CHENNAI: Indian indices opened on a flat note on Monday, June 30, marking the final trading day of the first half of the current financial year. The Sensex began the session at 84,027.33, slightly below Friday’s close of 84,058.90, and slipped further to 83,767.77 by 11:04 am, down 292 points or 0.35%. Similarly, the Nifty opened at 25,661.65 but declined to 25,555.56 by 11:06 am, down 82.80 points or 0.32%.
The weakness was largely attributed to profit-booking in heavyweight financial stocks, which had witnessed a strong rally in recent weeks. HDFC Bank, for instance, was down nearly 0.8%. Seven out of the 13 major sectoral indices were in the red.
In contrast, mid- and small-cap stocks displayed resilience. The Nifty Midcap 100 and SmallCap 100 indices rose by 0.3% and 0.5% respectively. This divergence highlights continued investor interest in broader market opportunities, even as large caps showed signs of fatigue.
In stock-specific developments, Karnataka Bank fell over 7% following the resignation of its CEO and Executive Director. Alembic Pharmaceuticals surged over 9% after securing USFDA approval for a cancer treatment injection. Torrent Pharma also gained on deal-related news, though it later gave up some of its intraday gains. ITD Cementation rose around 4% after announcing a $67.4 million marine project.
Overall, the market action reflected a tone of caution and consolidation. The Sensex has gained nearly 6,000 points—about 8%—in the first half of FY25, but remains roughly 2,000 points below its record high. Analysts flagged June 30 as a potentially pivotal session, which could influence whether the market moves toward a breakout or enters a corrective phase. The first week of July is expected to be crucial in setting the direction.
Global cues were mildly supportive, thanks to easing geopolitical tensions and softer expectations around US rate hikes. However, domestic factors—particularly profit-taking and cautious positioning ahead of the second half of the fiscal year—kept a lid on gains.
Looking ahead, the market outlook remains cautiously optimistic. Analysts see resistance for the Nifty around the 25,800–26,000 range, with key support near 25,200. Recommended stock picks for the coming week include Apollo Hospitals and LT Foods for a medium-term horizon, while IGL and Nestle India are seen as favorable short-term plays.
Market experts say that the selling pressure witnessed among large caps, and strength in mid- and small-cap segments suggests selective bullish sentiment. The market appears poised for a directional move in July, shaped by technical cues and global developments.