Sectoral Moves: Nifty IT Falls, Financials & PSU Banks Gain

Indian markets witnessed contrasting movements across key sectoral indices. The Nifty IT index declined 0.82%, reflecting weakness in global technology stocks and cautious investor sentiment. In contrast, financials and public sector banks outperformed, with the Nifty Financial Services index rising 1.1% and the Nifty PSU Bank index surging 1.5%.

Analysts suggest that strong credit growth, improving asset quality, and institutional inflows are driving optimism in the financial and banking space. Meanwhile, IT stocks faced pressure from global demand concerns and currency fluctuations.

Key Highlights

• Nifty IT Index: Down 0.82% on global tech weakness.
• Nifty Financial Services Index: Up 1.1%, supported by credit growth and inflows.
• Nifty PSU Bank Index: Gained 1.5%, reflecting investor confidence in public sector lenders.
• Market Sentiment: Financials and banks favored over IT amid sectoral rotation.
• Global Influence: Tech sector weakness and currency trends weighed on IT stocks.

Sources: NSE India Market Watch, Reuters, Mint Business News