Sensex, Nifty trade lower; Eternal, M&M, Hindalco lead gainers, Adani Group stocks decline

Equity benchmark indices traded lower in early trade. Market experts believe that the markets willremain volatile due to uncertainty in geopolitics, tariffs and trade. After a positive opening in early trade with a 400 points uptick, Sensex fell 227.75 points or 0.28 per cent to 81,146 as at 9.37 am, and Nifty 50 dipped 33.45 points or 0.14 per cent to 24,683.15.

On the domestic front, investors will watch out for the upcoming RBI monetary policy.

The Nifty smallcap 100 rose 0.62 per cent, while the midcap 100 was up 0.35 per cent. Volatility index was flat at 17.26.

On the sectoral front, the Nifty bank, private bank and FMCG indexes slipped into negative territory, while all other sectors showed resilience.

Dr. VK Vijayakumar, Chief Investment Strategist, Geojit Investments Ltd, advised investors may persist with the strategy of buying on dips.

“The concern in the market now is the high valuation, particularly in the broader market. But the trends in money flows into the market and the healthy trend of retail investors persisting with their investment for longer periods, indicating that Indian equities will remain at higher valuations for an extended period of time. 

“Since the MPC is expected to cut the policy rate by 25 bps in the policy meet on 8th, rate sensitives are likely to be favoured in the coming days,” Vijayakumar added.

“Talks between President Trump and President Xi Jinping are slated to take place this week, and if they are a success, risk-on sentiment should see a further uptick,” Akshay Chinchalkar, Head of Research, Axis Securities, said.

Technical front

According to Shrikant Chouhan, Head, Equity Research, Kotak Securities, key support levels are at 24,650 and the 20-day SMA is at 24,700. If the market stays above these levels, it could move up towards 24,800–24,900.

“Conversely, if the market falls below 24,650, selling pressure is likely to increase. Should it drop below this level, a correction could occur, bringing the market down to 24,500–24,450.

“For the Bank Nifty, higher bottom support is established at 55,300. If it holds above this level, the uptrend is likely to continue towards 56,100 to 56,500. However, should it fall below 55,000, the uptrend may become vulnerable, potentially leading to a correction down to the range of 54,700 to 54,300,” Chouhan added.

Top movers today

Shares of Shriram Finance, Eternal, Titan, Hindalco and HCL Technologies led the gainers among ifty 50 components, while Adani Enterprises, HDFC Life, Adani Ports, Bajaj Finance and Tata Consumer Products slipped to trade among the laggards in early trade.

Of the 2,474 stocks that were traded on the National Stock Exchange, nearly 1,651 stocks advanced and 752 declined.

51 stocks hit the upper circuit and 30 stocks hit the lower circuit; 44 stocks including BSE, CUB, Bharti Hexacom and Cosmo First hit a 52-week high, while 12 stocks hit a 52-week low.

Adani Group stocks will be in focus today as it denied a report published in the Wall Street Journal that linked it to a fresh investigation by US Authorities over alleged links with Iranian LPG. Majority of them, including Adani Ports, Adani Enterprises, ATGL traded in negative territory.

Among midcaps, Cochin Shipyard, Bharti Hexacom, Hindustan Zinc, Mazagon Dock and Paytm shares rose 2-4 per cent, while Yes Bank, Ola Electric, Suzlon, Bank of Maharashtra and Vodafone Idea fell 2-8 per cent.

Radico, KFin Tech, GRSE, Trident and Castrol India soared 3-5 per cent among smallcaps, while Reliance Power, IFCI, IDBI declined 2-5 per cent.

On the BSE, KOICL and Finolex Cables zoomed 7 per cent.

MCX Crude Oil prices gained sharply on Monday, rising ₹172 to settle at ₹5,375, up 3.31 per cent, after hitting a high of ₹5458. 

Gold prices hit 3-week highs and silver prices also hit 2-month highs in the international markets. The rally was driven by increased investor demand for safe-haven assets amid escalating geopolitical and economic uncertainties, Rahul Kalantri, VP Commodities, Mehta Equities Ltd., said.

“Gold has support at ₹96,280-96,000, while resistance is at ₹97,150-97,440. Silver has support at ₹100,260-99,350, while resistance is at ₹1,01,750-1,02,550,” Kalantri added.

Asian markets were trading in positive territory.

On Monday, Sensex ended 77.26 points or 0.09 per cent lower at 81,373.75, off the intraday low of 80,654.26, and Nifty 50 slipped 34.10 points or 0.14 per cent to 24,716.60. FIIs offloaded equities worth ₹2,589.47 crore, exchange data shows. In addition, the US markets ended higher on Monday.

Published on June 3, 2025