New Delhi: Benchmark equity indices Sensex and Nifty began the trade on a weak note on Monday, tracking a mixed trend in global markets, but later turned volatile as investors engaged in selective buying after early losses.
The 30-share BSE Sensex declined 349.81 points, or 0.42 per cent, to 82,276.95 in early trade. The broader NSE Nifty dropped 98.4 points to 25,372.70.
Later, both the benchmark indices turned volatile, swinging between gains and losses. The Sensex quoted 136.04 points higher at 82,762.80, while the 50-share NSE Nifty rose 51.15 points to 25,522.25 after initial decline.
Among the Sensex constituents, PowerGrid, HDFC Bank, NTPC, Bajaj Finserv, Sun Pharmaceuticals, Eternal, HCL Technologies, ITC, Trent, Asian Paints, and Tata Steel were the gainers.
On the other hand, Infosys, Adani Ports, State Bank of India, Hindustan Unilever, Tech Mahindra, Reliance Industries, Titan, UltraTech Cement, ICICI Bank, and Tata Consultancy Services (TCS) were among the major laggards.
"The IT sell-off last week will continue to weigh on markets in the near-term. The mild recovery in IT ADRs on Friday is unlikely to support IT stocks. Institutions are likely to continue selling IT stocks and switch to sectors like financials, automobiles, capital goods, telecom and pharma where there is good earnings growth visibility," V K Vijayakumar, Chief Investment Strategist, Geojit Investments Ltd, said.
He added that Brent crude is delicately balanced around USD 68 on concerns surrounding geopolitical tensions between the US and Iran. This has to be closely watched.
"Overall, the market prospects for 2026 appear good since fundamentals are improving and valuations have turned reasonable in tune with long-term averages. Mid and small caps, though relatively overvalued, are reporting better-than-expected earnings," Vijayakumar said.
The broader Asian markets were trading on a mixed note, with Hong Kong's Hang Seng benchmark rising 0.4 per cent and Japan's Nikkei 225 index was trading flat. Markets in China and South Korea remained closed for the Lunar New Year holidays.
Foreign institutional investors sold equities worth Rs 7,395.41 crore on Friday, while domestic institutional investors purchased stocks worth Rs 5,553.96 crore, according to the exchange data.
On Friday, the 30-share BSE Sensex tumbled 1,048.16 points to close at 82,626.76, while the 50-share NSE Nifty plunged 336.10 points to settle at 25,471.10.
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