Shillong: Indian benchmark indices ended their five-day winning streak on Friday as investors shifted to profit booking. The BSE Sensex fell 607.08 points to settle at 76,802.90, while the NSE Nifty dropped 154.90 points to close at 24,013.10.
The sell-off was largely driven by the IT sector after global giant Accenture cut its full-year revenue growth guidance. This move raised alarms regarding discretionary spending and potential delays in deal conversions. Consequently, the BSE IT index plunged 3.57 per cent, with heavyweights like Infosys, Tata Consultancy Services, HCL Tech, and Tech Mahindra leading the decline.
Market sentiment also cooled due to geopolitical uncertainty following the postponement of US-Iran peace talks in Switzerland. The White House cited logistical issues for the delay in negotiations, which were meant to finalize a memorandum of understanding.
Ponmudi R, CEO of Enrich Money, noted the shift in market conditions. "Indian equity markets retreated after five consecutive sessions of gains, as investors booked profits amid renewed geopolitical uncertainty and sharp selling in IT stocks. Sentiment weakened following Accenture’s cautious earnings outlook, while the postponement of scheduled US-Iran negotiations undermined expectations of a smooth progression in the broader peace process," he said.
Despite the broader market decline, the BSE SmallCap and MidCap indices managed slight gains. Other sectors showed mixed results as telecommunications and power stocks rose, while oil, gas, and realty firms faced selling pressure. Foreign Institutional Investors offloaded equities worth Rs 1,025.20 crore on Thursday, adding to the day's cautious atmosphere.
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