Market wrap: NIFTY50 and SENSEX resume correction; NIFTY PSU Bank, Realty and Auto among top sectoral losers

The Indian benchmark indices reversed all the major gains of Wednesday to close over 2% lower on Friday. The SENSEX plunged 1,690 points or 2.25% at 73,583, and the NIFTY50 fell 2.09% at 22,819 on Friday. The markets reeled under the selling pressure as scepticism grew among investors on the ongoing negotiation talks between the US and Iran. The NIFTY IT index, which was the sole sectoral gainer on during afternoon session, also turned red in the closing hours, losing 0.4% for the day.

Amongst the sectoral losers, the NIFTY PSU Bank (-3.8%), NIFTY Chemical (-3.4%), NIFTY Realty (-3.1%), NIFTY Auto (-2.8%), and NIFTY Financial Services (-2.7%) were the top five losers for the day.

The top gainers on Nifty were ONGC up by 4.35%, Wipro up by 1.35%, TCS up by 0.52%, Bharti Airtel up by 0.49% and Coal India up by 0.30%. On the flip side, Shriram Finance down by 5.46%, Tata Motors Passenger down by 4.64%, Reliance Industries down by 4.60%, Interglobe Aviation down by 4.55% and Bajaj Finance down by 4.41% were the top losers.

European markets were trading lower; Germany’s DAX lost 255.47 points or 1.13% to 22,357.50, France’s CAC fell 53.11 points or 0.68% to 7,716.20 and the UK’s FTSE 100 decreased 47.47 points or 0.48% to 9,924.70.

Asian markets ended mixed on Friday amid uncertainty around the US-Iran negotiations to potentially end the West Asia conflict. US President Donald Trump has delayed planned strikes on Iranian energy infrastructure, extending his deadline for Tehran to reopen the Strait of Hormuz to April 6, while claiming negotiations are ‘going very well’.

However, reports suggest Iran didn't request this extension, challenging Trump's statement and adding fresh worries to the ongoing West Asia conflict. Japanese shares declined, tracking steep declines on Wall Street overnight. Meanwhile, Chinese shares gained after data showed a 15.2% year-on-year jump in industrial profits for the January-February period.