03 June,2026 05:18 PM IST | Mumbai | mid-day online correspondent
PSU bank rally cushions market fall as IT index tumbles over 5 pc. Representational Pic
Indian equity markets ended lower on Wednesday after a volatile trading session, as heavy selling in information technology (IT) stocks weighed on investor sentiment.
However, strong buying in banking and healthcare shares helped benchmark indices recover a large part of their intraday losses before the closing bell.
The Sensex closed 303.67 points, or 0.41 per cent, lower at 74,346.17, while the Nifty fell 77.95 points, or 0.33 per cent, to settle at 23,405.60, as per IANS.
Markets remained under pressure for most of the day as investors sold technology stocks, triggering sharp swings in benchmark indices.
Despite the weakness, buying interest in PSU banks, private banks and healthcare companies helped cushion the fall and prevented a deeper decline.
Market experts said the Nifty continues to trade near an important technical zone."23,500 remains the key level to watch. A sustained move above this zone could improve sentiment and trigger a recovery towards 23,600 and subsequently 23,800," an analyst said, reported the news agency.
The analyst added that on the downside, the immediate support range lies between 23,300 and 23,350, while a stronger demand zone remains between 23,150 and 23,200.
The technology sector was the worst performer of the day, with the Nifty IT index plunging more than 5 per cent amid broad-based selling across major IT counters.
Shares of Tata Consultancy Services (TCS), Tech Mahindra and HCLTech were among the top laggards on the Sensex and contributed significantly to the benchmark's decline.
The weakness in IT stocks overshadowed gains in several other sectors.
While technology stocks struggled, banking shares delivered a strong performance.
The Nifty PSU Bank index emerged as the best-performing sectoral index during the session. The Nifty Bank, Nifty Private Bank and Nifty Healthcare indices also outperformed the broader market and helped reduce overall losses.
Among Nifty constituents, Apollo Hospitals Enterprise, Tata Motors Passenger Vehicles, InterGlobe Aviation and Max Healthcare Institute were among the top gainers.
The weakness was not limited to frontline indices. The Nifty MidCap index closed 0.42 per cent lower, while the Nifty SmallCap index ended down 0.11 per cent, reflecting cautious sentiment across the broader market.
Investors remained wary due to continued pressure in technology stocks, although gains in financial and healthcare counters offered some support.
Meanwhile, the Indian rupee declined for a second consecutive session. According to market analysts, the domestic currency came under pressure due to capital outflows and concerns surrounding fresh tariff proposals announced by US President Donald Trump.
"Spot USDINR faces immediate resistance at 96.50, with key support holding at 95.10," an analyst said, reported the news agency.
(With IANS Inputs)
