Indian markets slip after early IT‑led weakness, Nifty ends below 26,250

Indian equity markets opened on a weak note on Monday and ended the session in the red as profit booking and sectoral sell‑offs weighed on sentiment. The BSE Sensex slipped sharply from early gains to close at 85,439 , down 322 points , while the NSE Nifty 50 settled below the key 26,250 mark , falling 78 points by the day’s end.

The market started the week under pressure, dragged lower in early trade by losses in heavyweight IT stocks such as HCL Tech, Infosys, TCS and Tech Mahindra, which led the initial decline in indices. During opening hours, the Sensex had dropped over 125 points and the Nifty dipped around 31 points as investors turned cautious.

However, the market showed mixed action through the session. While blue‑chip IT shares remained under pressure, stocks such as Bharat Electronics, Tata Steel, Axis Bank and Reliance Industries offered some support by moving higher.

Despite the overall negative close, broader markets showed resilience. The BSE Midcap and Smallcap indices outperformed, inching up marginally as selective buying emerged beyond the headline indices.

Sector trends were varied. Technology, oil & gas and telecom segments ended lower by about 0.5-1 per cent, while realty stocks stood out with strong gains of around 2 per cent. Consumer durables , metal and FMCG stocks also added modest gains, limiting the market’s fall.

Market participants also kept an eye on global cues. Asian indices such as South Korea’s Kospi, Japan’s Nikkei and China’s Shanghai Composite traded higher, though Hong Kong’s Hang Seng was slightly weaker. US markets had ended mostly in positive territory on Friday, while Brent crude prices were modestly lower.

On the domestic front, foreign institutional investors (FIIs) bought equities worth Rs 289.80 crore on Friday, while domestic institutional investors (DIIs) picked up stocks worth about Rs 677.38 crore , according to exchange data.

Analysts said the market’s weakness was due to profit booking at higher levels , especially after robust gains seen in the previous session, when the Sensex had climbed over 570 points and the Nifty nearly 180 points. Technical indicators suggest that the market is holding key support levels, and short‑term trends remain cautiously optimistic as long as major support holds.

Currency markets reflected the cautious mood as well, with the Indian rupee weakening against the US dollar.

Overall, while Monday’s trade ended lower, broader market behaviour and sectoral breadth indicate that investors remain selective, watching global developments, earnings momentum and economic cues for direction in 2026.