CHENNAI: Indian equity benchmarks ended lower on Friday (October 31), wrapping up the trading week as investors booked profits after a strong monthly rally. Weakness in private banks and mixed global cues weighed on overall sentiment.
The BSE Sensex fell 465 points, or 0.55 percent, to close at 83,939, while the NSE Nifty50 declined 156 points, or 0.6 percent, to end at 25,722. Broader markets also edged down, with the mid-cap index slipping 0.5% and the small-cap index down 0.4 percent.
Despite Friday’s fall, both indices posted gains of around 5% for October, marking their best monthly performance since March, driven by strong earnings and steady foreign inflows.
Banking and financial stocks were the major laggards after the Securities and Exchange Board of India (SEBI) tightened eligibility norms for Bank Nifty derivatives. Heavyweights such as HDFC Bank and ICICI Bank lost over 1%. Metal, power, and media shares also declined, while PSU banks bucked the trend, rising about 1.5 percent.
Globally, sentiment remained cautious following the US Federal Reserve’s remarks hinting at uncertainty over a rate cut in December. A firm US dollar and subdued commodity prices added to risk aversion. Asian markets ended mixed, offering no clear direction for domestic equities.
Technically, the Nifty formed a bearish pattern on the daily chart, indicating selling pressure near higher levels. The index faces immediate support around 25,700 and resistance near 26,100. Market analysts expect near-term consolidation after the recent rally, with stock-specific action likely to dominate trade.
Overall, the market ended the week on a subdued note, though the broader trend remains constructive. Analysts suggest that investors continue to use dips to accumulate quality stocks as long as key support levels hold.
