Indian benchmark indices traded nearly flat at midday on Friday, struggling to hold onto early gains as a sharp surge in crude oil prices and a renewed rise in US Treasury yields weighed on investor sentiment. At 12:51 pm, the Sensex stood at 77,549.90, up 12.18 points or 0.02 per cent, while the Nifty 50 traded at 24,232.55, a marginal change of 0.70 points against its previous close of 24,231.85. The Nifty remained confined to a tight trading band with limited directional momentum throughout the session.
Market participants pointed to external macro factors for the subdued risk appetite. Sudeep Shah, Head of Technical and Derivatives Research at SBI Securities, noted that the sharp surge in Brent crude oil prices has kept traders cautious and restricted any meaningful upside in frontline indices. WTI crude traded near $86.50 per barrel, breaking out of its previous $84–$84.50 consolidation zone, while MCX Crude Oil held near ₹8,300. Additionally, the US announced plans to impose strict sanctions on Iran, adding a geopolitical risk premium to energy prices around the Strait of Hormuz. The rupee traded near ₹95.70 against the dollar.
Despite the broader market consolidation, Bank Nifty displayed relative strength, outperforming the benchmark index. HDFC Bank, Kotak Mahindra Bank, and ICICI Bank emerged as the top three contributors to Nifty's gains at midday. HDFC Bank shares rose 0.88 per cent following a $1.75 billion record dollar bond sale, with high traded volumes. Kotak Mahindra Bank gained 1.35 per cent, and Power Grid Corporation led the Nifty 50 gainers with a 2.25 per cent rise to ₹270.75 on heavy volumes. Other notable gainers included HDFC Life Insurance and BEL.
On the losing side, Cipla was the top decliner, falling 1.77 per cent, followed by IndiGo, Maruti Suzuki, Trent, and Tata Motors' passenger vehicle arm TMPV. Sectorally, Nifty Metal and Nifty Oil and Gas performed strongly, whereas Nifty FMCG lagged as the worst-performing sector. Broader market participation showed mixed breadth; the Nifty Smallcap 100 was up approximately 0.83 per cent, and BSE advances stood at 2,206 against 1,886 declines, though Nifty's Advance-Decline Ratio indicated weak large-cap breadth.
Precious metals continued to see elevated activity, with COMEX Gold up 0.41 per cent at $4,577 and MCX Gold trading near record levels at ₹1,60,630. COMEX Silver rose 1.27 per cent toward $69, heading for its third straight weekly gain, while MCX Silver held near ₹2,45,000.
Technical analysts peg immediate Nifty support between 24,160 and 24,140, with resistance marked at 24,260 and 24,280. A sustained move above 24,280 could open doors toward 24,440, whereas a drop below 24,140 might expose the 24,020–24,000 range. For the Sensex, support and resistance levels are identified at 77,200 and 77,800, respectively.
"The current market consolidation reflects how external macroeconomic variables like crude oil fluctuations and geopolitical tensions directly impact investor risk appetite. While frontline indices remain range-bound, the outperformance of specific banking and power sector heavyweights demonstrates that sector-specific fundamentals and liquidity continue to drive selective buying interest amidst broader caution." — Dr. Shishir Gupta, Founder & CEO, StartupLanes
