Stock Market Weekly: Nifty, Sensex Extend Losing Streak To Third Week

Indian Stock Market extended their losing streak to a third week as investors remained wary of developments surrounding global interest rates and geopolitical tensions.

The Nifty finished the week 0.31 per cent lower, although it climbed 0.35 per cent on Friday to settle at 24,175.

The Sensex recovered during the final session, gaining 330 points, or 0.43 per cent, to close at 77,264, but the index still ended the week 0.36 per cent down.

Market analysts attributed part of the caution to uncertainty surrounding the introduction of the Closing Auction Session for F&O stocks.

The monthly derivatives expiry triggered significant price fluctuations during the closing auction, raising concerns about short-term volatility and unusual price movements in major stocks.

IT stocks helped the domestic market stage a notable recovery on Friday as investors responded positively to favourable global technology trends.

The Nifty IT index emerged as the week’s leading sectoral performer, advancing around 2.45 per cent following encouraging results from Nvidia and renewed optimism in the global technology space.

Investors showed interest in pharmaceutical and selected metal shares.

Investors continued to assess comments from the US Federal Reserve Chairman at the Jackson Hole symposium for clues about the future path of interest rates.

Market participants are watching US inflation figures and bond yields, as changes in these indicators could affect foreign institutional investment in emerging markets.

Lower crude oil prices provided some relief during the week, with Brent crude dropping more than 4 per cent to nearly $88 per barrel.

The decline followed expectations of smoother shipping activity through the Strait of Hormuz, although analysts warned that fresh geopolitical disruptions could quickly push oil prices higher.

Key Support Levels

For the Nifty, analysts have placed immediate support between 24,000 and 23,800, while the 24,300-24,400 range remains a key resistance area.

Bank Nifty has support around 56,900-56,500, whereas 57,800-58,000 represents the important resistance zone.

Also Read: Stock Market Today: Sensex Rises 331 Points, Nifty Ends At 24,176