Benchmark indices Nifty and Sensex opened the session lower on Thursday, August 28, extending losses for a second session in a row, as Trump tariffs come into effect. IT and bank stocks were the biggest drags, while the mid and smallcap stocks mirrored weak trends to slip 1 percent each.
At about 9:30 am, the Sensex was down 607.99 points or 0.75 percent at 80,178.55, and the Nifty was down 179.65 points or 0.73 percent at 24,532.40. About 838 shares advanced, 2069 shares declined, and 166 shares were unchanged.
Follow our LIVE blog for all the latest market updates
"The 50 percent tariff imposed on India, which has already come into effect, will weigh on market sentiments in the near term. But the market is unlikely to panic since the market will view these high tariffs as a short-term aberration which will be resolved soon," says V K Vijayakumar of Geojit Investments Ltd. "The real challenge before the market is the high valuations and the tepid earnings growth. The strong pillar of support to the market is the aggressive buying by DIIs flush with funds. Any selling by FIIs will be easily neutralised by the aggressive buying by DIIs," he added.
Among individual stocks, InterGlobe Aviation, the parent of budget airline IndiGo, slipped over 4 percent as the Rakesh Gangwal family likely pared its stake via the block deal route. The Rakesh Gangwal family, CNBC TV-18 Awaaz reported that the Gangwal family was planning to sell up to 3.1 percent stake in InterGlobe Aviation through block deals worth Rs 7,084 crore.
Polycab slipped over a percent even as Jefferies reiterated its buy call with a target price of Rs 8,180 per share, citing the company’s consistent double-digit sales growth in the cables and wires segment over the past 12 quarters. Market share gains, rising power capex, margin turnaround in FMEG, and strong order books in RDSS and Bharat Net are seen as key growth drivers. Jefferies estimates an over 26 percent EPS CAGR between FY25–28.
Technical View
The index has filled the gap created in the August 18 session and is now trading slightly above the 100-SMA while still holding well above the 200-SMA. However, it remains below all short-term moving averages, including the 9-EMA, 20-EMA, and 50-SMA, reflecting that near-term momentum is under strain.
Looking ahead, support is placed at 24,600 (100-SMA) followed by 24,500, while resistance remains near 24,900–25,000, where short-term moving averages converge. Unless Nifty reclaims these upper levels, the outlook may remain tilted to the downside.
“On the daily chart, the Nifty Bank index has broken below the midline of the Donchian Channel and is now testing the lower band of the channel. The breakdown has brought the index close to its recent swing low of 54,905, which failed to hold as support. A further slip could expose the index to 54,000 or deeper, Dhupesh Dhameja of SAMCO Securities said.
Hero MotoCorp, Asian Paints, HUL, Maruti Suzuki, and Titan Company were the top gainers on the Nifty. Laggards on the index included Shriram Finance, HCL Tech, HDFC Bank, Jio Financial Services, TCS, and NTPC.
Disclaimer: The views and investment tips expressed by experts on Moneycontrol are their own and not those of the website or its management. Moneycontrol advises users to check with certified experts before taking any investment decisions.
Discover the latest Business News, Sensex, and Nifty updates. Obtain Personal Finance insights, tax queries, and expert opinions on Moneycontrol or download the Moneycontrol App to stay updated!
