June 17, 2025: Benchmark indices ended lower on Wednesday reversing some of yesterday’s gains on signs of escalating conflict in Middle East. Market sentiment turned cautious on global risk off moves after initial hopes for a ceasefire gave way to likely escalating situation with consequences to global growth.
Markets opened largely flat but quickly turned lower and stayed in a rangebound way throughout the session as investors watched Middle East developments. Broader Mid and Small caps were relatively better while among sectors, IT and Realty fared better. Pharma, metal, auto, and FMCG stocks saw weakness. Domestic investors continued to provide support, while foreign investors were net sellers in recent sessions.
Shrikant Chouhan, Head, Equity Research, Kotak Securities, adds:
"The benchmark indices witnessed profit booking at higher levels. The Nifty ends 93 points lower, while the Sensex was down by 213 points. Among sectors, the IT index was the top gainer, gaining 0.64 percent, whereas the Pharma and Healthcare indices shed nearly 2 percent. Technically, a reversal formation on intraday charts and a bearish candle on daily charts indicate temporary weakness. We believe that as long as the market is trading below 24,900/81800, the weak sentiment is likely to continue. On the downside, 24,775/81200 would be the immediate support zones for traders. Below this, the market could slip to 24,675-24,625/80900-80700. On the flip side, above 24,900/81800, the sentiment could change. If it moves above this level, it could rally up to 25,000-25,100/82100-82500."
Evolving geopolitical developments and oil price trends will continue to drive the market sentiment in the near term. Technically, Nifty closed around key support level of 24850-level indicating still resilient market outlook. On the upside, 25000 acts as immediate resistance while 24800 will be immediate support on the downside.
