MUMBAI– Indian equity markets ended sharply lower on Thursday, mirroring weak global sentiment after the U.S. Federal Reserve cut interest rates as expected but signaled that it could be the final rate cut of 2025.
Investor caution also persisted ahead of key updates on trade negotiations between the United States and China.
The Sensex fell 592.67 points, or 0.7 percent, to close at 84,404.46, while the Nifty slipped 176.05 points, or 0.68 percent, to settle at 25,877.85.
“The Nifty struggled to sustain higher levels, with persistent selling dragging it lower. On the technical front, the index has formed an immediate support zone near 25,800, while resistance is expected around 26,000,” analysts said.
Among Sensex gainers, Larsen & Toubro led the pack with a 0.91 percent rise, followed by BEL, Maruti Suzuki, Adani Ports, and Titan. Major laggards included Bharti Airtel, Power Grid, Tech Mahindra, Infosys, and Bajaj Finance, each falling more than 1 percent.
In the broader market, the Nifty MidCap 100 slipped 0.09 percent, while the Nifty SmallCap 100 dipped 0.1 percent, indicating mixed sentiment among smaller stocks. Most sectoral indices ended in the red, with Nifty Energy being the only exception to post gains.
Nifty Financial Services dropped 0.7 percent, while IT, Auto, Metal, Pharma, Bank, and Oil & Gas indices also closed lower.
“As expected, the U.S. Fed cut interest rates by 25 basis points. However, markets consolidated after Chair Jerome Powell indicated this might be the last rate cut of the year, dampening expectations of further monetary easing,” analysts noted.
They added that the resulting strength in the U.S. dollar fueled risk aversion across emerging markets, including India.
“Investors remain watchful of the Trump–Xi trade discussions, as the ongoing uncertainty surrounding the negotiations continues to weigh on market sentiment,” experts said. (Source: IANS)
