Indian stock markets closed in the red on Monday, with the BSE Sensex declining over 100 points and the NSE Nifty settling below the 24,400 mark. The downturn was led by a sharp 12% plunge in Trent shares after the company reported disappointing Q1 results.
Market Indices Performance
The 30-share BSE Sensex ended 104.67 points, or 0.13%, lower at 80,078.56. The broader NSE Nifty50 fell 31.95 points, or 0.13%, to close at 24,394.00. During the session, the indices witnessed volatility, recovering from initial losses but failing to hold gains.
Trent's Sharp Decline
Trent, the retail arm of the Tata Group, emerged as the top loser on both indices, tumbling 12% after its Q1 net profit missed estimates. The company's revenue growth was also below street expectations, leading to a sell-off. According to market analysts, weak margins and higher expenses weighed on the stock.
Sectoral Trends
Among sectoral indices, Nifty IT gained over 1%, buoyed by positive global cues and a weak rupee. However, Nifty Realty and Nifty Media were the worst performers, losing 2% and 1.5%, respectively. Banking stocks were mixed, with HDFC Bank and ICICI Bank ending marginally higher, while SBI edged lower.
Broader Market and Global Cues
The broader market underperformed, with the BSE Midcap index falling 0.6% and the Smallcap index declining 0.4%. Globally, Asian markets were mixed, with Japan's Nikkei rising 0.3% while China's Shanghai Composite slipped 0.2%. European indices traded in the green, providing some support to domestic sentiment.
Outlook
Market participants now await key economic data and corporate earnings for further direction. Analysts expect volatility to persist amid global uncertainties and domestic inflation concerns. The coming sessions will be crucial for the market to find a direction.
