Nifty Ends Lower On Weekly Expiry; Financials, Autos, IT Lead Broad Market Selloff

Indian equities ended lower on Thursday’s Nifty weekly F&O expiry day, as broad-based selling in financials, autos, and IT stocks dragged benchmarks lower amid bearish retail sentiment and weak global cues.

The Sensex fell 1% or 823 points to close at 81,692, while the Nifty 50 also dropped 1%, losing 253 points to settle at 24,888.

The broader markets underperformed, with the Nifty Midcap index falling 1.5% and the Smallcap index ending nearly 1.9% lower.

Retail investor sentiment surrounding the Nifty 50 remained ‘bearish.’ 

All Nifty sectoral indices ended in the red, with Financial Services, Auto, and IT stocks weighing the most. 

The Nifty Financial Services index fell 0.31 points, while Auto and IT declined 0.15% and 0.14%, respectively.

Nifty losers included HDFC Bank, Axis Bank, Tata Motors, Mahindra & Mahindra, TCS, and Infosys, with declines ranging from 0.12% to 0.57%.

HDFC Bank stock fell 0.5%, leading losses in the financial sector, after Lilavati Kirtilal Mehta Medical Trust accused the bank and CEO Sashidhar Jagdishan of inconsistent loan disclosures and failing to produce official records in court.

However, HDFC Bank refuted the allegations.

Shares of IndiGo fell 3.3% and SpiceJet dropped 2.4% on Thursday after reports of an Air India plane crash near Ahmedabad Airport. 

The London-bound flight, carrying 242 passengers, reportedly struck a building shortly after takeoff. 

Adani Enterprises, which operates the airport, slipped nearly 1.8%. 

Ashoka Buildcon shares fell 3.7% after the Maharashtra GST Department initiated search and seizure operations at its office on Wednesday. 

Meanwhile, Coal India declined 2.5% after Nuvama downgraded the stock to ‘Reduce’ with a lower target of ₹367, citing weak volume growth, falling earnings before interest, tax, depreciation, and amortization (EBITDA), and rising costs over FY25–27.

From a technical perspective, SEBI-registered analyst Krishna Pathak said the Nifty 50 has repeatedly failed to sustain above the 25,200 resistance level, suggesting persistent supply pressure at higher zones. 

He noted that a break below 25,000, accompanied by significant volume, could open the door for a retest of the 24,900–24,800 support area, where demand has recently emerged. 

Pathak added that sustained trading below the 9-period EMA may trigger further bearish momentum, while holding above the 25,100–25,140 band could revive bullish sentiment and potentially fuel a rally toward 25,270–25,350.

European shares slipped after U.S. President Donald Trump said he was open to extending the July 8 trade deal deadline, though he expected terms to be finalized within a week.

Meanwhile, Dow futures pointed to a weak open on Wall Street.

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