Sensex, Nifty End Week Lower As Global Concerns Weigh On Markets

The Indian equity benchmarks ended the week with sharp losses as rising global inflation concerns, higher crude oil prices and geopolitical tensions weighed heavily on investor sentiment.

The Nifty declined 2.33 per cent during the week and slipped 0.43 per cent on Friday to close at 23,767. The Sensex also fell 331 points, or 0.43 per cent, to settle at 76,059, ending the week 2.68 per cent lower.

Market analysts attributed the weakness to escalating tensions in West Asia and disruptions in the Red Sea, which pushed crude oil prices above 100 dollars per barrel.

The rise in energy prices strengthened expectations of a possible US Federal Reserve rate hike in September, while both US and domestic bond yields moved higher.

Renewed US tariff uncertainty, weak Asian markets and geopolitical tensions kept investors cautious.

Slower July PMI data triggered sustained selling, with large-cap, banking and real estate stocks leading the decline, while FMCG and auto stocks outperformed on strong quarterly earnings.

Analysts expect corporate earnings to recover meaningfully in the second half of FY27, provided crude oil prices stabilise and tensions in West Asia ease.

The broader market also ended lower, with the Nifty Midcap100 falling 1.90 per cent and the Nifty Smallcap100 declining 2.18 per cent during the week.

Technical analysts placed immediate resistance for the Nifty in the 23,800-24,000 range, while the 23,700-23,600 zone is expected to provide near-term support.

Bank Nifty faces resistance around 56,800-56,900, with support at 56,000-56,100.

Investors will now closely monitor crude oil prices, the US Federal Reserve’s policy decision, inflation and GDP data, along with India’s Industrial Production (IIP) figures for further market direction.

Also Read: India’s Forex Reserves Rise Again; RBI Reports $676.24 Billion Stockpile